Rank Group plc (RNK) AI Stock Analysis

• Market Cap: £493.72M
• Dividend Yield: 2.47%
• Average Volume (3M): 598.70K
• Price to Earnings (P/E): 11.1
• Beta (1Y): 0.76
• Revenue Growth: 8.26%
• EPS Growth: 263.36%
• Country: UK
• Employees: 7,600
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Gambling, Resorts & Casinos
• EPS (TTM): 0.03
• Shares Outstanding: 468,429,530
• 10 Day Avg. Volume: 453,058
• 30 Day Avg. Volume: 598,695
• 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: £200.00
• Price Target Upside: 89.75% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 65 Neutral
• Price Target: 114.00p ▲(8.16% Upside)

Rank Group plc's overall stock score is driven by strong financial performance and a solid valuation, offset by bearish technical indicators and mixed corporate events. The company's financial stability and growth plans are positive, but the recent UK budget changes and technical analysis suggest caution.

Positive Factors

Revenue Growth

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

Cash Flow Generation

Robust cash flow generation enhances financial flexibility, enabling strategic investments and debt reduction, supporting long-term growth.

Balance Sheet Health

A healthier balance sheet with reduced leverage improves financial stability, reducing risk and enhancing the company's resilience.

Negative Factors

Operational Efficiency

Suboptimal operational efficiency may limit profitability improvements, requiring focus on cost management to enhance margins and competitiveness.

Market Sentiment

Persistent bearish market sentiment could impact investor confidence, potentially affecting capital raising and strategic initiatives.

Profit Margin

While improved, the relatively low net profit margin indicates potential vulnerability to cost pressures, necessitating continued focus on margin enhancement.

Rank Group plc Business Overview & Revenue Model

Company Description

The Rank Group Plc, together with its subsidiaries, provides gaming services in Great Britain, Spain, Belgium, and India. It operates through Grosvenor Venues, Mecca Venues, Digital, and International Venues segments. The company offers a range of casino table games, including roulette, blackjack, baccarat, and poker; electronic roulette and slots machine games; and community games, such as bingo, as well as sports betting and food, drink, and live entertainment. It also operates digital channels, including live casino; social and bingo clubs; and online digital card games. In addition, the company offers support services to interactive gaming; property services; and marketing services. Further, it processes credit transfers; operates parking for social and bingo clubs; and develops and maintains online gaming software. The company was founded in 1937 and is based in Maidenhead, the United Kingdom. The Rank Group Plc is a subsidiary of Guoco Group Limited.

How the Company Makes Money

Rank Group generates revenue through multiple streams, primarily from its casino and bingo operations. The Grosvenor Casinos segment contributes significantly to the company's earnings, providing a variety of gaming experiences in physical locations as well as online. Mecca Bingo adds to the revenue through its bingo halls and online platform, attracting a loyal customer base. Additionally, the company's Enracha division allows it to tap into the Spanish gaming market, further diversifying its revenue sources. Online gaming and digital services have become increasingly important, especially with the growth in online gambling, allowing Rank Group to leverage technology and partnerships to enhance user engagement and increase revenue. Partnerships with payment processors and marketing affiliates also play a critical role in driving traffic and conversions, ultimately contributing to the company's financial performance.

Rank Group plc Financial Statement Overview

Summary

Rank Group exhibits a strong recovery with improved profitability and revenue growth. The balance sheet shows manageable leverage and robust cash flows supporting operations and investments. Operational efficiency and strategic growth initiatives could further enhance financial stability.

Income Statement

The company exhibits a strong recovery in revenue and profitability from previous losses, with Total Revenue increasing by 7.7% from 2023 to 2024. Gross Profit Margin improved to 42.0%, and Net Profit Margin turned positive at 1.7%, indicating enhanced cost management and operational efficiency. However, the EBITDA margin remains low at 11.6%, suggesting room for further operational improvements.

Balance Sheet

The balance sheet indicates moderate financial leverage with a Debt-to-Equity Ratio of 0.58. The Equity Ratio remains stable at 46.3%, reflecting a solid equity base. Return on Equity improved significantly to 3.7% from negative figures, indicating better profitability. However, the overall asset base and equity have slightly decreased over recent years, which could limit long-term growth potential.

Cash Flow

The company shows a robust Operating Cash Flow to Net Income Ratio of 9.06, highlighting strong cash flow generation relative to net income. Free Cash Flow has grown by 184.2% from 2023 to 2024, showcasing effective capital expenditure management. However, the Free Cash Flow to Net Income Ratio of 5.32 suggests reliance on cash flow for sustaining operations and growth.

Breakdown	TTM	Dec 2025	Dec 2025	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	795.40M	―	795.40M	734.70M	681.90M	644.00M
Gross Profit	340.50M	―	343.30M	308.90M	264.30M	242.20M
EBITDA	103.60M	―	122.40M	80.80M	-41.70M	153.50M
Net Income	44.60M	―	44.60M	12.50M	-96.00M	64.90M
Balance Sheet
Total Assets	789.50M	―	789.50M	732.50M	738.40M	856.70M
Cash, Cash Equivalents and Short-Term Investments	64.00M	―	64.00M	56.40M	60.00M	95.70M
Total Debt	205.70M	―	205.70M	197.30M	232.70M	259.70M
Total Liabilities	410.80M	―	410.80M	393.50M	408.40M	431.60M
Stockholders Equity	378.70M	―	378.70M	339.00M	329.70M	425.20M
Cash Flow
Free Cash Flow	79.30M	―	67.40M	66.50M	23.40M	113.20M
Operating Cash Flow	125.90M	―	125.90M	113.20M	67.50M	153.80M
Investing Cash Flow	-54.70M	―	-54.70M	-47.50M	-44.50M	-32.40M
Financing Cash Flow	-58.20M	―	-58.20M	-59.90M	-60.10M	-94.30M

Rank Group plc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 105.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:RNK, the sentiment is Negative. The current price of 105.4 is below the 20-day moving average (MA) of 107.06, below the 50-day MA of 114.28, and below the 200-day MA of 118.13, indicating a bearish trend. The MACD of -2.16 indicates Negative momentum. The RSI at 41.82 is Neutral, neither overbought nor oversold. The STOCH value of 28.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:RNK.

Rank Group plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BOWL	75 Outperform	£458.01M	13.54	22.81%	4.36%	8.79%	17.06%
PTEC	74 Outperform	£861.58M	8.91	―	163.94%	―	―
MARS	71 Outperform	£364.96M	5.20	9.91%	―	-0.08%	―
RNK	65 Neutral	£493.72M	11.07	12.43%	2.47%	8.26%	263.36%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
ENT	59 Neutral	£4.79B	-9.44	-28.60%	2.22%	5.14%	-7.80%
EVOK	41 Neutral	£98.43M	-0.87	―	―	5.26%	32.20%

Rank Group plc Corporate Events

Rank Group Faces Financial Impact from UK Budget Changes

Rank Group Plc announced that the UK Autumn Budget 2025 will significantly impact its operations due to an increase in Remote Gaming Duty from 21% to 40%, resulting in an estimated £40 million reduction in operating profit. While the abolition of Bingo Duty provides a £6 million benefit, the company faces additional costs from a rise in the National Minimum Wage. Despite these challenges, Rank Group maintains a strong balance sheet and plans to explore mitigating actions to manage the financial impact.

Rank Group Plc Appoints John H. Ott as New Chair

Rank Group Plc, a company listed on the London Stock Exchange, has announced the appointment of John H. Ott as the new chair of the company, effective from November 17, 2025. John brings over 40 years of global experience in business consultancy, having worked with Bain & Company, McKinsey & Company, and Barclays Bank. His appointment follows a rigorous selection process, and he is expected to provide strategic leadership as the company embarks on its next phase. Karen Whitworth, who served as interim chair, will return to her roles as Senior Independent Director and Audit Chair.

Rank Group Outlines Ambitious Growth Plans for Grosvenor Casinos

Rank Group Plc hosted a Capital Markets Event to update investors and analysts on Grosvenor Casinos’ medium-term ambitions. The company aims to increase its weekly Net Gaming Revenue to over £9.5 million and improve its operating profit margin by at least 500 basis points, following recent casino reforms.

Rank Group plc Successfully Passes All Resolutions at 2025 AGM

At the 2025 Annual General Meeting of Rank Group plc, all resolutions were successfully passed, including the approval of the 2024/25 financial statements, directors’ remuneration report, and the final dividend. The meeting also saw the re-election and election of several directors, as well as the re-appointment of Ernst & Young LLP as auditor. The passing of these resolutions reflects strong shareholder support and is likely to have a positive impact on the company’s governance and operational stability.

Rank Group Reports Strong Q1 Growth Amidst Expansion and Tax Concerns

Rank Group plc reported a 9% increase in like-for-like Net Gaming Revenue (NGR) for the first quarter of 2025/26, with digital NGR up 13% and venue NGR up 7%. The company is addressing platform issues in Spain and expects growth in Q2. Despite cost increases, Rank is confident in meeting profit expectations and is expanding its gaming machine installations. The company is engaging with the Treasury on potential tax changes and their impact on operations.

Rank Group Announces Vesting of 2022 LTIP Awards

Rank Group plc has announced the vesting of its 2022 Long Term Incentive Plan (LTIP) awards, resulting in shares being allocated to key managerial personnel. This marks the last instance where a two-year holding period applies to all participants, as future awards will only impose this requirement on the CEO and CFO. The vesting reflects the achievement of certain performance conditions, impacting the company’s strategic incentive alignment and potentially influencing shareholder confidence.

Rank Group plc Grants Long-Term Incentive Awards to Key Executives

Rank Group plc has announced the grant of Long-Term Incentive Plan (LTIP) awards to key executives and persons discharging managerial responsibilities. These awards, which are conditional on performance criteria, will vest in September 2028, with a subsequent two-year holding period for executive directors. This move is part of Rank Group’s strategy to align management incentives with long-term company performance, potentially impacting its operational focus and stakeholder interests.

Rank Group Chair Alex Thursby to Step Down After Successful Tenure

Rank Group plc announced that Alex Thursby, after serving as Chair for six years, will step down following the upcoming AGM in October 2025. The company is in the advanced stages of finding a successor, with Karen Whitworth stepping in as Interim Chair. Thursby’s tenure is marked by significant achievements, including strong financial results and strategic advancements in casino legislative reforms and digital business scaling, positioning Rank for sustainable long-term growth.

Rank Group Releases 2025 Annual and Sustainability Reports

Rank Group plc has released its Annual Report & Accounts for the financial year ending June 30, 2025, which is now accessible on their website. The report includes details of the upcoming Annual General Meeting scheduled for October 15, 2025, and highlights the publication of the company’s Sustainability Report 2025, showcasing its progress in environmental, social, and governance areas.