boohoo group Plc (DEBS) AI Stock Analysis

• Market Cap: £263.88M
• Dividend Yield: N/A
• Average Volume (3M): 1.67M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.43
• Revenue Growth: -16.32%
• EPS Growth: -202.39%
• Country: UK
• Employees: 5,079
• Sector: Consumer Cyclical
• Sector Strength: 57
• Industry: Specialty Retail
• EPS (TTM): -0.21
• Shares Outstanding: 1,397,216,600
• 10 Day Avg. Volume: 1,313,393
• 30 Day Avg. Volume: 1,671,213
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• P/FCF Ratio: N/A
• 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: £25.00
• Price Target Upside: 14.42% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 48 Neutral
• Price Target: ―

The stock score reflects significant financial challenges, including declining revenues and cash flow issues, which are major concerns. However, recent corporate events signal potential strategic improvements, and insider confidence provides some encouragement. Technical indicators suggest bearish momentum, while valuation remains unattractive due to recent losses.

Positive Factors

Financial Strategy

The group is accelerating its transition to a Debs-led model, which is stock-light, capital-light, and offers higher margins.

Funding Position

The funding position has been improved by the equity raise, freehold disposal, and £50m of headcount savings.

Negative Factors

Earnings Estimates

Analysts have cut estimates and anticipate losses, moving their recommendation from Buy to Hold.

Youth Brands Performance

Youth Brands, which make up over 80% of group revenue, are struggling due to over-investment in staff, stock, and infrastructure, leading to negative impacts on volumes.

boohoo group Plc Business Overview & Revenue Model

Company Description

Boohoo Group Plc (BOO) is a leading British online fashion retailer known for its fast fashion clothing and accessories. The company operates in the e-commerce sector, providing a wide range of affordable and trendy fashion items primarily targeted at young adults. Boohoo's core products include men's and women's clothing, footwear, and accessories, with a focus on delivering the latest fashion trends quickly and affordably to its global customer base.

How the Company Makes Money

Boohoo Group Plc makes money primarily through direct-to-consumer online sales of fashion products. The company's revenue model is centered around its e-commerce platform, where it leverages digital marketing strategies to drive traffic and sales. Key revenue streams include the sale of its own branded merchandise, as well as products from various subsidiary brands it has acquired over the years, such as PrettyLittleThing, Nasty Gal, and MissPap. Boohoo's ability to rapidly design, produce, and distribute new fashion collections allows it to capitalize on current trends, boosting sales and customer engagement. The company also benefits from economies of scale and efficient supply chain management, which help to maintain competitive pricing while maximizing profit margins.

boohoo group Plc Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Breakdown
Income Statement
Total Revenue
Gross Profit
EBITDA
Net Income
Balance Sheet
Total Assets
Cash, Cash Equivalents and Short-Term Investments
Total Debt
Total Liabilities
Stockholders Equity
Cash Flow
Free Cash Flow
Operating Cash Flow
Investing Cash Flow
Financing Cash Flow

boohoo group Plc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 21.85
• 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:DEBS, the sentiment is Negative. The current price of 21.85 is above the 20-day moving average (MA) of 21.75, above the 50-day MA of 21.80, and below the 200-day MA of 27.45, indicating a bearish trend. The MACD of -0.25 indicates Positive momentum. The RSI at 40.04 is Neutral, neither overbought nor oversold. The STOCH value of 12.49 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:DEBS.

boohoo group Plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JD	77 Outperform	£4.65B	9.61	18.22%	1.08%	2.85%	61.98%
NXT	76 Outperform	£14.63B	20.39	46.76%	1.20%	11.42%	-7.03%
MKS	71 Outperform	£7.18B	24.37	10.25%	1.07%	6.87%	22.36%
FRAS	69 Neutral	£2.85B	9.70	16.46%	―	-6.82%	-37.46%
Sector *	66 Neutral	£1.86B	11.40	6.20%	3.05%	0.61%	-17.57%
ASC	50 Neutral	£376.54M	―	-62.59%	―	-15.86%	-18.46%
DEBS	48 Neutral	£263.88M	―	-96.36%	―	-16.32%	-202.39%

boohoo group Plc Corporate Events

Boohoo Group Rebrands to Debenhams Despite Shareholder Vote

Boohoo group plc announced the outcome of its General Meeting, where the proposal to change the corporate name to Debenhams Group plc was not passed. Despite this, the company will continue to operate under the Debenhams brand, with a new stock market identifier ‘DEBS’ effective from March 31, 2025. The board expressed satisfaction with the majority shareholder support and remains optimistic about the company’s future, emphasizing the successful turnaround of Debenhams as a model for the broader group’s strategy.

boohoo Group Rebrands as Debenhams Group Following Successful Turnaround

boohoo group Plc has successfully completed the turnaround of Debenhams, transforming it into a profitable and rapidly growing online department store. The company will now operate as Debenhams Group, focusing on a marketplace-led business model to enhance growth and profitability. This strategic shift is expected to drive the recovery of the wider group, including its youth brands, and strengthen its position in the global digital retail space. The group has also announced a new ESG strategy and leadership changes, including the appointment of Phil Ellis as the new CFO.

Frasers Group Increases Stake in Boohoo Group

Frasers Group Plc has increased its stake in Boohoo Group PLC, raising its voting rights from 28.008079% to 29.053700%. This acquisition of voting rights indicates a strategic move by Frasers Group to strengthen its influence within Boohoo, potentially impacting the company’s strategic decisions and market positioning.

boohoo Group Grants Shares to Executives and Directors

boohoo group plc announced the grant of options over 8,293,104 ordinary shares to its top executives, Dan Finley and Stephen Morana, as part of their compensation and appointment agreements. Additionally, the company issued 275,864 shares to its non-executive directors as part of their compensation package. These actions are part of boohoo’s strategy to align management incentives with company performance, enhancing its operational and strategic positioning. The issuance of new shares will not dilute existing shareholders’ interests, maintaining the company’s focus on sustainable growth.

boohoo Co-Founder Increases Stake with Share Purchase

Carol Kane, Co-Founder and Executive Director of boohoo group plc, has purchased 330,295 ordinary shares, increasing her stake to approximately 1.50% of the company’s issued share capital. This transaction reflects insider confidence and may influence shareholder perspectives on the company’s stability and future prospects.

Boohoo Shareholders Reject Frasers’ Proposal to Remove Director

Boohoo Group plc announced that shareholders overwhelmingly rejected the proposal by Frasers Group plc to remove Mahmud Kamani as a director. With over 63% of votes against the resolution, the Board emphasized its commitment to creating shareholder value and urged Frasers to cease its destabilizing efforts. The outcome reflects strong support from shareholders, aligning with a previous rejection of Frasers’ attempts in December, reinforcing the Board’s mandate to focus on maximizing shareholder value.

Glass Lewis Advises Against Removing Mahmud Kamani from Boohoo’s Board

Boohoo group plc faces a recommendation from independent proxy adviser Glass Lewis for shareholders to vote against a resolution to remove Mahmud Kamani as a director at the upcoming General Meeting. Glass Lewis acknowledges the company’s recent strategic actions, including a business review and leadership changes, which they believe will retain Kamani’s expertise while empowering new leadership to enhance performance. The recommendation aligns with the company’s Independent Committee and Institutional Shareholder Services Inc., indicating significant support for the current leadership strategy.

boohoo Board Urges Rejection of Frasers’ Resolution

The Independent Committee of boohoo group plc is urging shareholders to vote against the resolution proposed by Frasers Group plc at the upcoming General Meeting, which seeks to remove Mahmud Kamani as a director. This recommendation is supported by Institutional Shareholder Services Inc. (ISS) and stems from concerns that Frasers’ actions aim to destabilize boohoo’s operations for its own commercial gain. The committee highlights the strategic steps taken by the board to enhance shareholder value, such as appointing Dan Finley as CEO, implementing cost savings, and raising equity capital.

boohoo’s Co-Founder Increases Shareholding, Signaling Confidence

boohoo group plc announced that Carol Kane, Co-Founder and Executive Director, has purchased 320,943 ordinary shares at a price of 31.08 pence per share, increasing her beneficial interest to approximately 1.47% of the company’s issued share capital. This transaction could signify confidence in the company’s future prospects and may influence the perception of stakeholders regarding the company’s market position and leadership stability.