Tasty plc (TAST) AI Stock Analysis

• Market Cap: £1.25M
• Dividend Yield: N/A
• Average Volume (3M): 1.27M
• Price to Earnings (P/E): <0.1
• Beta (1Y): 0.07
• Revenue Growth: -21.95%
• EPS Growth: N/A
• Country: UK
• Employees: 1,041
• Sector: Consumer Cyclical
• Sector Strength: 75
• Industry: Restaurants
• EPS (TTM): 0.01
• Shares Outstanding: 197,685,170
• 10 Day Avg. Volume: 2,443,896
• 30 Day Avg. Volume: 1,274,824
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: £0.50
• Price Target Upside: -16.67% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 54 Neutral
• Price Target: 0.50p ▼(-16.67% Downside)

Tasty plc's overall stock score reflects a precarious financial position with high leverage and declining profitability. However, positive corporate events, including significant fundraising and strategic growth plans, provide a potential upside. Technical indicators show mixed signals, with short-term bullish momentum but longer-term bearish trends. The low P/E ratio suggests potential undervaluation, but it also reflects market skepticism about future earnings.

Tasty plc Business Overview & Revenue Model

Company Description

Tasty plc (TAST) is a UK-based company that specializes in the food and beverage sector, focusing on the production and distribution of ready-to-eat meals and snacks. The company is known for its innovative approach to food, offering a diverse range of products that cater to various dietary preferences and lifestyles. Tasty plc operates in both the retail and foodservice markets, providing high-quality, convenient food solutions to consumers across multiple channels.

How the Company Makes Money

Tasty plc generates revenue primarily through the sale of its ready-to-eat meals and snacks, which are distributed through various retail partners, including supermarkets and convenience stores. The company also earns income from its foodservice operations, supplying meals to restaurants and catering services. Key revenue streams include direct sales to consumers, wholesale distribution, and partnerships with food delivery services. Additionally, Tasty plc benefits from collaborations with well-known brands and influencers to enhance its market reach and drive sales.

Tasty plc Financial Statement Overview

Summary

Tasty plc faces significant financial challenges, with declining revenues and profitability impacting its income statement. The balance sheet is strained by high debt levels and negative equity, raising concerns about financial stability and risk exposure. Cash flow remains a relative strength for the company, showing some operational resilience through positive free cash flow. However, the overall financial health of the company is precarious, necessitating strategic interventions to improve performance and sustainability.

Income Statement

The income statement shows a concerning trend with declining revenues and profitability. The gross profit margin improved slightly in 2024 to 5.6% from 4.6% in 2023, but the net profit margin remains negative due to net losses in recent years. Revenue has been inconsistent, with a significant drop in 2024 compared to 2023. The EBIT and EBITDA margins show improvement in 2024 as they turned positive, indicating some operational recovery, but sustained profitability remains a challenge.

Balance Sheet

The balance sheet reveals high leverage, with a concerning debt-to-equity ratio due to negative equity in 2023 and 2024. Although total assets have decreased, liabilities remain high, leading to financial instability. The equity ratio is low, highlighting the reliance on debt financing, which poses risks in terms of financial health and stability.

Cash Flow

Cash flow analysis indicates a positive trend in free cash flow generation, with a slight increase from 2023 to 2024. The operating cash flow to net income ratio is favorable, suggesting operational efficiency. However, the free cash flow to net income ratio reflects ongoing losses, limiting the ability to cover net income with free cash flow.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	36.62M	46.91M	44.03M	34.91M	24.23M
Gross Profit	2.05M	2.16M	-96.00K	1.34M	-6.10M
EBITDA	20.66M	-8.05M	297.00K	3.66M	-5.08M
Net Income	16.05M	-14.47M	-6.43M	1.15M	-12.67M
Balance Sheet
Total Assets	39.61M	43.27M	61.12M	68.63M	66.75M
Cash, Cash Equivalents and Short-Term Investments	3.30M	4.18M	7.00M	11.01M	8.03M
Total Debt	28.91M	48.93M	50.31M	53.43M	55.12M
Total Liabilities	39.30M	59.78M	63.17M	64.30M	66.16M
Stockholders Equity	312.00K	-16.51M	-2.05M	4.33M	596.00K
Cash Flow
Free Cash Flow	1.65M	2.22M	2.81M	7.22M	4.81M
Operating Cash Flow	1.94M	2.53M	4.46M	7.77M	4.93M
Investing Cash Flow	-5.00K	-169.00K	-1.65M	-541.00K	1.92M
Financing Cash Flow	-2.81M	-5.19M	-6.81M	-4.25M	-3.39M

Tasty plc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.60
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:TAST, the sentiment is Positive. The current price of 0.6 is above the 20-day moving average (MA) of 0.60, above the 50-day MA of 0.54, and below the 200-day MA of 0.73, indicating a neutral trend. The MACD of 0.02 indicates Positive momentum. The RSI at 51.45 is Neutral, neither overbought nor oversold. The STOCH value of 29.01 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:TAST.

Tasty plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MARS	67 Neutral	£249.90M	5.65	10.69%	―	0.50%	―
Sector *	63 Neutral	£1.74B	10.51	4.37%	3.49%	0.66%	-39.52%
VARE	55 Neutral	£20.57M	―	-6.15%	―	8.14%	79.37%
COM	55 Neutral	£4.97M	―	-82.37%	―	9.97%	-21.54%
TAST	54 Neutral	£1.25M	0.06		―	-21.95%	―
MEX	51 Neutral	£18.09M	―	-277.22%	―	3.54%	-203.89%

Tasty plc Corporate Events

Tasty plc Raises £0.87 Million Through Retail Offer to Fuel Expansion

Tasty plc has concluded its Retail Offer, raising approximately £0.87 million through the issuance of new ordinary shares. The funds raised will be used to invest in existing restaurants, enhance technology and operations, acquire other restaurant brands, and support working capital for growth. The success of the fundraising is contingent upon shareholder approval at the upcoming General Meeting. The company’s strategic moves aim to bolster its market position and expand its operations, potentially impacting stakeholders positively by enhancing growth prospects and operational capabilities.

Tasty plc Raises £9.25 Million in Strategic Fundraising

Tasty plc announced a successful fundraising effort, raising £9.25 million through the placement and subscription of new ordinary shares, with additional funds expected from a retail offer. This financial move is part of a broader acquisition strategy, with significant participation from directors and substantial shareholders, indicating strong internal support. The fundraising is contingent on shareholder approval at an upcoming general meeting, and the new shares are set to be admitted to trading on AIM, potentially enhancing Tasty’s market positioning and operational capacity.

Tasty plc Launches £1 Million Retail Share Offer to Fuel Growth

Tasty plc has announced a retail offer to raise up to £1 million through the issuance of new ordinary shares at a discounted price. This initiative is part of a larger fundraising effort, including a conditional placing and subscription to raise an additional £9.25 million. The funds are intended to support a revised growth strategy aimed at enhancing sales and shareholder value through both organic and inorganic opportunities. The retail offer is open to existing and new retail shareholders in the UK, with the shares expected to commence trading on the AIM market later in August.

Tasty plc Announces Fundraising and Strategic Acquisition Plans

Tasty plc has announced a proposed fundraising of £9.25 million through a conditional placing of new shares, alongside a retail offer to existing and new shareholders. The company plans to acquire The Ventnor Bay Company Limited, a private cash shell, to support its growth strategy. The fundraising will enable Tasty to invest in its existing restaurants, technology, and potential acquisitions, aiming to enhance shareholder value. Additionally, the company is set to undergo a rebranding to ‘Bow Street Group plc’ and appoint new board members, including industry veterans David Page and Nicholas Wong, to drive its revised growth strategy.

Tasty plc Explores Strategic Board Changes and Funding Options

Tasty plc has confirmed ongoing discussions with David Page, former CEO of PizzaExpress, and Nicholas Wong, former Finance Director of The Fulham Shore, regarding potential board appointments and funding strategies. The company is considering an equity capital raise to invest in future strategic opportunities, aiming to strengthen its market position.

Tasty PLC Sees Major Shareholder Exit

Tasty PLC, a company in the food and beverage industry, has announced a significant change in its shareholder structure. Canaccord Genuity Group Inc., based in Vancouver, Canada, has sold its entire holding of 14 million shares in Tasty PLC, reducing its voting rights from 9.6112% to 0%. This disposal of shares could impact Tasty PLC’s market position and influence the company’s future strategic decisions.