Tortilla Mexican Grill Ltd. (MEX) AI Stock Analysis

• Market Cap: £20.30M
• Dividend Yield: N/A
• Average Volume (3M): 34.30K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.17
• Revenue Growth: 12.39%
• EPS Growth: -627.32%
• Country: UK
• Employees: 1,300
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Restaurants
• EPS (TTM): -0.05
• Shares Outstanding: 38,664,032
• 10 Day Avg. Volume: 63,364
• 30 Day Avg. Volume: 34,295
• PEG Ratio: -0.03
• Price to Book (P/B): -39.78
• Price to Sales (P/S): 0.28
• P/FCF Ratio: 3.51
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): -0.83
• Revenue Forecast (FY): £5.55B

• Rating: 45 Neutral
• Price Target: 50.00p ▼(-1.96% Downside)

The score is held down primarily by weak financial performance, driven by net losses and negative equity. Technical momentum is strong but appears overstretched (extremely overbought), and valuation is constrained by negative earnings and lack of dividend data.

Positive Factors

Revenue Growth

Stable revenue growth indicates strong market demand and effective business strategies, supporting long-term expansion and resilience.

Cash Flow Management

Positive cash flow from operations suggests effective capital management, providing a buffer against financial instability and supporting future investments.

Gross Profit Margin

A strong gross profit margin indicates efficient cost management and pricing power, essential for sustaining profitability in the competitive restaurant industry.

Negative Factors

Negative Equity

Negative equity highlights financial instability, posing risks to long-term viability and limiting the company's ability to secure financing or invest in growth.

Profitability Challenges

Ongoing profitability issues reflect challenges in managing costs and achieving sustainable earnings, which may hinder long-term financial health and growth.

High Leverage

High leverage increases financial risk, potentially limiting operational flexibility and increasing vulnerability to economic downturns or interest rate hikes.

Tortilla Mexican Grill Ltd. Business Overview & Revenue Model

Company Description

Tortilla Mexican Grill PLC operates and manages Mexican restaurants under the Tortilla brand. The company operates through 51 group owned and 3 franchised stores in the United Kingdom; and 10 franchised stores in the Middle East. Tortilla Mexican Grill PLC was founded in 2007 and is headquartered in London, the United Kingdom.

How the Company Makes Money

Tortilla Mexican Grill Ltd. generates revenue through multiple streams, primarily from in-store sales of its food and beverage offerings. The company's revenue model is anchored on a fast-casual dining experience, which allows customers to customize their meals, thereby increasing average ticket sizes. Additionally, Tortilla benefits from a growing trend of takeout and delivery services, which contribute to higher sales volumes. The company has also explored partnerships with delivery platforms, enhancing its reach to a broader customer base. Franchise opportunities may further augment revenue, offering a scalable model for expansion into new markets. Furthermore, Tortilla emphasizes cost management and operational efficiency, which helps maintain profitability while delivering value to customers.

Tortilla Mexican Grill Ltd. Financial Statement Overview

Summary

Tortilla Mexican Grill Ltd. faces significant financial challenges, particularly with profitability and high leverage. While revenue growth is stable, the negative equity and net losses are concerning. Cash flow management appears relatively strong, offering some resilience, but the overall financial health requires strategic improvements to achieve long-term stability.

Income Statement

Tortilla Mexican Grill Ltd. has shown a consistent increase in total revenue over the years, with a growth rate of approximately 3.5% from 2023 to 2024. However, the company struggles with profitability, as indicated by negative EBIT and net income in 2024. The gross profit margin remains relatively strong at around 76.6%, but negative net profit margin highlights challenges in managing operating and financing costs.

Balance Sheet

The company's balance sheet presents concerns with negative stockholders' equity in 2024, indicating potential insolvency risk. The debt-to-equity ratio cannot be calculated due to negative equity, emphasizing high leverage. The equity ratio is negative, further suggesting financial instability.

Cash Flow

Cash flow from operations remains positive and has increased slightly from 2023 to 2024. The free cash flow growth rate is modest at around 2%, reflecting careful capital expenditure management. However, the high operating cash flow to net income ratio indicates reliance on non-operating income or adjustments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	72.46M	68.00M	65.67M	57.70M	48.08M	26.83M
Gross Profit	52.59M	52.10M	50.79M	44.09M	38.28M	20.78M
EBITDA	3.98M	7.65M	8.87M	6.71M	9.78M	1.68M
Net Income	-5.15M	-3.33M	-1.09M	-638.22K	1.36M	460.18K
Balance Sheet
Total Assets	54.41M	58.28M	51.41M	52.36M	46.07M	46.66M
Cash, Cash Equivalents and Short-Term Investments	1.65M	2.76M	1.64M	2.38M	9.65M	10.09M
Total Debt	46.75M	45.98M	38.15M	39.65M	34.57M	43.80M
Total Liabilities	56.74M	58.77M	48.52M	48.76M	42.20M	48.71M
Stockholders Equity	-2.32M	-485.98K	2.89M	3.59M	3.87M	-2.05M
Cash Flow
Free Cash Flow	4.19M	5.51M	5.40M	943.43K	8.93M	2.78M
Operating Cash Flow	9.15M	10.51M	9.94M	7.59M	11.72M	4.18M
Investing Cash Flow	-6.45M	-6.27M	-4.50M	-8.33M	-2.79M	-1.40M
Financing Cash Flow	-6.90M	-3.13M	-6.16M	-6.53M	-9.36M	1.71M

Tortilla Mexican Grill Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 51.00
• 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:MEX, the sentiment is Positive. The current price of 51 is above the 20-day moving average (MA) of 45.41, above the 50-day MA of 40.22, and above the 200-day MA of 40.34, indicating a bullish trend. The MACD of 3.32 indicates Negative momentum. The RSI at 80.87 is Negative, neither overbought nor oversold. The STOCH value of 87.50 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:MEX.

Tortilla Mexican Grill Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MAB	66 Neutral	£1.63B	9.27	6.58%	―	3.87%	18.31%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
COM	52 Neutral	£7.51M	-25.52	-19.96%	―	6.48%	88.46%
DPP	52 Neutral	£68.42M	-145.00	-1.36%	―	11.73%	85.29%
VARE	49 Neutral	£20.13M	-11.06	-6.15%	―	8.14%	79.37%
MEX	45 Neutral	£20.30M	-3.94	-9999.00%	―	12.39%	-627.32%
BOW	39 Underperform	£9.20M	-0.16	―	―	-26.54%	-164.52%

Tortilla Mexican Grill Ltd. Corporate Events

Tortilla Mexican Grill Names Duncan Garrood as Non-Executive Chair

Tortilla Mexican Grill plc, Europe’s largest fast-casual Mexican restaurant group, has appointed Duncan Garrood as Non-Executive Chair following the completion of all required regulatory and due diligence checks by its nominated adviser Panmure Liberum. The board-level change strengthens the company’s governance structure as it continues its international expansion strategy, underpinned by recent acquisitions and franchise partnerships, and signals a further professionalisation of leadership that may support its ambitions in the competitive fast-casual dining market.

The most recent analyst rating on (GB:MEX) stock is a Hold with a £39.00 price target. To see the full list of analyst forecasts on Tortilla Mexican Grill Ltd. stock, see the GB:MEX Stock Forecast page.

Tortilla Mexican Grill Appoints New Chair to Lead Growth

Tortilla Mexican Grill PLC has announced the appointment of Duncan Garrood as the new Non-Executive Chair, succeeding Emma Woods. Garrood, who brings extensive leadership and international franchising experience, is expected to guide the company through its next growth phase in the UK and internationally. This leadership change is seen as a strategic move to bolster Tortilla’s market position and support its expansion ambitions.

The most recent analyst rating on (GB:MEX) stock is a Hold with a £35.00 price target. To see the full list of analyst forecasts on Tortilla Mexican Grill Ltd. stock, see the GB:MEX Stock Forecast page.

Tortilla Mexican Grill Announces Chair Succession Plan

Tortilla Mexican Grill PLC announced the upcoming departure of Emma Woods, the Non-Executive Chair, at the end of 2025. The company is searching for a new Independent Chair to guide its next growth phase, focusing on international expansion. Woods’ leadership over the past four years has been pivotal in the company’s growth, including its entry into the European market. The transition is expected to be smooth, with Woods staying on to ensure an orderly handover.

The most recent analyst rating on (GB:MEX) stock is a Hold with a £35.00 price target. To see the full list of analyst forecasts on Tortilla Mexican Grill Ltd. stock, see the GB:MEX Stock Forecast page.