IG Design (IGR) AI Stock Analysis

• Market Cap: £44.78M
• Dividend Yield: N/A
• Average Volume (3M): 74.79K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.07
• Revenue Growth: -38.64%
• EPS Growth: -792.57%
• Country: UK
• Employees: 2,766
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Specialty Retail
• EPS (TTM): -0.04
• Shares Outstanding: 98,308,140
• 10 Day Avg. Volume: 85,392
• 30 Day Avg. Volume: 74,794
• PEG Ratio: -0.01
• Price to Book (P/B): 0.31
• Price to Sales (P/S): 0.14
• P/FCF Ratio: 1.68
• 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: £120.00
• Price Target Upside: 133.01% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: 46.00p ▼(-10.68% Downside)

The score is primarily held back by weak financial performance (loss-making margins and strained free cash flow) and a bearish technical setup with the share price below all key moving averages. Valuation is also pressured by a negative P/E and no dividend yield data to offset risk.

Positive Factors

Stable B2B model with major retail partnerships

IGR's reliance on long-term retail and wholesale partnerships creates predictable order flow and reduces customer concentration risk. Durable B2B relationships support scale, distribution efficiency and recurring revenue visibility, helping buffer the business through seasonal cycles.

Diversified product portfolio across gifting and play

A broad product set spanning gift wrap, cards, party supplies and educational toys spreads demand across categories and channels. This structural diversification reduces dependence on any single season or segment and allows the company to pivot to trends, supporting mid-term revenue resilience.

Operational cash generation capability

Positive operating cash flow indicates the core business can convert sales into cash, supporting working capital and supplier payments. Over months this operational cash generation provides a foundation to stabilize operations, even while free cash flow and margins are under pressure.

Negative Factors

Negative and declining profitability margins

Sustained negative net, EBIT and EBITDA margins signal structural profit weaknesses. Persistently poor margins constrain reinvestment, impair competitiveness and make it hard to build reserves, increasing the risk that operational issues will persist absent structural cost or pricing improvements.

Negative free cash flow growth and weak cash conversion

Declining free cash flow and poor conversion from income to cash reduce financial flexibility. Over a multi-month horizon this limits capex and inventory funding, raises reliance on external financing, and heightens vulnerability to supply disruptions or seasonal working-capital swings.

Negative ROE and declining equity base

Negative ROE and shrinking equity reflect that the company isn't generating shareholder returns and is eroding its capital base. This structural weakness limits ability to absorb shocks, restricts strategic investments, and can increase financing costs over time if not reversed.

IG Design Business Overview & Revenue Model

Company Description

IG Design Group plc designs, manufactures, and distributes celebrations, craft and creative play, stationery, gifting, and not for re-sale consumable products in the Americas, the United Kingdom, and internationally. It provides celebrations products, including greetings cards, gift wraps, Christmas crackers, gift bags, and partyware products, as well as gift accessories, such as tags, strings, ribbons, and bows; and gifting products comprise frames, albums, calendars and diaries, as well as food and non-food gifts. The company also offers ribbons and trims, sewing patterns, buttons, needlecrafts, and kids craft lines; stationery products, including pencils, pens, notebooks, pencil cases, clips, journals, etc. for use in education, commercial, and home settings; and bin liners, refuse sacks, food bags, and other collateral products, as well as paper twist handle bags. It serves retailers, other manufacturers and wholesalers of greetings products, service merchandisers, and trading companies. The company was formerly known as International Greetings plc and changed its name to IG Design Group plc in June 2016. IG Design Group plc was incorporated in 1978 and is based in Newport Pagnell, the United Kingdom.

How the Company Makes Money

IGR generates revenue primarily through the sale of its diverse product offerings to retailers and wholesalers around the world. The company operates on a business-to-business (B2B) model, supplying products to large retail chains, independent stores, and e-commerce platforms. Key revenue streams include sales from seasonal and everyday products, with significant contributions from holiday-related items. Additionally, IGR benefits from long-term partnerships with major retailers, which provide consistent orders and enhance brand visibility. The company's ability to innovate and respond to market trends also plays a crucial role in driving sales and maintaining profitability.

IG Design Financial Statement Overview

Summary

IG Design faces significant financial challenges, particularly in profitability and cash flow management. While revenue growth is a positive sign, the company struggles with operational efficiency and cash flow generation. The balance sheet remains relatively stable, but declining equity and negative returns are concerning. Overall, the company needs to address its profitability and cash flow issues to improve its financial health.

Income Statement

The income statement shows a concerning trend with declining profitability. The company has experienced negative net profit margins in recent years, with a significant drop in the latest year. Revenue growth was positive in the latest period, but the negative EBIT and EBITDA margins indicate operational challenges. The gross profit margin has also decreased, reflecting potential cost management issues.

Balance Sheet

The balance sheet reveals moderate leverage with a debt-to-equity ratio below 0.5, which is reasonable. However, the return on equity has been negative in recent years, indicating inefficiencies in generating returns for shareholders. The equity ratio is stable, suggesting a balanced capital structure, but the declining equity value is a concern.

Cash Flow

Cash flow analysis shows volatility with negative free cash flow growth in the latest period. The operating cash flow to net income ratio is low, indicating challenges in converting earnings into cash. The free cash flow to net income ratio is negative, highlighting cash flow pressures. Despite these issues, there was a positive operating cash flow, suggesting some operational cash generation capability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	362.52M	729.26M	800.05M	890.31M	965.09M	873.22M
Gross Profit	50.10M	100.92M	141.52M	131.74M	122.17M	153.82M
EBITDA	-28.15M	-22.58M	59.64M	19.04M	32.60M	44.53M
Net Income	-86.19M	-99.69M	35.63M	-27.99M	-3.28M	8.21M
Balance Sheet
Total Assets	249.56M	543.62M	661.34M	618.82M	707.08M	763.25M
Cash, Cash Equivalents and Short-Term Investments	5.69M	136.40M	157.37M	85.21M	50.18M	132.76M
Total Debt	44.87M	124.84M	129.48M	114.92M	119.86M	170.23M
Total Liabilities	110.62M	273.45M	291.86M	284.44M	337.37M	371.24M
Stockholders Equity	131.25M	262.89M	361.62M	327.85M	361.71M	383.52M
Cash Flow
Free Cash Flow	7.48M	-2.92M	67.01M	40.57M	-14.45M	56.26M
Operating Cash Flow	11.27M	3.83M	77.71M	46.40M	-5.92M	64.65M
Investing Cash Flow	-3.85M	2.09M	-10.41M	2.48M	-8.39M	-8.24M
Financing Cash Flow	-10.68M	-17.17M	-24.02M	-28.28M	-33.85M	-31.63M

IG Design Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 51.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:IGR, the sentiment is Negative. The current price of 51.5 is above the 20-day moving average (MA) of 49.66, above the 50-day MA of 49.15, and below the 200-day MA of 60.75, indicating a bearish trend. The MACD of 0.14 indicates Positive momentum. The RSI at 40.49 is Neutral, neither overbought nor oversold. The STOCH value of 40.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:IGR.

IG Design Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DNLM	75 Outperform	£2.35B	15.11	121.78%	3.99%	3.78%	3.29%
CARD	67 Neutral	£232.73M	5.45	13.18%	7.08%	6.18%	4.22%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
WRKS	60 Neutral	£21.44M	2.49	63.08%	―	-1.96%	28.69%
MOON	56 Neutral	£656.87M	14.67	―	1.40%	3.94%	―
IGR	46 Neutral	£44.78M	-0.52	-41.98%	―	-38.64%	-792.57%
SMWH	46 Neutral	£801.54M	-5.68	-11.61%	4.48%	-19.03%	-318.35%

IG Design Corporate Events

IG Design Group Reports Revenue Decline Amid Strategic Restructuring

IG Design Group reported a 13% decrease in revenue to $131.4 million for the six months ending September 2025, primarily due to softer UK demand and pricing pressures in Europe. Despite the revenue drop, the company maintained profitability with an adjusted operating profit of $5.7 million, supported by cost savings and improved cash flow management. The divestment of DG Americas has simplified the business, allowing IG Design to focus on sustainable growth and margin improvement. The company is optimistic about meeting its full-year revenue guidance of $270-280 million, backed by strong orderbook visibility and strategic initiatives aimed at enhancing operational efficiency and expanding its product portfolio.

The most recent analyst rating on (GB:IGR) stock is a Hold with a £44.00 price target. To see the full list of analyst forecasts on IG Design stock, see the GB:IGR Stock Forecast page.

IG Design Group Announces Investor Presentation Post Half-Year Results

IG Design Group Plc has announced a virtual presentation and Q&A session for investors following the release of its Half Year Results on December 2, 2025. This event, led by Interim Executive Chair Stewart Gilliland and CFO Rohan Cummings, aims to engage with existing and potential investors, reflecting the company’s commitment to transparency and stakeholder engagement.

The most recent analyst rating on (GB:IGR) stock is a Hold with a £53.00 price target. To see the full list of analyst forecasts on IG Design stock, see the GB:IGR Stock Forecast page.

IG Design Group Confident in Meeting Full-Year Guidance Amid Market Challenges

IG Design Group PLC has released a trading update for the first half of 2025, indicating confidence in meeting full-year revenue guidance of $270-280 million. Despite a 13% decline in revenue due to market headwinds and competitive pressures, the company maintains strong orderbook visibility at 91% and anticipates adjusted operating profit margins within the 3-4% range. The Group has improved cash and working capital management, ending the period with a net cash position of $2 million. The sale of DG Americas is progressing, and the company continues to prioritize sustainable growth opportunities.

The most recent analyst rating on (GB:IGR) stock is a Hold with a £58.00 price target. To see the full list of analyst forecasts on IG Design stock, see the GB:IGR Stock Forecast page.