J Sainsbury plc (SBRY) AI Stock Analysis

• Market Cap: £7.50B
• Dividend Yield: 4.17%
• Average Volume (3M): 6.05M
• Price to Earnings (P/E): 22.3
• Beta (1Y): 0.98
• Revenue Growth: 0.82%
• EPS Growth: 160.81%
• Country: UK
• Employees: 148,498
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Grocery Stores
• EPS (TTM): 0.08
• Shares Outstanding: 2,291,965,600
• 10 Day Avg. Volume: 7,012,525
• 30 Day Avg. Volume: 6,047,660
• PEG Ratio: 0.07
• Price to Book (P/B): 0.53
• Price to Sales (P/S): 0.11
• P/FCF Ratio: 1.70
• 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: £353.00
• Price Target Upside: 13.14% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 70 Outperform
• Price Target: 343.00p ▲(9.94% Upside)

J Sainsbury plc's overall stock score reflects solid financial performance and strategic initiatives that enhance shareholder value. However, technical indicators suggest caution, and valuation metrics indicate potential overvaluation. The company's strong earnings call and active share buyback program are positive factors, but regulatory costs and market challenges remain concerns.

Positive Factors

Revenue Growth

Sainsbury's consistent sales growth across its main and Argos segments indicates strong market demand and effective sales strategies, enhancing long-term revenue potential.

Cash Generation

Robust cash generation allows Sainsbury's to return significant capital to shareholders, reflecting financial health and the ability to sustain shareholder value over time.

Market Position

Achieving the highest market share in five years underscores Sainsbury's competitive strength and effective market positioning, supporting long-term growth prospects.

Negative Factors

Regulatory Costs

Increased regulatory costs can strain profit margins, limiting financial flexibility and potentially impacting future profitability and investment capacity.

Argos Challenges

Cautious consumer spending in Argos indicates potential revenue pressure, requiring strategic adjustments to maintain profitability and market relevance.

Profitability Concerns

Low net profit margins suggest challenges in converting revenue into profit, necessitating operational improvements to enhance long-term profitability.

J Sainsbury plc Business Overview & Revenue Model

Company Description

J Sainsbury plc (SBRY) is a leading UK-based retail company that operates in the grocery and general merchandise sectors. Founded in 1869, Sainsbury's is one of the largest supermarket chains in the United Kingdom, providing a wide range of products including food, clothing, and home goods. The company operates through various formats, including supermarkets, convenience stores, and online platforms, catering to diverse customer needs across the UK.

How the Company Makes Money

J Sainsbury plc generates revenue primarily through the sale of groceries and general merchandise in its stores and online. The company operates several revenue streams, including its core supermarket operations, which account for the majority of its sales, along with its convenience stores and online grocery delivery services. Sainsbury's also earns revenue from its clothing and home goods ranges, as well as from banking and financial services offered through Sainsbury's Bank. Significant partnerships, such as collaborations with suppliers and brands for exclusive product lines, enhance its product offerings and drive sales. Additionally, the company's investment in online and delivery services has been a key driver of growth, particularly in response to changing consumer shopping habits.

J Sainsbury plc Financial Statement Overview

Summary

J Sainsbury plc exhibits solid financial performance with steady revenue growth and efficient cash flow management. However, profitability metrics highlight areas for improvement, and the balance sheet suggests monitoring of leverage levels.

Income Statement

J Sainsbury plc has demonstrated consistent revenue growth, with a notable increase from 2022 to 2025. The Gross Profit Margin and Net Profit Margin have shown stability, with slight improvements in EBIT Margin and EBITDA Margin, suggesting effective cost management and operational efficiency. However, the Net Profit Margin remains relatively low, indicating room for improvement in profitability.

Balance Sheet

The company maintains a manageable Debt-to-Equity Ratio, though it has slightly increased over the years. The Return on Equity shows fluctuations, reflecting the varying net income levels. The Equity Ratio indicates a moderate reliance on equity financing. Overall, the balance sheet shows stability but highlights potential financial leverage risks.

Cash Flow

J Sainsbury plc has shown positive Free Cash Flow Growth, emphasizing strong cash generation capabilities. The Operating Cash Flow to Net Income Ratio is robust, indicating effective cash management. However, the Free Cash Flow to Net Income Ratio suggests potential volatility, given the variations in net income over the years.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	32.81B	32.81B	32.70B	31.49B	29.89B	29.05B
Gross Profit	2.30B	2.30B	2.34B	2.32B	2.21B	2.04B
EBITDA	1.57B	1.57B	1.79B	1.84B	2.40B	1.34B
Net Income	242.00M	242.00M	137.00M	207.00M	677.00M	-208.00M
Balance Sheet
Total Assets	24.65B	24.65B	25.06B	26.39B	27.15B	25.47B
Cash, Cash Equivalents and Short-Term Investments	727.00M	727.00M	2.00B	1.81B	1.02B	1.67B
Total Debt	6.61B	6.61B	6.55B	7.14B	7.38B	6.94B
Total Liabilities	18.00B	18.00B	18.19B	19.13B	18.73B	18.77B
Stockholders Equity	6.65B	6.65B	6.87B	7.25B	8.42B	6.70B
Cash Flow
Free Cash Flow	2.08B	2.08B	400.00M	1.66B	202.00M	1.50B
Operating Cash Flow	2.69B	2.69B	1.97B	2.39B	896.00M	2.10B
Investing Cash Flow	-787.00M	-787.00M	-1.01B	-725.00M	-651.00M	-575.00M
Financing Cash Flow	-1.12B	-1.12B	-282.00M	-960.00M	-1.02B	-1.31B

J Sainsbury plc Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 312.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:SBRY, the sentiment is Neutral. The current price of 312 is below the 20-day moving average (MA) of 320.15, below the 50-day MA of 322.74, and above the 200-day MA of 278.66, indicating a neutral trend. The MACD of -2.96 indicates Positive momentum. The RSI at 41.54 is Neutral, neither overbought nor oversold. The STOCH value of 36.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:SBRY.

J Sainsbury plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CWK	78 Outperform	£2.72B	18.40	15.07%	2.00%	6.96%	28.47%
GRG	77 Outperform	£1.60B	11.03	27.24%	3.45%	8.06%	5.15%
PFD	76 Outperform	£1.56B	12.65	9.47%	1.60%	0.50%	20.52%
TSCO	74 Outperform	£29.64B	20.06	13.65%	3.24%	1.05%	-20.25%
SBRY	70 Outperform	£7.50B	22.30	6.63%	4.17%	0.82%	160.81%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
OCDO	53 Neutral	$1.53B	―	―	―	―	―

J Sainsbury plc Corporate Events

Sainsbury’s Advances Share Buyback Program with Recent Purchase

J Sainsbury plc has announced the purchase of 639,000 of its ordinary shares as part of its ongoing share buyback program. The shares were acquired at a volume-weighted average price of 312.8453 pence and are intended to be canceled, which could potentially enhance shareholder value by reducing the number of shares outstanding.

J Sainsbury plc Advances Share Buyback Programme with Latest Purchase

J Sainsbury plc has announced the purchase of 956,960 of its own ordinary shares as part of its ongoing share buyback programme. The company plans to cancel these shares, a move that could potentially enhance shareholder value by reducing the number of shares outstanding and possibly increasing earnings per share.

J Sainsbury plc Executes Share Buyback to Enhance Shareholder Value

J Sainsbury plc has announced the purchase of 615,150 of its ordinary shares as part of its ongoing share buyback program. The shares were bought at prices ranging from 323.6000 to 326.2000 pence and will be canceled, which is expected to positively impact the company’s share value and provide returns to shareholders.

J Sainsbury plc Executes Share Buyback of 617,000 Shares

J Sainsbury plc announced the purchase of 617,000 of its ordinary shares as part of its ongoing share buyback programme. The shares were bought from BNP Paribas SA at prices ranging from 322.4 to 325.6 pence per share, with the company intending to cancel these shares, potentially impacting its share capital structure and market valuation.

J Sainsbury Updates Share Capital and Voting Rights

J Sainsbury plc announced that as of November 28, 2025, its issued ordinary share capital consists of 2,284,283,621 shares, with no shares held in Treasury. This update on voting rights is crucial for shareholders to determine their interests and obligations under the Disclosure Guidance and Transparency Rules.

J Sainsbury Enhances Shareholder Value with Share Buyback

J Sainsbury plc has announced the repurchase of 460,500 of its ordinary shares as part of its ongoing share buyback program. This move, executed through BNP Paribas SA, reflects the company’s strategy to enhance shareholder value by reducing the number of shares outstanding, which can potentially improve earnings per share and market perception.

J Sainsbury Executes Share Buyback to Enhance Shareholder Value

J Sainsbury plc has executed a purchase of 614,200 of its ordinary shares as part of its ongoing share buyback program. The shares were acquired from BNP Paribas SA at a volume-weighted average price of 325.5725 pence per share, with plans to cancel them, indicating a strategic move to enhance shareholder value.

J Sainsbury Enhances Shareholder Value with Share Buyback

J Sainsbury plc announced the purchase of 619,100 of its ordinary shares from BNP Paribas SA as part of its ongoing share buyback program. This move is intended to cancel the shares, potentially enhancing shareholder value and reflecting the company’s commitment to managing its capital structure effectively.

J Sainsbury plc Announces Share Buyback Transaction

J Sainsbury plc has executed a share buyback transaction, purchasing 620,380 of its ordinary shares from BNP Paribas SA. This move is part of the company’s existing share buyback programme, with the intention to cancel these shares, potentially enhancing shareholder value and optimizing capital structure.

J Sainsbury plc Announces Managerial Share Transactions

J Sainsbury plc announced the sale of ordinary shares by two of its key personnel, Rhian Bartlett and a closely associated person of Bláthnaid Bergin, totaling 725,000 shares. Additionally, Mark Given acquired shares under the company’s Share Incentive Plan. These transactions reflect internal financial maneuvers that may influence stakeholder perceptions and market dynamics.

J Sainsbury plc Executes Share Buyback to Enhance Shareholder Value

J Sainsbury plc announced the purchase of 624,800 of its ordinary shares as part of its ongoing share buyback program. The shares were bought at prices ranging from 317.6000 to 322.4000 pence and will be canceled, indicating a strategic move to enhance shareholder value and optimize capital structure.

J Sainsbury plc Executes Share Buyback of 624,000 Shares

J Sainsbury plc has executed a share buyback transaction, purchasing 624,000 of its ordinary shares from BNP Paribas SA as part of its ongoing share buyback program. The company plans to cancel these shares, a move that is likely to impact its share capital structure and potentially enhance shareholder value.

J Sainsbury’s Executive Share Sale: Strategic Implications

J Sainsbury plc announced that Patrick Dunne, Chief Property and Procurement Officer and MD Smart Charge, sold 155,958 ordinary shares at £3.206 per share on 14 November 2025. This transaction, conducted on the London Stock Exchange, aligns with the UK Market Abuse Regulation, reflecting internal managerial changes and potential strategic realignments within the company.

J Sainsbury Enhances Shareholder Value with Share Buyback

J Sainsbury plc has announced the purchase of 624,200 of its ordinary shares as part of its ongoing share buyback program. These shares were acquired from BNP Paribas SA at a volume-weighted average price of 320.3939 pence per share, and the company intends to cancel them, which could potentially enhance shareholder value by reducing the number of outstanding shares.

J Sainsbury Engages in Share Buyback to Boost Value

J Sainsbury plc has announced the purchase of 442,750 of its ordinary shares as part of its ongoing share buyback program. The shares were acquired from BNP Paribas SA at a volume-weighted average price of 338.7724 pence per share, with the intention to cancel them, which could potentially enhance shareholder value and improve the company’s financial metrics.

J Sainsbury plc Advances Share Buyback Strategy

J Sainsbury plc announced the purchase of 434,000 of its ordinary shares as part of its ongoing share buyback program. The shares were acquired at a volume-weighted average price of 344.9135 pence per share and will be canceled, indicating a strategic move to enhance shareholder value and optimize capital structure.

J Sainsbury plc Announces Share Awards and Director Share Purchase

J Sainsbury plc announced a grant of share awards under its Long Term Incentive Plan 2016 to Tracey Clements, who received nil-cost options over 285,221 ordinary shares. This move is part of the company’s strategy to align management incentives with long-term performance goals. Additionally, non-executive director Katie Bickerstaffe purchased 2,889 ordinary shares, reflecting confidence in the company’s future prospects. These transactions are in line with regulatory requirements and demonstrate the company’s commitment to transparency in its operations.

J Sainsbury plc Executes Share Buyback to Enhance Shareholder Value

J Sainsbury plc announced the repurchase of 431,600 of its ordinary shares as part of its ongoing share buyback program. The shares were bought at a volume-weighted average price of 347.5120 pence and will be canceled, reflecting the company’s strategy to optimize its capital structure and return value to shareholders.

J Sainsbury Initiates £92 Million Share Buyback Programme

J Sainsbury plc has announced the commencement of a share buyback programme worth up to £92 million, set to be completed by the end of the financial year on 28 February 2026. The programme aims to reduce the company’s share capital by repurchasing and cancelling ordinary shares, with BNP Paribas handling the execution independently. This move is part of the company’s strategic efforts to optimize its capital structure and potentially enhance shareholder value.

Sainsbury’s Reports Strong Interim Results and Plans Significant Shareholder Returns

J Sainsbury plc reported strong interim results for the 28 weeks ending September 13, 2025, driven by strategic investments in value, quality, and service. The company achieved a 5.2% increase in sales excluding fuel, with grocery sales up 5.3% and general merchandise and clothing sales up 3.3%. Despite challenges such as cost inflation, Sainsbury’s maintained its competitive edge, leading to a profit performance that exceeded expectations. The company plans to return over £800 million to shareholders through dividends and buybacks, supported by strong cash flow and a robust balance sheet. Sainsbury’s continues to focus on innovation, customer satisfaction, and strategic growth, positioning itself confidently for the upcoming Christmas season.

Sainsbury’s Announces Share Capital and Voting Rights Update

J Sainsbury plc announced that as of 31 October 2025, its issued ordinary share capital consisted of 2,291,965,681 ordinary shares, with no shares held in Treasury. This figure represents the total number of voting rights in the company, which shareholders can use to determine their interest or changes in interest under the Disclosure Guidance and Transparency Rules.

J Sainsbury’s Executive Acquires Shares Under Incentive Plan

J Sainsbury plc announced that Mark Given, the Chief Technology, Marketing and Data Officer, acquired 40 ordinary shares through the company’s Share Incentive Plan at a price of £3.3975 per share. This transaction, conducted on the London Stock Exchange, aligns with the UK Market Abuse Regulation, indicating a strategic move to strengthen managerial investment in the company.

Sainsbury’s Changes Share Registrar to MUFG Corporate Markets

J Sainsbury plc has announced a change in its share registrar from Equiniti to MUFG Corporate Markets, effective from October 6, 2025. This change is significant for shareholders as they will receive notifications with instructions on how to access their shareholdings online, potentially impacting the management of their investments.

J Sainsbury plc Announces Total Voting Rights as of September 2025

J Sainsbury plc has announced that as of September 30, 2025, its issued ordinary share capital consists of 2,291,870,951 shares, with no shares held in Treasury. This figure represents the total number of voting rights in the company, which shareholders can use as a denominator for calculating their interests under the Disclosure Guidance and Transparency Rules.

J Sainsbury’s Executive Acquires Shares Under Incentive Plan

J Sainsbury plc announced a transaction involving Mark Given, the Chief Technology, Marketing and Data Officer, who acquired 43 ordinary shares through the company’s Share Incentive Plan. This transaction, conducted on the London Stock Exchange, reflects the company’s ongoing efforts to align managerial interests with shareholder value, potentially impacting stakeholder confidence positively.

Sainsbury’s Ends Talks with JD.com, Focuses on Argos Growth

J Sainsbury plc has terminated discussions with JD.com regarding the potential sale of Home Retail Group Limited, which includes Argos, due to terms that were not favorable for stakeholders. Sainsbury’s remains committed to enhancing Argos through its ‘More Argos, more often’ strategy, focusing on expanding its range, digital capabilities, and operational efficiencies. The company continues to perform well, with strong sales and profitability, and is on track to meet its financial targets for the year.

J Sainsbury Completes £157.6 Million Share Buyback Programme

J Sainsbury plc has successfully completed its share buyback programme, which commenced on 22 April 2025, with a total purchase of 56,797,534 ordinary shares at an aggregate cost of £157.6 million. The completion of this programme, which involved the cancellation of all purchased shares, is a strategic move to enhance shareholder value and optimize the company’s capital structure.