Premier Foods (PFD) AI Stock Analysis

• Market Cap: £1.56B
• Dividend Yield: 1.62%
• Average Volume (3M): 1.90M
• Price to Earnings (P/E): 12.6
• Beta (1Y): 0.62
• Revenue Growth: 0.50%
• EPS Growth: 20.52%
• Country: UK
• Employees: 4,000
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 0.05
• Shares Outstanding: 868,795,840
• 10 Day Avg. Volume: 1,977,833
• 30 Day Avg. Volume: 1,902,004
• PEG Ratio: 1.67
• Price to Book (P/B): 1.12
• Price to Sales (P/S): 1.40
• P/FCF Ratio: 13.79
• 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: £233.33
• Price Target Upside: 34.72% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 71 Outperform
• Price Target: 191.00p ▲(10.28% Upside)

Premier Foods' strong financial performance and positive earnings call sentiment are the primary drivers of its stock score. However, bearish technical indicators and moderate valuation metrics slightly temper the overall outlook. The company is well-positioned for growth, but technical pressures and some operational challenges need monitoring.

Positive Factors

Revenue Growth

Consistent revenue growth in branded segments indicates strong product demand and effective market strategies, supporting long-term business expansion.

Market Share Gains

Sustained market share gains reflect competitive strength and brand loyalty, enhancing the company's position in the packaged foods industry.

Leverage Reduction

Effective leverage reduction improves financial stability and flexibility, allowing for strategic investments and resilience against economic fluctuations.

Negative Factors

Extended Producer Responsibility Levy Impact

The levy impact on profits could strain financial performance, affecting cash flow and limiting reinvestment potential, posing a challenge to sustained profitability.

Retailer Polarization

Polarized retailer performance may lead to uneven revenue streams, requiring strategic adjustments to maintain growth and market presence.

Stock Holding Adjustments in Australia

Stock holding adjustments by retailers can disrupt revenue flow and necessitate inventory management changes, affecting international growth stability.

Premier Foods Business Overview & Revenue Model

Company Description

Premier Foods (PFD) is a leading British food producer, specializing in the manufacturing and marketing of a diverse range of grocery products. The company operates primarily in the ambient foods sector and is known for its iconic brands, including Mr. Kipling, Bisto, and Sharwood's. Premier Foods focuses on providing high-quality, convenient meal solutions and snacks to consumers, catering to various culinary preferences and dietary needs.

How the Company Makes Money

Premier Foods generates revenue through the sale of its extensive portfolio of branded food products across multiple channels, including grocery retailers, food service providers, and online platforms. The company's key revenue streams include product sales from its well-established brands, which benefit from strong consumer loyalty and recognition. Additionally, Premier Foods engages in partnerships with major retailers to ensure prominent shelf space and promotional opportunities for its products. Factors contributing to its earnings include strategic marketing initiatives, innovation in product development to meet changing consumer trends, and operational efficiencies that reduce costs while maintaining quality.

Premier Foods Financial Statement Overview

Summary

Premier Foods demonstrates strong financial health with consistent revenue growth and solid profitability. The balance sheet reflects a stable financial position, although managing liabilities more aggressively could enhance stability. Cash flow generation is robust, supporting reinvestment opportunities and financial flexibility.

Income Statement

Premier Foods has shown consistent revenue growth over the past years, with a notable increase in total revenue from the previous period. Gross profit margin has remained stable, supporting robust profitability. The net profit margin has improved, indicating effective cost management and operational efficiency. EBIT and EBITDA margins are strong, reflecting healthy operational performance.

Balance Sheet

The company's debt-to-equity ratio is moderate, indicating a balanced approach to leveraging. Return on equity is strong, showing effective use of equity in generating profits. The equity ratio suggests a stable financial structure with a good proportion of assets funded by equity, though there is room for improvement in reducing liabilities.

Cash Flow

Premier Foods exhibits solid cash flow management with increasing free cash flow, indicating effective capital expenditure control and operational cash generation. The operating cash flow to net income ratio is favorable, suggesting efficient conversion of net income into cash. The free cash flow to net income ratio further supports a strong cash position, enabling potential reinvestment and debt reduction.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.15B	1.15B	1.14B	1.01B	900.50M	947.00M
Gross Profit	439.30M	439.30M	432.30M	358.20M	327.10M	335.30M
EBITDA	227.00M	232.10M	225.30M	177.70M	169.70M	208.30M
Net Income	124.90M	124.90M	112.50M	91.60M	77.50M	106.00M
Balance Sheet
Total Assets	2.25B	2.25B	2.33B	2.41B	2.53B	2.27B
Cash, Cash Equivalents and Short-Term Investments	191.50M	191.50M	102.30M	64.40M	54.30M	4.20M
Total Debt	335.10M	335.10M	337.90M	338.70M	339.30M	336.90M
Total Liabilities	809.70M	809.70M	1.01B	999.90M	1.03B	1.09B
Stockholders Equity	1.44B	1.44B	1.33B	1.41B	1.51B	1.18B
Cash Flow
Free Cash Flow	124.60M	116.70M	88.90M	67.20M	66.90M	62.00M
Operating Cash Flow	158.10M	158.10M	121.70M	87.20M	90.10M	85.60M
Investing Cash Flow	-62.10M	-41.40M	-62.10M	-63.80M	-23.20M	13.80M
Financing Cash Flow	-41.25M	-27.50M	-20.70M	-14.30M	-13.70M	-276.20M

Premier Foods Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 173.20
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:PFD, the sentiment is Negative. The current price of 173.2 is below the 20-day moving average (MA) of 180.90, below the 50-day MA of 183.99, and below the 200-day MA of 189.23, indicating a bearish trend. The MACD of -3.18 indicates Positive momentum. The RSI at 32.90 is Neutral, neither overbought nor oversold. The STOCH value of 14.23 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:PFD.

Premier Foods Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CWK	73 Outperform	£2.64B	19.67	14.14%	2.09%	4.77%	18.94%
PFD	71 Outperform	£1.56B	12.65	9.47%	1.62%	0.50%	20.52%
HFG	69 Neutral	£576.25M	14.72	12.72%	7.25%	8.58%	-15.81%
GNC	67 Neutral	£1.01B	19.20	12.12%	0.89%	0.49%	14.18%
BAKK	64 Neutral	£1.27B	34.00	5.88%	2.74%	0.59%	-41.66%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
TATE	59 Neutral	£1.67B	26.66	2.48%	5.20%	26.84%	-81.73%

Premier Foods Corporate Events

Premier Foods Reports Strong H1 Performance and Strategic Growth

Premier Foods has reported a solid performance for the first half of the fiscal year, with a 1.9% increase in headline branded revenue and a 0.4% rise in trading profit. The company is on track to meet its full-year trading profit expectations, driven by strong growth in its Sweet Treats segment and strategic acquisitions like Merchant Gourmet. The company is leveraging its Branded Growth Model to drive revenue growth and is investing in capital and marketing to support its innovation program. Premier Foods is also making strategic progress in international markets, with double-digit revenue growth for brands like The Spice Tailor and FUEL10K.

The most recent analyst rating on (GB:PFD) stock is a Hold with a £200.00 price target. To see the full list of analyst forecasts on Premier Foods stock, see the GB:PFD Stock Forecast page.

Premier Foods Updates Share Capital Details

Premier Foods plc announced that its issued share capital as of September 30, 2025, consists of 868,795,815 ordinary shares with voting rights. This information is crucial for shareholders to determine their notification requirements under the FCA’s Disclosure and Transparency Rules, impacting how they manage their interests in the company.

The most recent analyst rating on (GB:PFD) stock is a Buy with a £220.00 price target. To see the full list of analyst forecasts on Premier Foods stock, see the GB:PFD Stock Forecast page.

Premier Foods Director Exercises and Sells Shares

Premier Foods announced that David Wilkinson, the HR and Communications Director, exercised nil-cost options over 1,179,368 ordinary shares under the company’s Long Term Incentive Plan. Subsequently, these shares were sold at a price of 191.3773 pence per share on the London Stock Exchange. This transaction highlights the company’s ongoing commitment to its incentive plans and may impact its stock market positioning.

The most recent analyst rating on (GB:PFD) stock is a Buy with a £214.00 price target. To see the full list of analyst forecasts on Premier Foods stock, see the GB:PFD Stock Forecast page.

Premier Foods Director Acquires Shares, Signaling Confidence

Premier Foods plc announced that Tim Elliott, a Non-executive Director and Audit Committee Chair, has purchased 1,000 ordinary shares of the company. This transaction, conducted on the London Stock Exchange, reflects confidence in the company’s future prospects and may positively influence stakeholder perceptions.

The most recent analyst rating on (GB:PFD) stock is a Buy with a £230.00 price target. To see the full list of analyst forecasts on Premier Foods stock, see the GB:PFD Stock Forecast page.

Premier Foods Executive Exercises and Sells Share Options

Premier Foods plc announced a transaction involving Richard Martin, the Chief Customer Officer, who exercised nil-cost options over 326,644 ordinary shares under the company’s Long Term Incentive Plan. Subsequently, Martin sold the same number of shares at a price of 185.645 pence per share on the London Stock Exchange. This transaction is part of the company’s regulatory compliance with the Market Abuse Regulation, ensuring transparency and accountability in its executive dealings.

The most recent analyst rating on (GB:PFD) stock is a Hold with a £207.00 price target. To see the full list of analyst forecasts on Premier Foods stock, see the GB:PFD Stock Forecast page.

Premier Foods Acquires Merchant Gourmet to Boost Healthy Meal Offerings

Premier Foods has announced the acquisition of Merchant Gourmet, a brand known for premium, healthy, and convenient meal options, for £48 million. This acquisition aligns with Premier Foods’ growth strategy and is expected to enhance its brand portfolio by leveraging its proven growth model, expanding distribution, and increasing marketing efforts, thereby unlocking significant value and further growth opportunities.

The most recent analyst rating on (GB:PFD) stock is a Buy with a £211.00 price target. To see the full list of analyst forecasts on Premier Foods stock, see the GB:PFD Stock Forecast page.