Bunzl plc (BNZL) AI Stock Analysis

• Market Cap: £7.73B
• Dividend Yield: 2.91%
• Average Volume (3M): 1.08M
• Price to Earnings (P/E): 16.4
• Beta (1Y): 0.19
• Revenue Growth: 1.92%
• EPS Growth: 0.50%
• Country: UK
• Employees: 26,978
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Food Distribution
• EPS (TTM): 0.78
• Shares Outstanding: 325,449,460
• 10 Day Avg. Volume: 1,140,836
• 30 Day Avg. Volume: 1,075,399
• PEG Ratio: -4.94
• Price to Book (P/B): 3.95
• Price to Sales (P/S): 0.94
• P/FCF Ratio: 12.87
• 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: £2,595.83
• Price Target Upside: 9.99% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 6

• Rating: 70 Outperform
• Price Target: 2,704.00p ▲(14.58% Upside)

Bunzl plc's overall stock score reflects solid financial performance and a fair valuation, tempered by mixed technical indicators and challenges highlighted in the earnings call. The company's strong cash flow and strategic acquisitions provide a foundation for long-term growth, but immediate challenges in key markets need to be addressed.

Positive Factors

Acquisition Strategy

Bunzl's acquisition strategy enhances its market position and product offerings, supporting long-term growth by expanding into new markets like Chile.

Cash Conversion Efficiency

High cash conversion efficiency indicates strong operational management, ensuring liquidity and financial stability for future investments.

Long-Term Growth Strategy

Commitment to long-term growth through organic and acquisition-driven expansion positions Bunzl for sustained market leadership and profitability.

Negative Factors

Operating Profit Decline

A decline in operating profit indicates potential challenges in cost management and pricing power, which could affect future profitability.

Challenges in North America

Operational challenges in North America may impact revenue and profit margins, requiring strategic adjustments to regain market strength.

Free Cash Flow Decline

A decline in free cash flow limits Bunzl's ability to invest in growth opportunities and manage debt, affecting long-term financial flexibility.

Bunzl plc Business Overview & Revenue Model

Company Description

Bunzl plc operates as a distribution and services company in the North America, Continental Europe, the United Kingdom, Ireland, and internationally. The company offers food packaging, films, labels, cleaning and hygiene supplies, and personal protection equipment to grocery stores, supermarkets, and convenience stores. It also provides food packaging, disposable tableware, guest amenities, catering equipment, agricultural supplies, cleaning and hygiene products, and safety items to hotels, restaurants, contract caterers, food processors, commercial growers, and the leisure sector; and gloves, boots, hard hats, ear and eye protection, and other workwear, as well as cleaning and hygiene supplies, and asset protection products to industrial and construction, and ecommerce sectors. In addition, the company offers chemicals and hygiene paper to cleaning and facilities management companies, and industrial and public customers; gloves, masks, swabs, gowns, bandages, and other healthcare related equipment; and healthcare devices to hospitals, care homes, and other facilities serving the healthcare sector. Further, it provides packaging and other store supplies to retail chains, boutiques, department stores, home improvement chains, office supply companies, and related e-commerce sales channels. The company was founded in 1854 and is headquartered in London, the United Kingdom.

How the Company Makes Money

Bunzl plc generates revenue through the distribution of a wide range of products, including packaging materials, cleaning and hygiene supplies, safety equipment, and food service items. The company's primary revenue model is based on the sale of these products to businesses in various sectors, which are often required in high volumes. Key revenue streams include direct sales to customers, contract agreements with businesses for ongoing supply needs, and value-added services that enhance customer loyalty and retention. Bunzl's strong relationships with suppliers and manufacturers allow it to source products efficiently, ensuring competitive pricing. Additionally, the company benefits from economies of scale due to its global presence, which further contributes to its profitability.

Bunzl plc Financial Statement Overview

Summary

Bunzl plc demonstrates solid financial performance with effective margin management and operational efficiency. Despite modest revenue growth, profitability remains strong. The balance sheet shows increased leverage, which requires monitoring, but the company continues to generate strong cash flows, supporting its financial stability.

Income Statement

Bunzl plc shows stable revenue with slight growth challenges, as seen by a marginal decline in revenue compared to the previous year. Gross profit margin is consistent, indicating effective cost management. However, net profit margin decreased slightly due to increased expenses. The EBIT and EBITDA margins are strong, reflecting efficient operational performance.

Balance Sheet

The company maintains a robust equity position with an equity ratio of around 29% to 31% over recent years. The debt-to-equity ratio has increased, indicating rising leverage which might pose a risk if not managed carefully. The return on equity (ROE) remains strong, showcasing effective utilization of equity for generating profits.

Cash Flow

Cash flow from operations remains healthy, supporting positive free cash flow. The company's free cash flow to net income ratio is solid, indicating strong conversion of net income to cash. Free cash flow growth is stable, despite fluctuations in capital expenditures and financing activities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.94B	11.78B	11.80B	12.04B	10.29B	10.11B
Gross Profit	3.14B	3.39B	3.19B	1.62B	1.31B	1.38B
EBITDA	897.90M	1.22B	1.18B	1.03B	909.00M	896.20M
Net Income	392.65M	500.40M	526.20M	474.40M	442.80M	430.00M
Balance Sheet
Total Assets	8.27B	9.53B	8.75B	8.85B	7.20B	6.91B
Cash, Cash Equivalents and Short-Term Investments	481.00M	1.43B	1.43B	1.50B	776.90M	944.30M
Total Debt	2.80B	3.72B	3.09B	3.13B	2.59B	2.71B
Total Liabilities	5.72B	6.74B	5.78B	6.13B	4.99B	4.99B
Stockholders Equity	2.55B	2.79B	2.97B	2.72B	2.20B	1.92B
Cash Flow
Free Cash Flow	600.65M	856.50M	845.70M	859.20M	665.60M	715.60M
Operating Cash Flow	647.35M	910.90M	904.00M	905.90M	698.30M	748.70M
Investing Cash Flow	-280.50M	-609.10M	-339.50M	-239.40M	-466.70M	-395.10M
Financing Cash Flow	-511.50M	-381.10M	-666.90M	-269.10M	-415.20M	-65.60M

Bunzl plc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2360.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:BNZL, the sentiment is Negative. The current price of 2360 is below the 20-day moving average (MA) of 2477.00, below the 50-day MA of 2381.16, and below the 200-day MA of 2706.10, indicating a bearish trend. The MACD of -9.96 indicates Positive momentum. The RSI at 33.37 is Neutral, neither overbought nor oversold. The STOCH value of 2.94 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:BNZL.

Bunzl plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SRP	77 Outperform	2.33B	47.76	5.25%	1.51%	0.84%	-62.73%
DPLM	73 Outperform	7.07B	42.56	14.56%	1.14%	15.75%	44.11%
BNZL	70 Outperform	£7.73B	16.37	17.98%	2.91%	1.92%	0.50%
MTO	70 Outperform	1.81B	16.65	24.71%	3.10%	14.34%	-16.43%
KITW	70 Outperform	186.73M	10.42	13.42%	5.28%	19.01%	-15.21%
RTO	62 Neutral	9.29B	35.40	7.26%	2.02%	-1.58%	-34.64%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%

Bunzl plc Corporate Events

Bunzl plc Enhances Shareholder Value Through Strategic Share Buyback

Bunzl plc announced the repurchase of 9,561 of its ordinary shares at an average price of £25.0350 per share, as part of its ongoing share buyback program initiated with UBS AG London Branch. The company intends to cancel these shares, which will result in a total of 325,981,670 ordinary shares in issue, impacting the voting rights and shareholding structure. Since the start of the buyback program, Bunzl has repurchased a total of 3,815,894 shares, reflecting its strategic focus on optimizing capital structure and enhancing shareholder value.

The most recent analyst rating on (GB:BNZL) stock is a Hold with a £31.00 price target. To see the full list of analyst forecasts on Bunzl plc stock, see the GB:BNZL Stock Forecast page.

Bunzl Enhances Shareholder Value with Strategic Share Buyback

Bunzl plc has repurchased 159,923 of its ordinary shares at an average price of £25.0119 per share, as part of its ongoing share buyback program. This transaction, conducted through UBS AG London Branch, is in line with the authority granted by shareholders and aims to cancel the repurchased shares, impacting the total number of voting rights in the company. Since the start of the buyback program, Bunzl has repurchased a total of 3,806,333 shares, reflecting a strategic move to enhance shareholder value and optimize capital structure.

The most recent analyst rating on (GB:BNZL) stock is a Hold with a £31.00 price target. To see the full list of analyst forecasts on Bunzl plc stock, see the GB:BNZL Stock Forecast page.

Bunzl Enhances Shareholder Value with Latest Share Buyback

Bunzl plc has repurchased 98,802 of its ordinary shares on the London Stock Exchange as part of its ongoing share buyback program. This transaction, executed through UBS AG London Branch, is in line with the authority granted by shareholders and reflects Bunzl’s strategy to enhance shareholder value by reducing the number of shares in circulation, thereby increasing the value of remaining shares. Following this purchase, Bunzl has no shares in treasury and has a total of 326,146,918 shares in issue, which will impact the voting rights and shareholding calculations for stakeholders.

The most recent analyst rating on (GB:BNZL) stock is a Hold with a £31.00 price target. To see the full list of analyst forecasts on Bunzl plc stock, see the GB:BNZL Stock Forecast page.

Bunzl Enhances Shareholder Value with Share Buyback

Bunzl plc, a company involved in the distribution and outsourcing services industry, has announced the repurchase of 98,802 of its ordinary shares on the London Stock Exchange. This action is part of a broader share buyback program initiated earlier in the year, aimed at optimizing the company’s capital structure. The repurchased shares are intended to be canceled, which will adjust the total number of voting rights in the company to 326,146,918. This move reflects Bunzl’s ongoing efforts to enhance shareholder value and manage its equity base effectively.

The most recent analyst rating on (GB:BNZL) stock is a Hold with a £31.00 price target. To see the full list of analyst forecasts on Bunzl plc stock, see the GB:BNZL Stock Forecast page.

Bunzl plc Announces Share Buyback and Cancellation

Bunzl plc has announced the repurchase of 98,703 of its ordinary shares on the London Stock Exchange, as part of a buyback program initiated in March 2025. The company intends to cancel these shares, which will adjust the total number of voting rights to 326,245,720. This move is part of Bunzl’s strategy to manage its capital structure and potentially enhance shareholder value.

The most recent analyst rating on (GB:BNZL) stock is a Hold with a £31.00 price target. To see the full list of analyst forecasts on Bunzl plc stock, see the GB:BNZL Stock Forecast page.

Bunzl plc Completes Share Buyback as Part of Capital Management Strategy

Bunzl plc announced the repurchase of 97,470 of its ordinary shares on the London Stock Exchange, as part of a buyback program initiated in March 2025. The shares were purchased at an average price of £25.6487 per share and will be canceled, leaving the company with 326,344,423 shares in issue. This buyback is part of a broader strategy to manage the company’s capital structure and could impact shareholder value by reducing the number of shares outstanding, potentially increasing earnings per share.

The most recent analyst rating on (GB:BNZL) stock is a Hold with a £31.00 price target. To see the full list of analyst forecasts on Bunzl plc stock, see the GB:BNZL Stock Forecast page.

Bunzl Enhances Shareholder Value with Continued Share Buyback

Bunzl plc announced the repurchase of 84,782 of its ordinary shares as part of its ongoing share buyback program. This move, executed through UBS AG London Branch, reflects Bunzl’s strategy to optimize its capital structure and enhance shareholder value. The company intends to cancel the repurchased shares, which will impact the total number of voting rights, now standing at 326,441,893. Since the start of the buyback program, Bunzl has repurchased over 3.35 million shares, indicating a significant commitment to returning value to shareholders.

The most recent analyst rating on (GB:BNZL) stock is a Hold with a £31.00 price target. To see the full list of analyst forecasts on Bunzl plc stock, see the GB:BNZL Stock Forecast page.

Bunzl plc Executes Share Buyback to Enhance Shareholder Value

Bunzl plc has announced the repurchase of 98,085 of its ordinary shares on the London Stock Exchange as part of a buyback program initiated in March 2025. This move, which follows shareholder approval, is aimed at reducing the number of shares in circulation, potentially increasing the value of remaining shares and enhancing shareholder returns.

The most recent analyst rating on (GB:BNZL) stock is a Hold with a £31.00 price target. To see the full list of analyst forecasts on Bunzl plc stock, see the GB:BNZL Stock Forecast page.

Bunzl plc Announces Share Repurchase and Cancellation

Bunzl plc, a global distribution and outsourcing company, announced the repurchase of 97,878 of its ordinary shares on the London Stock Exchange as part of its ongoing share buyback program. The repurchase was conducted through UBS AG London Branch, with the average price per share being £25.5418. Bunzl intends to cancel these shares, which will impact the total number of voting rights in the company, now standing at 326,659,768. This move is part of a broader strategy to manage the company’s capital structure and could have implications for shareholder value and market perception.

The most recent analyst rating on (GB:BNZL) stock is a Hold with a £31.00 price target. To see the full list of analyst forecasts on Bunzl plc stock, see the GB:BNZL Stock Forecast page.