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Heavitree Brewery PLC (GB:HVTA)
LSE:HVTA
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Heavitree Brewery (HVTA) AI Stock Analysis

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GB:HVTA

Heavitree Brewery

(LSE:HVTA)

Rating:69Neutral
Price Target:
170.00p
▲(9.68% Upside)
Heavitree Brewery's overall stock score reflects a blend of strong financial performance and attractive valuation, offset by technical indicators suggesting overbought conditions. The stock appears undervalued with a strong dividend yield, making it potentially appealing for value and income investors. However, the high RSI indicates caution is warranted due to potential short-term price corrections.

Heavitree Brewery (HVTA) vs. iShares MSCI United Kingdom ETF (EWC)

Heavitree Brewery Business Overview & Revenue Model

Company DescriptionHeavitree Brewery (HVTA) is a well-established brewery based in Exeter, England, known for producing a diverse range of traditional and contemporary beers. The company operates primarily within the brewing and hospitality sectors, offering a selection of ales, lagers, and stouts, alongside operating pubs and inns that serve its products. Heavitree Brewery emphasizes quality ingredients and brewing techniques, contributing to its reputation in both local and broader markets.
How the Company Makes MoneyHeavitree Brewery generates revenue through multiple streams, primarily from the sale of its alcoholic beverages, including its craft beers and traditional ales. The company sells its products directly to consumers through its owned pubs and inns, as well as to wholesalers and retailers across the region. Additionally, Heavitree Brewery benefits from hospitality revenue generated by its establishments, which includes food and beverage sales. Strategic partnerships with local distributors enhance its market reach, while seasonal promotions and events at its venues help increase foot traffic and sales. Overall, the combination of product sales and hospitality operations forms the foundation of the company’s revenue model.

Heavitree Brewery Financial Statement Overview

Summary
Heavitree Brewery has demonstrated strong revenue growth and healthy profit margins, though net income has slightly declined. The balance sheet is robust with low leverage, but ROE has room for improvement. Cash flow is improving, particularly in free cash flow, yet there are inefficiencies to address.
Income Statement
75
Positive
Heavitree Brewery has demonstrated a solid recovery in revenue growth, with a 2.06% increase in 2024 compared to the previous year. The gross profit margin is healthy at 37.19%, and the net profit margin stands robust at 17.57%, reflecting strong profitability. EBIT and EBITDA margins are also commendable at 15.07% and 26.44%, respectively, indicating efficient operations. However, there is a slight decline in net income from the previous year, which is a point of concern.
Balance Sheet
72
Positive
The company's balance sheet is strong with a debt-to-equity ratio of 0.14, suggesting low leverage and financial stability. The equity ratio is high at 77.69%, indicating a solid capital base. Return on equity is 7.52%, which is moderate and could be improved. Overall, the balance sheet reflects a stable financial position with room for improvement in ROE.
Cash Flow
65
Positive
Heavitree Brewery shows a significant improvement in free cash flow, turning positive in 2024 at 172,000, which marks a notable turnaround from the previous year's negative figure. The operating cash flow to net income ratio is reasonably strong at 0.99, indicating effective cash conversion from earnings. However, free cash flow to net income ratio remains low at 0.13, pointing to potential inefficiencies in cash utilization.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue7.50M7.35M7.28M4.62M5.02M
Gross Profit2.79M3.15M2.82M1.36M1.64M
EBITDA1.98M2.28M2.62M1.44M732.00K
Net Income1.32M1.50M1.97M801.00K114.00K
Balance Sheet
Total Assets22.57M21.33M20.52M20.93M20.35M
Cash, Cash Equivalents and Short-Term Investments754.00K373.00K788.00K52.00K49.00K
Total Debt2.38M2.19M2.41M5.22M5.83M
Total Liabilities5.04M4.75M5.10M7.46M7.65M
Stockholders Equity17.54M16.58M15.43M13.46M12.70M
Cash Flow
Free Cash Flow172.00K-993.00K1.50M-716.00K56.00K
Operating Cash Flow1.31M781.00K1.93M-243.00K371.00K
Investing Cash Flow-768.00K-572.00K1.61M938.00K-127.00K
Financing Cash Flow-161.00K-624.00K-2.00M-218.00K-1.47M

Heavitree Brewery Technical Analysis

Technical Analysis Sentiment
Positive
Last Price155.00
Price Trends
50DMA
153.46
Positive
100DMA
154.33
Positive
200DMA
160.92
Negative
Market Momentum
MACD
0.42
Positive
RSI
96.08
Negative
STOCH
41.08
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:HVTA, the sentiment is Positive. The current price of 155 is above the 20-day moving average (MA) of 155.00, above the 50-day MA of 153.46, and below the 200-day MA of 160.92, indicating a neutral trend. The MACD of 0.42 indicates Positive momentum. The RSI at 96.08 is Negative, neither overbought nor oversold. The STOCH value of 41.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:HVTA.

Heavitree Brewery Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
£1.60B9.556.90%1.95%275.56%
73
Outperform
£310.77M12.006.45%3.47%4.79%223.72%
69
Neutral
£8.11M4.0110.60%1.77%2.76%
67
Neutral
£257.49M5.8210.69%0.50%
66
Neutral
£784.40M14.1016.38%2.04%3.70%57.10%
63
Neutral
£1.74B11.164.73%3.46%0.42%-39.45%
63
Neutral
£469.73M54.371.27%2.69%24.95%-16.86%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:HVTA
Heavitree Brewery
155.00
-22.48
-12.67%
GB:FSTA
Fuller Smith & Turner
570.00
-144.16
-20.19%
GB:MAB
Mitchells & Butlers
270.00
-38.00
-12.34%
GB:MARS
Marston's
40.70
1.10
2.78%
GB:JDW
J D Wetherspoon
736.00
17.92
2.50%
GB:YNGA
Young & Co'S Brewery
858.00
-106.60
-11.05%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 11, 2025