AG Barr (BAG) AI Stock Analysis

• Market Cap: £720.89M
• Dividend Yield: 2.13%
• Average Volume (3M): 197.11K
• Price to Earnings (P/E): 14.8
• Beta (1Y): 0.45
• Revenue Growth: 3.97%
• EPS Growth: 34.09%
• Country: UK
• Employees: 981
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Beverages - Non-Alcoholic
• EPS (TTM): 0.25
• Shares Outstanding: 112,028,870
• 10 Day Avg. Volume: 163,843
• 30 Day Avg. Volume: 197,109
• PEG Ratio: 5.96
• Price to Book (P/B): 2.13
• Price to Sales (P/S): 1.61
• P/FCF Ratio: 23.24
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: £775.00
• Price Target Upside: 19.60% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 70 Outperform
• Price Target: 697.00p ▲(7.56% Upside)

AG Barr's strong financial performance and positive corporate events are offset by bearish technical indicators. The company's valuation is fair, and the dividend yield adds to its attractiveness. The lack of earnings call data means this component is excluded from the analysis.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, enhancing the company's long-term competitive position.

Balance Sheet Health

A strong balance sheet with low leverage provides financial flexibility and reduces risk, supporting sustainable growth and resilience in economic downturns.

Profitability

Strong profitability margins reflect efficient operations and cost control, enhancing the company's ability to reinvest in growth opportunities and withstand competitive pressures.

Negative Factors

Free Cash Flow Decline

A decline in free cash flow could impact the company's ability to fund new projects or return capital to shareholders, potentially affecting long-term growth and shareholder value.

Cash Flow Conversion

While cash flow conversion is effective, the slight decline in free cash flow suggests potential challenges in maintaining cash reserves, which could impact future investments.

Market Sentiment

Although primarily a short-term indicator, persistent negative sentiment could affect investor confidence, impacting the company's ability to raise capital or pursue strategic initiatives.

AG Barr Business Overview & Revenue Model

Company Description

AG Barr (BAG) is a leading UK-based soft drinks manufacturer, renowned for its iconic brands including Irn-Bru, Strontian, and Barr's fruit-flavored drinks. The company operates primarily within the non-alcoholic beverage sector, focusing on producing a diverse range of carbonated soft drinks, energy drinks, and fruit juices. AG Barr has established a strong presence in both the retail and foodservice markets, catering to a wide audience across the United Kingdom and beyond.

How the Company Makes Money

AG Barr generates revenue primarily through the sale of its wide array of beverages. The company's revenue model is built on multiple key streams: retail sales through supermarkets, convenience stores, and online platforms; partnerships with foodservice providers like restaurants and cafes; and export sales to international markets. The company benefits from strong brand loyalty, particularly with its flagship product, Irn-Bru, contributing significantly to its earnings. Additionally, AG Barr engages in strategic partnerships and promotional campaigns to enhance brand visibility and drive sales. Seasonal and promotional product lines also serve to boost revenue during peak periods.

AG Barr Financial Statement Overview

Summary

AG Barr presents a strong financial profile with consistent revenue and profit growth, efficient operations, and a robust balance sheet with low leverage. The company's cash flow generation is solid, though there was a slight decline in free cash flow recently. Overall, AG Barr is well-positioned financially with stable growth and low risk.

Income Statement

AG Barr has demonstrated consistent revenue growth, with a strong increase from £400M to £420.4M in the most recent year, reflecting a 5.1% growth rate. Gross profit margin remains robust at 39.1%, indicating efficient cost management. The net profit margin improved slightly to 9.4%, showcasing profitability. EBIT and EBITDA margins are healthy at 12.3% and 15.7%, respectively, underscoring operational efficiency.

Balance Sheet

The company's balance sheet is stable, with a low debt-to-equity ratio of 0.01, indicating minimal reliance on debt financing. The return on equity is impressive at 12.5%, reflecting efficient use of equity to generate profits. The equity ratio stands at 73.4%, highlighting a strong equity base against total assets, which enhances financial stability.

Cash Flow

AG Barr's cash flow position is solid, with a free cash flow to net income ratio of 0.73, indicating effective conversion of profits into cash. The operating cash flow to net income ratio is 1.22, showcasing robust cash generation from operations. However, the free cash flow decreased slightly from the previous year by 5.2%, which warrants attention.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	420.40M	420.40M	400.00M	317.60M	268.60M	227.00M
Gross Profit	163.10M	164.30M	154.20M	128.10M	118.60M	93.60M
EBITDA	65.90M	65.90M	63.80M	55.70M	53.80M	39.50M
Net Income	39.70M	39.70M	38.50M	33.90M	27.80M	19.10M
Balance Sheet
Total Assets	432.90M	432.90M	401.70M	377.50M	336.30M	302.10M
Cash, Cash Equivalents and Short-Term Investments	64.80M	64.80M	53.60M	53.60M	68.70M	52.90M
Total Debt	4.60M	4.60M	4.90M	5.80M	4.40M	5.40M
Total Liabilities	115.30M	115.30M	109.00M	108.70M	88.10M	73.30M
Stockholders Equity	317.60M	317.60M	292.70M	268.80M	244.50M	228.80M
Cash Flow
Free Cash Flow	30.30M	29.10M	30.70M	21.30M	38.40M	43.60M
Operating Cash Flow	49.50M	48.30M	48.50M	35.90M	43.40M	50.70M
Investing Cash Flow	-40.70M	-39.30M	-8.10M	-71.50M	-9.00M	-8.00M
Financing Cash Flow	-21.00M	-21.20M	-19.70M	-20.20M	-15.70M	-3.60M

AG Barr Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 648.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:BAG, the sentiment is Neutral. The current price of 648 is above the 20-day moving average (MA) of 637.00, below the 50-day MA of 657.06, and below the 200-day MA of 666.77, indicating a neutral trend. The MACD of -5.08 indicates Negative momentum. The RSI at 54.56 is Neutral, neither overbought nor oversold. The STOCH value of 90.26 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:BAG.

AG Barr Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CCH	78 Outperform	£14.05B	18.34	28.56%	1.95%	6.00%	42.42%
FEVR	74 Outperform	£959.70M	39.00	9.97%	2.06%	-6.03%	13.11%
BAG	70 Outperform	£720.89M	14.80	15.73%	2.13%	3.97%	34.09%
NICL	67 Neutral	£348.80M	19.92	18.67%	3.36%	3.04%	-6.67%
CCR	65 Neutral	£497.25M	28.48	3.72%	4.01%	-2.22%	―
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
PZC	54 Neutral	£311.26M	-53.77	-2.51%	4.85%	-2.67%	89.86%

AG Barr Corporate Events

AG Barr Executives Reinforce Stakeholder Confidence with Share Purchases

AG Barr PLC has announced the purchase of shares by key executives, including CEO Euan Sutherland, CFO Stuart Lorimer, and Chief Legal Officer Julie Barr, as part of a nominee account dividend reinvestment plan. This transaction, conducted on the London Stock Exchange, reflects the company’s ongoing commitment to aligning management interests with shareholder value, potentially strengthening stakeholder confidence in its strategic direction.

AG Barr Executives Increase Stake Through Share Ownership Plan

AG Barr has announced the purchase of shares by its key executives as part of the All Employee Share Ownership Plan (AESOP) dividend reinvestment. This transaction, conducted on the London Stock Exchange, indicates a commitment from the company’s leadership to align their interests with shareholders, potentially strengthening stakeholder confidence and supporting the company’s market position.

A.G. Barr Enhances Employee Ownership with Share Purchase Plan

A.G. Barr p.l.c. announced transactions involving the purchase of shares by its top executives as part of the All Employee Share Ownership Plan (AESOP). This plan allows employees to buy company shares using salary deductions and receive matching shares, fostering a sense of ownership and potentially aligning employee interests with company performance. The transactions were conducted on the London Stock Exchange, with the executives acquiring shares at a price of £6.75978 each, reflecting the company’s commitment to employee engagement and retention.

A.G. Barr Executives Participate in Employee Share Ownership Plan

A.G. Barr PLC announced a transaction involving the purchase of shares by its top executives as part of the A.G. BARR All Employee Share Ownership Plan (AESOP). This plan allows employees to purchase company shares through salary deductions and receive matching free shares, which is a strategic move to align employee interests with company performance and enhance stakeholder engagement.

A.G. BARR Reports Strong H1 Results with Strategic Progress

A.G. BARR reported strong interim results for the first half of 2025, with a 3.1% revenue increase driven by the soft drinks segment, particularly the Boost brand. The company achieved a 20.1% rise in adjusted profit before tax, reflecting strategic progress and improved manufacturing efficiencies. A.G. BARR’s acquisition of a stake in Innate-Essence Ltd aligns with its strategy to diversify into the functional beverages market, while the sale of Strathmore underscores its focus on core brand growth. The company remains confident in its strategy for sustainable, profitable growth, supported by increased marketing and product innovation.

AG Barr Executives Participate in Share Ownership Plan

AG Barr PLC has announced the purchase of shares by its senior management team under the All Employee Share Ownership Plan (AESOP). This plan allows employees to buy shares using salary deductions and receive matching shares, reflecting the company’s commitment to employee investment and engagement. The transactions, conducted on the London Stock Exchange, highlight AG Barr’s strategy to align employee interests with company performance, potentially enhancing stakeholder value.