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Caffyns PLC (GB:79GL)
LSE:79GL
UK Market
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Caffyns (79GL) AI Stock Analysis

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GB:79GL

Caffyns

(LSE:79GL)

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Neutral 48 (OpenAI - 5.2)
Rating:48Neutral
Price Target:
125.00 p
▲(0.00% Upside)
Action:Reiterated
Date:07/01/26
The score is held down primarily by weakened financial performance: a sharp 2026 revenue decline, negative profitability, and elevated leverage. Technicals are broadly neutral with the price sitting near key moving averages. Valuation is mixed—an attractive dividend yield is offset by a negative P/E driven by losses.
Positive Factors
Improved cash generation
Caffyns generated positive operating and free cash flow in 2026 despite losses, indicating the dealership model can still convert activity into cash. Sustained positive cash flow provides liquidity to fund working capital, service debt, and invest in aftersales capabilities over the medium term.
Negative Factors
Sharp revenue decline
A 37.4% revenue drop materially reduces scale and weakens fixed-cost absorption in a dealership model that relies on volume. If sustained, this erosion undermines margins, bargaining power with OEMs, and the ability to fund required showroom and service investments over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Improved cash generation
Caffyns generated positive operating and free cash flow in 2026 despite losses, indicating the dealership model can still convert activity into cash. Sustained positive cash flow provides liquidity to fund working capital, service debt, and invest in aftersales capabilities over the medium term.
Read all positive factors

Caffyns (79GL) vs. iShares MSCI United Kingdom ETF (EWC)

Caffyns Business Overview & Revenue Model

Company Description
Caffyns PLC operates primarily in the automotive sector, specializing in the retail of both new and pre-owned vehicles. Beyond sales, the company delivers extensive motor vehicle maintenance services and supplies a variety of related products, inc...
How the Company Makes Money
Caffyns makes money primarily through its dealership operations. Key revenue streams typically include (1) vehicle sales, where revenue is generated from selling new and used cars; (2) aftersales services, where revenue is earned from servicing, m...

Caffyns Financial Statement Overview

Summary
Financials are pressured and inconsistent. Revenue fell sharply in 2026 (-37.4% YoY) and profitability deteriorated, with net margin turning negative and very thin EBIT/EBITDA margins (~0.3%/~1.1%). Leverage is elevated and rising (debt-to-equity ~1.49x in 2026), increasing risk in a low-profit period. Cash flow is a relative positive with 2026 operating and free cash flow turning positive, but cash conversion has been volatile across years.
Income Statement
41
Neutral
Balance Sheet
45
Neutral
Cash Flow
52
Neutral
BreakdownMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue270.66M275.46M262.08M251.43M223.93M
Gross Profit31.63M34.69M28.99M33.58M31.95M
EBITDA3.01M5.11M3.25M6.92M7.12M
Net Income-1.29M176.00K-1.20M2.52M3.00M
Balance Sheet
Total Assets108.83M101.71M99.54M100.03M84.49M
Cash, Cash Equivalents and Short-Term Investments4.61M3.76M438.00K4.23M2.76M
Total Debt44.62M37.09M35.80M33.58M26.41M
Total Liabilities78.96M71.79M70.81M68.37M49.76M
Stockholders Equity29.87M29.92M28.74M31.66M34.73M
Cash Flow
Free Cash Flow1.71M-1.37M-2.46M3.33M553.00K
Operating Cash Flow2.53M-303.00K119.00K4.24M3.39M
Investing Cash Flow-567.00K3.83M-2.33M-716.00K-2.65M
Financing Cash Flow-1.12M-208.00K-1.57M-2.05M-3.71M

Caffyns Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
70
Outperform
£2.71B10.7123.83%3.44%-1.76%-29.67%
60
Neutral
£223.07M16.414.05%3.22%1.47%-15.99%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
48
Neutral
£10.91M-2.668.80%
46
Neutral
£99.17M18.8022.27%1.48%8.14%81.96%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:79GL
Caffyns
126.00
7.44
6.28%
GB:INCH
Inchcape
782.00
41.30
5.58%
GB:MOTR
Motorpoint
125.00
-48.00
-27.74%
GB:VTU
Vertu Motors
75.00
14.81
24.61%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 01, 2026