Cake Box Holdings (CBOX) AI Stock Analysis

• Market Cap: £90.86M
• Dividend Yield: 5.04%
• Average Volume (3M): 33.83K
• Price to Earnings (P/E): 20.4
• Beta (1Y): 0.24
• Revenue Growth: 36.73%
• EPS Growth: -18.26%
• Country: UK
• Employees: 173
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Grocery Stores
• EPS (TTM): 0.04
• Shares Outstanding: 44,000,000
• 10 Day Avg. Volume: 31,317
• 30 Day Avg. Volume: 33,826
• PEG Ratio: -18.16
• Price to Book (P/B): 2.67
• Price to Sales (P/S): 1.69
• P/FCF Ratio: 20.45
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 14.26
• Revenue Forecast (FY): £6.12B

• Rating: 70 Outperform
• Price Target: 227.00p ▲(9.93% Upside)

Cake Box Holdings demonstrates strong revenue growth and positive technical indicators, suggesting a favorable market position. However, financial challenges such as declining net profit margins and increased leverage pose risks. The attractive dividend yield provides some compensation for valuation concerns. Overall, the stock presents a balanced risk-reward profile with potential for growth.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business model, supporting long-term expansion and stability.

Franchise Model

The franchise model enables scalable growth with lower capital expenditure, enhancing market penetration and brand presence.

Gross Profit Margin

Improved gross margins reflect efficient cost management, supporting profitability and competitive pricing strategies.

Negative Factors

Net Profit Margin Decline

Declining net profit margins indicate rising costs or inefficiencies, which could pressure long-term profitability if not addressed.

Increased Leverage

Higher leverage may increase financial risk and limit flexibility, necessitating careful debt management to maintain stability.

Free Cash Flow Decrease

Reduced free cash flow suggests potential cash management issues, impacting the ability to invest in growth and return capital to shareholders.

Cake Box Holdings Business Overview & Revenue Model

Company Description

Cake Box Holdings Plc, through its subsidiaries, engages in the retail of fresh cream cakes in the United Kingdom. It offers cakes by celebration, cakes by design, and seasonal cakes, as well as wedding cakes. As of March 31, 2022, the company operated 185 franchise stores. It also engages in the property rental activities. Cake Box Holdings Plc was founded in 2008 and is headquartered in London, the United Kingdom.

How the Company Makes Money

Cake Box Holdings generates revenue primarily through the sale of its cakes and related products in its franchise stores. The company's revenue model is based on a combination of direct sales from its retail outlets and royalties and fees from franchise partners. Key revenue streams include retail sales, franchise royalties, and sales of cake decorating supplies and accessories. Additionally, Cake Box has formed partnerships with other businesses to expand its reach, including online delivery services and collaborations with local events, which further enhance its earnings. The company also benefits from brand loyalty and repeat customers, bolstering its financial performance.

Cake Box Holdings Financial Statement Overview

Summary

Cake Box Holdings shows solid revenue growth and gross profit margins, reflecting strong market demand and cost management. However, declining net profit margins and increased leverage suggest potential financial challenges. The company needs to focus on improving operational efficiency and cash flow management to sustain growth and enhance financial stability.

Income Statement

Cake Box Holdings has demonstrated consistent revenue growth, with a notable 10.78% increase in the latest year. The gross profit margin has improved slightly to 52.49%, indicating efficient cost management. However, the net profit margin has decreased to 10.22%, suggesting increased expenses or other financial pressures. The EBIT and EBITDA margins have also declined, reflecting potential challenges in operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has increased to 0.80, indicating higher leverage, which could pose risks if not managed carefully. Return on equity has decreased to 16.20%, showing reduced profitability from shareholders' investments. The equity ratio stands at 44.06%, suggesting a balanced capital structure but with room for improvement in financial stability.

Cash Flow

Operating cash flow remains strong, but free cash flow has decreased by 20.13%, indicating potential cash management issues. The operating cash flow to net income ratio is 0.52, suggesting moderate cash generation efficiency. The free cash flow to net income ratio is 0.54, highlighting a need for better cash flow management to support profitability.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2021	Dec 2021
Income Statement
Total Revenue	52.81M	42.78M	37.84M	34.80M	21.91M	32.96M
Gross Profit	27.09M	22.46M	19.61M	16.04M	10.26M	14.85M
EBITDA	8.99M	7.76M	7.72M	6.66M	5.40M	8.80M
Net Income	4.24M	4.37M	4.66M	4.24M	3.37M	6.31M
Balance Sheet
Total Assets	60.23M	61.24M	30.74M	27.82M	19.15M	25.90M
Cash, Cash Equivalents and Short-Term Investments	4.04M	6.33M	8.45M	7.35M	5.13M	6.57M
Total Debt	20.68M	21.50M	3.57M	3.94M	1.49M	4.31M
Total Liabilities	34.37M	34.25M	11.44M	10.08M	7.00M	9.12M
Stockholders Equity	25.87M	26.99M	19.30M	17.74M	12.15M	16.78M
Cash Flow
Free Cash Flow	4.34M	3.53M	4.93M	4.19M	3.57M	4.08M
Operating Cash Flow	6.34M	6.60M	6.28M	6.15M	4.28M	5.21M
Investing Cash Flow	-25.41M	-25.15M	-1.14M	-1.90M	-678.51K	-1.12M
Financing Cash Flow	14.83M	16.42M	-4.03M	-3.47M	-2.15M	-2.65M

Cake Box Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 206.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:CBOX, the sentiment is Positive. The current price of 206.5 is above the 20-day moving average (MA) of 206.36, above the 50-day MA of 204.98, and above the 200-day MA of 189.46, indicating a bullish trend. The MACD of 0.40 indicates Positive momentum. The RSI at 52.48 is Neutral, neither overbought nor oversold. The STOCH value of 47.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:CBOX.

Cake Box Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GRG	77 Outperform	£1.76B	12.15	27.24%	3.24%	8.06%	5.15%
CBOX	70 Outperform	£90.86M	20.41	18.88%	5.04%	36.73%	-18.26%
DOM	68 Neutral	£655.98M	8.66	―	6.46%	-0.67%	2.43%
ULTP	68 Neutral	£45.25M	7.91	12.08%	12.00%	-3.45%	-44.02%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
DPP	52 Neutral	£68.42M	-145.00	-1.36%	―	11.73%	85.29%
VCP	41 Neutral	£43.83M	-0.19	―	―	-9.72%	10.94%

Cake Box Holdings Corporate Events

Cake Box Holdings Reports Strong Half-Year Results with Significant Revenue Growth

Cake Box Holdings plc reported a strong performance for the first half of the year, with a 53.5% increase in revenue to £28.8 million, driven by organic growth and contributions from Ambala Foods. Despite a slight decline in profit before tax due to increased interest costs, the company saw significant growth in its digital offerings and online sales, which now account for 25% of franchise store sales. The company continues to expand its store footprint, with nine new Cake Box stores and two new Ambala stores opened during the period. The outlook remains positive, with expectations of continued growth in the second half of the year, supported by strategic investments and a strong start to trading.

Cake Box Holdings to Announce Half-Year Results

Cake Box Holdings plc announced it will release its half-year results for the period ending 28 September 2025 on 26 November 2025. The company will host presentations for analysts and investors, providing insights into its financial performance, which could impact its market positioning and stakeholder interests.