boohoo group Plc (DEBS) AI Stock Analysis

• Market Cap: £276.82M
• Dividend Yield: N/A
• Average Volume (3M): 5.71M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.06
• Revenue Growth: -65.42%
• EPS Growth: 27.73%
• Country: UK
• Employees: 3,869
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Specialty Retail
• EPS (TTM): >-0.01
• Shares Outstanding: 1,397,498,200
• 10 Day Avg. Volume: 3,818,282
• 30 Day Avg. Volume: 5,712,207
• PEG Ratio: 0.00
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: £14.33
• Price Target Upside: -41.50% Downside
• Rating Consensus: Strong Sell
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: 24.00p ▼(-2.04% Downside)

The overall stock score is primarily impacted by the company's poor financial performance and concerning valuation metrics. While technical analysis shows some short-term bullish momentum, the overbought indicators suggest caution. Positive corporate events provide some optimism, but the financial distress remains a significant risk.

Positive Factors

Direct-to-consumer e-commerce model

A pure DTC e-commerce model gives durable advantages: lower distribution costs, direct customer data for targeted marketing, and scalable out-of-market expansion. Over months this supports higher gross contribution per sale and faster adaptation to changing fashion trends via agile inventory turns.

Multi-brand portfolio

Owning multiple complementary fast-fashion brands diversifies customer cohorts and merchandising risk. It enables cross-brand promotion, shared logistics and tech, and segment-specific positioning that can sustain revenue mix resilience as trends shift across younger consumer groups over the medium term.

Insider buying and strategic initiatives

Director share purchases and a new incentive scheme signal management alignment with shareholders and commitment to a strategic turnaround. Such governance moves can support disciplined execution of long-term cost and margin improvement plans and improve investor confidence if sustained.

Negative Factors

Severe revenue contraction

A greater than 65% decline in reported revenue is a structural red flag for scale and market relevance. Sustained top-line erosion reduces operating leverage, limits reinvestment capacity, and makes it harder to cover fixed costs, hindering medium-term recovery prospects without material strategy change.

High leverage and weakened equity base

Very high leverage and a shrinking equity base increase refinancing and solvency risk, constrain capital allocation, and elevate interest sensitivity. Over several months this limits strategic flexibility, raises default risk in stress, and can force asset sales or dilutive financing to shore up the balance sheet.

Negative operating cash flow and margins

Negative operating cash flow combined with deteriorating margins indicates the business is not generating self-sustaining cash. Persisting cash deficits will pressure liquidity, impede investment in growth or inventory, and force external financing, making durable recovery reliant on swift margin improvement.

boohoo group Plc Business Overview & Revenue Model

Company Description

Debenhams Group PLC, through its subsidiaries, operates as an online clothing retailer in the United Kingdom, rest of Europe, the United States, and internationally. The company designs, sources, markets, and sells fashion clothing, home and beauty products, shoes, and accessories for 16-to-60+ year age customers. It provides its products under the boohoo, boohooMAN, PrettyLittleThing, Nasty Gal, MissPap, Karen Millen, coast, Oasis, Warehouse, Dorothy Perkins, Wallis, Burton London, and Debenhams brands. boohoo group plc was founded in 2006 and is headquartered in Manchester, the United Kingdom.

How the Company Makes Money

Boohoo generates revenue primarily through direct-to-consumer sales via its e-commerce platforms. The company's revenue model is heavily based on online sales, with a significant portion coming from its various branded websites. Key revenue streams include sales from its own branded merchandise, as well as collaborations and partnerships with influencers and celebrities that help to drive traffic and sales. Additionally, Boohoo benefits from a low-cost operating model combined with rapid inventory turnover, which allows it to respond quickly to fashion trends and consumer demands. The company also leverages international markets for expansion, further contributing to its earnings.

boohoo group Plc Financial Statement Overview

Summary

Boohoo Group Plc is facing significant financial challenges, with declining revenues, negative profitability, and increased leverage. The cash flow situation is concerning, with negative operating cash flow and declining free cash flow, indicating financial distress and potential risks for future stability.

Income Statement

The income statement reveals significant challenges for boohoo group Plc. The company has experienced a sharp decline in revenue, with a 45.9% decrease in the most recent year. Gross profit margins have decreased slightly over the years, and net profit margins have turned negative, indicating substantial losses. EBIT and EBITDA margins are also negative, reflecting operational inefficiencies and financial distress.

Balance Sheet

The balance sheet shows a concerning financial position. The debt-to-equity ratio has increased dramatically to 62.33, indicating high leverage and potential solvency issues. Return on equity is negative, highlighting the company's inability to generate profits from shareholders' equity. The equity ratio has also decreased, suggesting a weakened financial structure.

Cash Flow

Cash flow analysis indicates negative trends, with free cash flow growth being negative and operating cash flow turning negative in the latest period. The operating cash flow to net income ratio is negative, reflecting cash flow challenges. However, the free cash flow to net income ratio is positive, suggesting some ability to cover losses with free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	467.40M	790.30M	1.46B	1.77B	1.98B	1.75B
Gross Profit	197.40M	389.70M	756.10M	895.20M	1.04B	945.20M
EBITDA	-58.90M	-184.90M	-53.70M	-10.80M	63.20M	154.80M
Net Income	-202.20M	-326.40M	-137.80M	-75.60M	-4.00M	90.70M
Balance Sheet
Total Assets	469.90M	525.90M	1.08B	1.23B	998.40M	775.90M
Cash, Cash Equivalents and Short-Term Investments	30.40M	44.70M	230.00M	330.90M	101.30M	276.00M
Total Debt	217.20M	243.10M	446.90M	463.60M	151.90M	18.30M
Total Liabilities	469.80M	522.00M	795.70M	825.70M	534.10M	303.40M
Stockholders Equity	100.00K	3.90M	279.70M	400.00M	464.30M	472.50M
Cash Flow
Free Cash Flow	-4.30M	-34.00M	-62.90M	45.50M	-251.20M	40.10M
Operating Cash Flow	-30.00M	-12.70M	1.90M	136.70M	10.30M	162.80M
Investing Cash Flow	42.20M	32.20M	-54.80M	-103.30M	-261.50M	-283.40M
Financing Cash Flow	-111.70M	-202.90M	-48.00M	196.20M	76.50M	151.20M

boohoo group Plc Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 24.50
• 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:DEBS, the sentiment is Neutral. The current price of 24.5 is above the 20-day moving average (MA) of 22.44, above the 50-day MA of 18.52, and above the 200-day MA of 18.29, indicating a neutral trend. The MACD of 0.85 indicates Positive momentum. The RSI at 50.08 is Neutral, neither overbought nor oversold. The STOCH value of 43.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:DEBS.

boohoo group Plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FRAS	73 Outperform	£3.00B	6.42	19.54%	―	-6.43%	52.93%
JD	71 Outperform	£4.17B	8.53	19.64%	1.21%	14.60%	58.84%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
SOS	60 Neutral	£18.88M	-20.51	-5.63%	―	-1.65%	-454.55%
THG	60 Neutral	£828.80M	-4.73	-18.75%	―	-20.36%	44.33%
ASC	59 Neutral	£355.34M	-1.19	-81.34%	―	-14.89%	12.08%
DEBS	46 Neutral	£276.82M	-1.38	-172.24%	―	-65.42%	27.73%

boohoo group Plc Corporate Events

Debenhams Group Co-Founders Increase Shareholdings, Signaling Confidence

Boohoo Group Plc, operating as Debenhams Group, announced significant share purchases by its co-founders, Mahmud Kamani and Carol Kane. Kamani acquired 3 million shares, increasing his stake to 12.70% of the company’s issued share capital, while Kane purchased 2 million shares, raising her stake to 2.13%. These transactions reflect confidence in the company’s future prospects and may influence shareholder perceptions and market dynamics. The total number of ordinary shares and voting rights remains unchanged, providing a stable basis for shareholder calculations under regulatory disclosure rules.

The most recent analyst rating on (GB:DEBS) stock is a Sell with a £15.00 price target. To see the full list of analyst forecasts on boohoo group Plc stock, see the GB:DEBS Stock Forecast page.

Debenhams Group Launches New Incentive Scheme to Drive Turnaround Strategy

Boohoo Group Plc, under its subsidiary Debenhams Group, has introduced a new Group Turnaround Scheme (GTS) aimed at incentivizing its executives and senior management to execute a multi-year turnaround strategy. This initiative comes after a comprehensive review of the company’s remuneration policy, aligning it with the goal of restoring profitability and unlocking shareholder value. The GTS replaces previous incentive schemes and is designed to drive significant share price growth, with a focus on retaining key management figures. The scheme has been structured to deliver substantial market capitalization growth, with specific share price targets over a five-year period. Despite not requiring shareholder approval, the company has consulted with key shareholders, representing 36% of voting rights, to finalize the GTS terms. The initiative is seen as crucial for maintaining the company’s positive trajectory and countering competitive disruptions.

The most recent analyst rating on (GB:DEBS) stock is a Hold with a £12.00 price target. To see the full list of analyst forecasts on boohoo group Plc stock, see the GB:DEBS Stock Forecast page.

Boohoo Group’s Strategic Transformation Drives Profitability and Growth

Boohoo Group Plc, soon to be renamed Debenhams Plc, reports significant progress in its strategic transformation, returning to profitability across all brands. The company’s marketplace model, which is stock and capital lite, has driven growth, particularly for the Debenhams brand, and is expected to further enhance profitability through AI investments. The company has reduced its fixed costs significantly and aims to strengthen its balance sheet, with expectations of double-digit EBITDA growth in FY27. The transformation is supported by a new leadership team and a focus on a lean, tech-enabled business model, positioning Debenhams Group as a leading online platform.

The most recent analyst rating on (GB:DEBS) stock is a Hold with a £12.00 price target. To see the full list of analyst forecasts on boohoo group Plc stock, see the GB:DEBS Stock Forecast page.

Debenhams Group to Announce Financial Results for H1 2025

Debenhams Group, a leading online fashion group, announced that it will release its financial results for the six months ending 31 August 2025 on 27 November 2025. This announcement is significant for stakeholders as it provides insights into the company’s financial health and operational performance, potentially impacting its market positioning and investor confidence.

The most recent analyst rating on (GB:DEBS) stock is a Hold with a £12.00 price target. To see the full list of analyst forecasts on boohoo group Plc stock, see the GB:DEBS Stock Forecast page.