Marston's (MARS) AI Stock Analysis

• Market Cap: £406.78M
• Dividend Yield: N/A
• Average Volume (3M): 1.90M
• Price to Earnings (P/E): 5.7
• Beta (1Y): 1.62
• Revenue Growth: -0.08%
• EPS Growth: N/A
• Country: UK
• Employees: 10,000
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Restaurants
• EPS (TTM): 0.06
• Shares Outstanding: 634,861,500
• 10 Day Avg. Volume: 958,509
• 30 Day Avg. Volume: 1,897,056
• 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: £80.00
• Price Target Upside: 86.26% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 71 Outperform
• Price Target: 64.00p ▲(49.01% Upside)

Marston's overall stock score is driven by strong earnings call results and a favorable valuation, indicating potential for growth. The technical analysis supports a positive trend, although financial performance is tempered by high leverage and cash flow concerns. The absence of corporate events and dividend yield slightly offsets the positive outlook.

Positive Factors

Profit Growth

Significant profit growth indicates strong operational performance and effective cost management, enhancing long-term profitability and shareholder value.

New Pub Formats

The successful launch of new pub formats demonstrates innovation and adaptability, positioning Marston's for future growth and competitive advantage in the hospitality sector.

Deleveraging Efforts

Reducing net debt enhances financial stability and flexibility, allowing Marston's to invest in growth opportunities and withstand economic fluctuations.

Negative Factors

High Leverage

High leverage can limit financial flexibility and increase risk, potentially impacting the company's ability to invest in growth and manage economic downturns.

Flat Revenue

Flat revenue growth, despite operational improvements, suggests challenges in expanding market share and increasing sales, which could hinder long-term growth prospects.

Increased Labor Costs

Rising labor costs could pressure margins and profitability, necessitating efficiency improvements or price adjustments to maintain financial performance.

Marston's Business Overview & Revenue Model

Company Description

Marston's PLC operates managed, franchised, tenanted, and leased pubs, bars, restaurants, and accommodations in the United Kingdom and internationally. The company operates through approximately 1,500 bars and pubs; and approximately 1,836 rooms. It is also involved in the property management; telecommunications; and insurance businesses. The company was formerly known as The Wolverhampton & Dudley Breweries PLC and changed its name to Marston's PLC in January 2007. The company was founded in 1834 and is based in Wolverhampton, the United Kingdom.

How the Company Makes Money

Marston's generates revenue primarily through the operation of its pubs and restaurants, which provide food and beverages to customers. This includes both wet sales (alcoholic and non-alcoholic drinks) and dry sales (food). Additionally, the company profits from its brewing segment, selling its beer brands to various outlets, including its own pubs and third-party retailers. Key revenue streams include sales from managed and leased pubs, franchise agreements, and wholesale beer distribution. Marston's also benefits from strategic partnerships and collaborations with suppliers and retailers, enhancing its market reach and profitability. Seasonal promotions and events held at its venues further contribute to revenue generation.

Marston's Financial Statement Overview

Summary

Marston's financial performance shows signs of recovery with improved profitability and operational efficiency. However, high leverage remains a concern, and cash flow metrics indicate potential challenges in sustaining growth. The company needs to focus on managing costs and reducing debt to enhance financial stability.

Income Statement

Marston's has shown stable revenue with a slight decline in the most recent year. The gross profit margin has decreased significantly from previous years, indicating potential cost pressures. However, the company has managed to turn around its net income from a loss to a profit, improving its net profit margin. The EBIT and EBITDA margins have also improved, reflecting better operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has improved but remains relatively high, indicating significant leverage. Return on equity has turned positive, showing improved profitability. The equity ratio is stable, suggesting a balanced asset structure, but the high debt level poses a risk.

Cash Flow

Operating cash flow has decreased, but the company maintains a positive free cash flow, despite a decline in growth. The operating cash flow to net income ratio indicates that cash generation is aligned with profitability. However, the free cash flow to net income ratio suggests room for improvement in cash conversion.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	897.90M	897.90M	898.60M	872.30M	799.60M	401.70M
Gross Profit	159.90M	159.90M	489.10M	435.70M	335.40M	74.20M
EBITDA	223.50M	223.50M	166.20M	115.30M	296.20M	-20.50M
Net Income	71.60M	71.60M	-18.50M	-9.30M	137.20M	-127.70M
Balance Sheet
Total Assets	2.32B	2.32B	2.21B	2.45B	2.52B	2.47B
Cash, Cash Equivalents and Short-Term Investments	35.90M	35.90M	45.50M	29.60M	30.70M	35.40M
Total Debt	1.24B	1.24B	1.30B	1.60B	1.62B	1.64B
Total Liabilities	1.53B	1.53B	1.56B	1.81B	1.87B	2.06B
Stockholders Equity	790.70M	790.70M	654.80M	640.10M	648.10M	406.40M
Cash Flow
Free Cash Flow	97.00M	53.60M	161.20M	75.90M	-14.60M	-107.70M
Operating Cash Flow	158.20M	114.80M	207.40M	141.20M	55.50M	-61.10M
Investing Cash Flow	-56.40M	-56.40M	211.90M	-9.80M	-29.10M	197.70M
Financing Cash Flow	-68.00M	-68.00M	-401.40M	-132.60M	-30.90M	-145.10M

Marston's Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 42.95
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:MARS, the sentiment is Positive. The current price of 42.95 is below the 20-day moving average (MA) of 59.44, below the 50-day MA of 54.05, and below the 200-day MA of 43.46, indicating a bullish trend. The MACD of 2.27 indicates Negative momentum. The RSI at 74.04 is Negative, neither overbought nor oversold. The STOCH value of 93.22 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:MARS.

Marston's Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FSTA	79 Outperform	£392.83M	19.32	4.82%	2.81%	6.94%	9.99%
MARS	71 Outperform	£406.78M	5.67	9.91%	―	-0.08%	―
HVTA	69 Neutral	£8.34M	4.14	10.60%	1.72%	2.76%	40.57%
JDW	69 Neutral	£799.68M	12.67	17.81%	1.50%	4.52%	50.39%
YNGA	67 Neutral	£434.81M	41.04	1.46%	3.20%	12.91%	-13.62%
MAB	66 Neutral	£1.62B	9.05	6.58%	―	3.87%	18.31%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

Marston's Corporate Events

Marston’s Awards Deferred Bonus Buyout Shares to New CFO

Marston’s has disclosed that its Chief Financial Officer, Stephen Hopson, has been granted 56,151 free ordinary shares in the company as a deferred bonus buyout, compensating him for forfeited deferred bonus awards from his previous employer, Topps Tiles. The award, structured as nil-cost shares, is partly already out of its holding period, with 47,978 shares becoming unrestricted on 13 December 2025 and the remainder locked in until 19 December 2026, underlining the company’s use of equity-based incentives to secure and retain senior financial leadership and align executive interests with shareholders.

The most recent analyst rating on (GB:MARS) stock is a Buy with a £64.00 price target. To see the full list of analyst forecasts on Marston’s stock, see the GB:MARS Stock Forecast page.

Marston’s CEO Defers Bonus into Shares Under Long-Term Incentive Plan

Marston’s PLC has disclosed that Chief Executive Officer and director Justin Platt purchased 158,309 ordinary shares in the company on 24 December 2025, in line with the remuneration policy requiring one-third of his FY2025 annual bonus to be deferred into shares. The acquired shares are locked into a three-year holding period during which they cannot ordinarily be sold, underscoring the alignment of executive incentives with shareholder interests and signalling management’s longer-term commitment to the business.

The most recent analyst rating on (GB:MARS) stock is a Buy with a £64.00 price target. To see the full list of analyst forecasts on Marston’s stock, see the GB:MARS Stock Forecast page.

Marston’s PLC Publishes 2025 Annual Report and Announces 2026 AGM

Marston’s PLC has released its Annual Report and Accounts for the financial year ending 27 September 2025, along with the Notice of its 2026 Annual General Meeting. The AGM is scheduled for 28 January 2026, and relevant documents have been made available online and submitted to the National Storage Mechanism. This announcement provides stakeholders with insights into the company’s financial performance and strategic direction, potentially impacting investor decisions and market perceptions.

The most recent analyst rating on (GB:MARS) stock is a Buy with a £52.00 price target. To see the full list of analyst forecasts on Marston’s stock, see the GB:MARS Stock Forecast page.

Marston’s Enhances Employee Incentives with Share Purchase

Marston’s PLC has announced the acquisition of 830,783 ordinary shares by its Employee Benefit Trust (EBT) to support employee share options. This purchase increases the EBT’s holdings to 2,228,761 shares, representing 0.35% of the company’s issued share capital, highlighting Marston’s commitment to employee incentives and potentially enhancing employee engagement and retention.

The most recent analyst rating on (GB:MARS) stock is a Buy with a £52.00 price target. To see the full list of analyst forecasts on Marston’s stock, see the GB:MARS Stock Forecast page.

Marston’s PLC Updates Total Voting Rights

Marston’s PLC has announced a change in its total voting rights, revealing that the company has 660,362,194 ordinary shares, with 25,617,706 held in treasury, resulting in a maximum total of 187,249,624 voting rights. This adjustment follows the exercise of options under the 2022 Sharesave Scheme, impacting the number of shares held in treasury and providing shareholders with updated figures for calculating their voting rights.

The most recent analyst rating on (GB:MARS) stock is a Buy with a £52.00 price target. To see the full list of analyst forecasts on Marston’s stock, see the GB:MARS Stock Forecast page.

Marston’s PLC Grants LTIP Awards to CFO Stephen Hopson

Marston’s PLC, a company involved in the hospitality industry, has announced that its Chief Financial Officer, Stephen Hopson, has been granted awards over ordinary shares under the company’s Long Term Incentive Plan. These awards, known as Buyout LTIP Awards, were given to compensate Mr. Hopson for forfeited shares from his previous employer, Topps Tiles plc. The awards are structured as nil-cost options and are aligned with the company’s remuneration policy. This move reflects Marston’s commitment to retaining key talent and aligning executive incentives with company performance, potentially impacting the company’s operational strategy and stakeholder interests.

The most recent analyst rating on (GB:MARS) stock is a Buy with a £52.00 price target. To see the full list of analyst forecasts on Marston’s stock, see the GB:MARS Stock Forecast page.

Marston’s PLC Announces Director Share Awards Under Long Term Incentive Plan

Marston’s PLC has announced the granting of awards over ordinary shares to its directors under the Long Term Incentive Plan. These awards, based on performance metrics like Underlying Profit Before Tax, Operating Margin, and Relative Total Shareholder Return, will vest on the third anniversary of the grant date, potentially impacting the company’s financial performance and shareholder value.

The most recent analyst rating on (GB:MARS) stock is a Buy with a £52.00 price target. To see the full list of analyst forecasts on Marston’s stock, see the GB:MARS Stock Forecast page.

Marston’s PLC Reports Robust FY2025 Results with Significant Profit Growth

Marston’s PLC reported strong financial results for the fiscal year ending September 27, 2025, with significant profit growth and margin expansion. The company achieved a 71.3% increase in underlying profit before tax and a 22% rise in recurring free cash flow, surpassing targets. The reduction in net debt and enhancement of guest satisfaction reflect the success of strategic initiatives, including new pub formats and operational efficiencies. Marston’s is well-positioned for continued growth, with plans to accelerate pub format roll-outs and manage cost pressures effectively.

The most recent analyst rating on (GB:MARS) stock is a Buy with a £52.00 price target. To see the full list of analyst forecasts on Marston’s stock, see the GB:MARS Stock Forecast page.

Marston’s PLC Reports Strong Financial Performance and Strategic Growth

Marston’s PLC reported strong financial results for the 52 weeks ending 27 September 2025, with significant profit growth, margin expansion, and record guest satisfaction. The company’s underlying profit before tax increased by 71.3%, and recurring free cash flow exceeded targets, reflecting strategic cost management and successful pub format conversions. The company reduced its net debt and improved its leverage ratio, positioning itself for future growth and shareholder returns. With strong Christmas bookings and plans for further pub format rollouts, Marston’s is well-positioned for continued success in FY2026.

The most recent analyst rating on (GB:MARS) stock is a Buy with a £52.00 price target. To see the full list of analyst forecasts on Marston’s stock, see the GB:MARS Stock Forecast page.

Marston’s PLC Reports Strong Profit Growth and Exceeds Cash Flow Target

Marston’s PLC has reported strong profit growth and exceeded its £50 million recurring free cash flow target for the fiscal year ending 27 September 2025. The company has achieved significant profit growth for the second consecutive year, driven by its market-leading pub operating model and strategic refurbishments. With plans for accelerated capital expenditure in FY2026, Marston’s aims to build on its momentum, reduce debt, and enhance long-term shareholder value. The appointment of Panmure Liberum as a joint corporate broker is expected to broaden its investor base as it continues its strategic program.

The most recent analyst rating on (GB:MARS) stock is a Hold with a £43.00 price target. To see the full list of analyst forecasts on Marston’s stock, see the GB:MARS Stock Forecast page.

Marston’s PLC Updates Total Voting Rights Following Sharesave Scheme

Marston’s PLC announced an update on its total voting rights, revealing that it has 660,362,194 ordinary shares admitted to trading, with 25,700,782 held in treasury, resulting in 187,225,116 voting rights. This change is due to the exercise of options under the Company’s 2022 Sharesave Scheme, impacting how shareholders calculate their voting rights and potentially influencing their investment decisions.

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