Dr. Martens Plc (DOCS) AI Stock Analysis

• Market Cap: £732.97M
• Dividend Yield: 3.36%
• Average Volume (3M): 1.82M
• Price to Earnings (P/E): 47.4
• Beta (1Y): 2.13
• Revenue Growth: -2.59%
• EPS Growth: -46.13%
• Country: UK
• Employees: 2,630
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Footwear & Accessories
• EPS (TTM): >-0.01
• Shares Outstanding: 967,082,030
• 10 Day Avg. Volume: 1,078,739
• 30 Day Avg. Volume: 1,820,978
• PEG Ratio: -1.17
• Price to Book (P/B): 1.34
• Price to Sales (P/S): 0.62
• P/FCF Ratio: 2.76
• 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: £95.25
• Price Target Upside: 6.66% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 64 Neutral
• Price Target: 84.00p ▼(-5.94% Downside)

Dr. Martens Plc's overall stock score reflects a mix of financial challenges and strategic progress. The most significant factor is the company's financial performance, which is hindered by declining revenue and profitability. Technical analysis indicates bearish momentum, while valuation suggests the stock is overvalued. Positive corporate events and earnings call insights provide some optimism, but challenges remain.

Positive Factors

Cash Flow Strength

Strong free cash flow generation indicates effective cash management and provides the company with the flexibility to invest in growth opportunities and manage debt levels, supporting long-term financial health.

Debt and Inventory Reduction

Significant debt and inventory reductions enhance financial stability and operational efficiency, positioning the company for future growth and improved profitability.

Americas D2C Growth

Growth in the Americas D2C market reflects successful market strategies and consumer engagement, providing a foundation for sustained revenue expansion and brand strength.

Negative Factors

Revenue Decline

Declining revenue indicates potential challenges in market demand or competitive pressures, which could impact long-term growth and profitability if not addressed.

Profitability Challenges

A significant drop in net profit margin suggests operational inefficiencies or increased costs, which could hinder the company's ability to generate sustainable profits.

EMEA Market Weakness

Weak performance in the EMEA region reflects challenges in consumer demand and competitive dynamics, potentially affecting the company's market position and revenue in this key region.

Dr. Martens Plc Business Overview & Revenue Model

Company Description

Dr. Martens Plc (DOCS) is a British footwear and clothing company known for its iconic boots and shoes, characterized by their distinctive air-cushioned soles and unique design. Established in the 1960s, the brand has become a symbol of individuality and self-expression, appealing to diverse consumer segments across various lifestyle sectors. In addition to footwear, Dr. Martens offers a range of apparel and accessories, catering to both men and women.

How the Company Makes Money

Dr. Martens generates revenue primarily through the sale of its footwear products, which include classic styles such as the 1460 boot and various other shoe models. The company sells its products through multiple channels, including direct-to-consumer sales via its branded retail stores and e-commerce platform, as well as through third-party retailers and distributors. This diversified distribution strategy allows Dr. Martens to reach a wide audience globally. Additionally, the brand benefits from a strong online presence and marketing initiatives that resonate with its target demographic. The company also explores collaborations and limited-edition releases with artists and designers, further enhancing brand visibility and driving sales. Partnerships with retailers and distributors across various geographic markets contribute to a steady revenue stream, allowing Dr. Martens to capitalize on its strong brand equity and consumer loyalty.

Dr. Martens Plc Financial Statement Overview

Summary

Dr. Martens Plc faces challenges with declining revenue and profitability, impacting income statement scores. The balance sheet remains stable with manageable debt levels, though return on equity has declined. Cash flow performance is strong, with substantial free cash flow generation, but attention is needed to maintain operational improvements.

Income Statement

Dr. Martens Plc has experienced a decline in both revenue and profitability in recent years. The revenue growth rate has been negative, with revenue decreasing from 2023 to 2025. The gross profit margin remains healthy at 64.95% for 2025, but the net profit margin has dropped significantly to 0.57% in the same period, indicating reduced profitability. The EBIT and EBITDA margins have also decreased, reflecting operational challenges.

Balance Sheet

The balance sheet shows a stable equity position with a debt-to-equity ratio of 1.10 in 2025, which suggests manageable leverage. Return on equity has decreased significantly from 31.9% in 2022 to 1.23% in 2025, highlighting declining returns for shareholders. However, the equity ratio has improved, indicating a better asset-to-equity balance.

Cash Flow

Cash flow analysis reveals strong free cash flow generation with a significant increase in free cash flow from 2024 to 2025. The operating cash flow to net income ratio is robust, indicating good cash conversion efficiency despite lower net income. However, focus on sustaining operating cash flow growth is essential given the recent fluctuations in net income.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	785.00M	787.60M	877.10M	1.00B	908.30M	773.00M
Gross Profit	479.70M	511.70M	575.20M	618.10M	578.80M	470.50M
EBITDA	152.70M	110.50M	196.30M	235.00M	265.10M	143.30M
Net Income	15.30M	4.50M	69.20M	128.90M	181.20M	34.70M
Balance Sheet
Total Assets	865.40M	889.80M	952.40M	992.60M	859.10M	652.80M
Cash, Cash Equivalents and Short-Term Investments	95.70M	155.90M	111.10M	157.50M	228.00M	113.60M
Total Debt	397.10M	404.10M	477.00M	451.80M	393.80M	366.40M
Total Liabilities	536.30M	523.40M	584.20M	588.40M	530.90M	502.10M
Stockholders Equity	329.10M	366.40M	368.20M	404.20M	328.20M	150.70M
Cash Flow
Free Cash Flow	118.00M	177.60M	139.50M	25.90M	159.40M	99.50M
Operating Cash Flow	126.40M	196.30M	167.90M	77.30M	184.40M	121.40M
Investing Cash Flow	-14.00M	-15.30M	-25.50M	-50.60M	-25.00M	-21.90M
Financing Cash Flow	-110.50M	-134.20M	-185.90M	-99.50M	-47.00M	-44.00M

Dr. Martens Plc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 89.30
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:DOCS, the sentiment is Negative. The current price of 89.3 is above the 20-day moving average (MA) of 76.78, above the 50-day MA of 83.59, and above the 200-day MA of 74.16, indicating a neutral trend. The MACD of -1.50 indicates Negative momentum. The RSI at 38.08 is Neutral, neither overbought nor oversold. The STOCH value of 33.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:DOCS.

Dr. Martens Plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CURY	71 Outperform	£1.36B	10.59	6.16%	1.18%	9.51%	-31.96%
DOCS	64 Neutral	£732.97M	47.41	4.61%	3.36%	-2.59%	-46.13%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
MKS	61 Neutral	£6.59B	333.27	0.68%	1.16%	14.13%	-96.12%
THG	60 Neutral	£763.65M	-4.36	-18.75%	―	-20.36%	44.33%
ASC	59 Neutral	£329.66M	-1.10	-81.34%	―	-14.89%	12.08%
DEBS	46 Neutral	£266.52M	-1.33	-172.24%	―	-65.42%	27.73%

Dr. Martens Plc Corporate Events

Dr. Martens Reports Strategic Progress and Revenue Growth Amid Market Challenges

Dr. Martens has reported a 6% growth in full-price direct-to-consumer revenue, aligning with its shift to a consumer-first strategy. The company is seeing positive results from its new product launches and strategic growth initiatives, despite a challenging market environment. Financially, Dr. Martens has improved its performance, reducing net bank debt and maintaining strong cash flow. The Americas region performed best, while EMEA faced challenges. The company is focused on mitigating the impact of increased USA tariffs and expects to manage these effectively for future fiscal years.

Dr. Martens Directors Participate in Share Incentive Plan

Dr. Martens Plc announced a transaction involving its Share Incentive Plan (SIP), where directors Ije Nwokorie and Giles Wilson acquired Partnership Shares and were awarded Matching Shares. This move reflects the company’s commitment to employee investment and may enhance stakeholder confidence in its governance practices.

Dr. Martens Announces Total Voting Rights Update

Dr. Martens plc has announced that its total issued ordinary share capital consists of 967,063,591 shares, each with one voting right, as per the FCA’s Disclosure Guidance and Transparency Rule. This information is crucial for shareholders to determine their interest in the company and comply with regulatory requirements.

Dr. Martens CEO Sells Shares to Cover Tax Liabilities

Dr. Martens plc announced a transaction involving its Chief Executive Officer, Ije Nwokorie, who sold shares to cover tax and national insurance liabilities following the vesting of restricted stock units. This transaction is part of a buyout arrangement to secure Nwokorie’s recruitment, reflecting the company’s adherence to its remuneration policy and potentially impacting its executive compensation strategy.

Dr. Martens Directors Participate in Share Incentive Plan

Dr. Martens Plc has announced transactions involving its directors under the company’s Share Incentive Plan (SIP). On October 13, 2025, CEO Ije Nwokorie and CFO Giles Wilson acquired Partnership Shares and were granted Matching Shares, reflecting the company’s commitment to employee investment and engagement. This move underlines Dr. Martens’ strategic focus on aligning management interests with shareholder value, potentially enhancing its market position and stakeholder confidence.

Dr. Martens Executives Acquire Shares Under Incentive Plan

Dr. Martens Plc announced transactions involving the acquisition of ordinary shares by key executives under its Share Incentive Plan (SIP). The plan allows employees to purchase shares and receive matching shares, promoting employee ownership and aligning interests with company performance. This move reflects the company’s commitment to involving its leadership in its financial growth, potentially impacting its market positioning and stakeholder confidence.

Dr. Martens Announces Total Voting Rights Update

Dr. Martens Plc announced that its total issued ordinary share capital consists of 966,407,209 shares, each carrying one voting right. This information is crucial for shareholders to determine their notification requirements under the FCA’s rules, impacting how they manage their interests in the company.

Dr. Martens Expands into UAE and Latin America with New Partnerships

Dr. Martens has announced a new distribution partnership with Beside Group in the UAE, marking its entry into the UAE market, and with Crosby in Latin America, expanding its presence in the region with new stores in Santiago, Chile, and Buenos Aires, Argentina. These partnerships align with Dr. Martens’ strategy to enter new growth markets with a capital-light approach, aiming to increase its consumer reach and strengthen its market position in these regions.

Dr. Martens Enhances Employee Engagement with Share Incentive Plan

Dr. Martens Plc announced that its directors and persons discharging managerial responsibility acquired shares under the company’s Share Incentive Plan (SIP). The SIP allows employees to purchase shares and receive matching shares, enhancing employee engagement and aligning interests with shareholders. This move reflects the company’s commitment to employee participation in its growth and may positively impact its market positioning by fostering a sense of ownership among its workforce.