Topps Tiles (TPT) AI Stock Analysis

• Market Cap: £93.98M
• Dividend Yield: 6.04%
• Average Volume (3M): 651.68K
• Price to Earnings (P/E): 15.7
• Beta (1Y): 0.57
• Revenue Growth: 17.48%
• EPS Growth: N/A
• Country: UK
• Employees: 1,854
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Home Improvement
• EPS (TTM): 0.02
• Shares Outstanding: 196,612,170
• 10 Day Avg. Volume: 675,997
• 30 Day Avg. Volume: 651,682
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 78 Outperform
• Price Target: 51.00p ▲(41.67% Upside)

Topps Tiles is on a positive growth trajectory, driven by strong financial performance and technical indicators. The company's strategic initiatives, such as digital expansion and acquisitions, are promising, despite challenges in managing high leverage and operational costs. The stock's valuation and dividend yield add to its attractiveness.

Positive Factors

Revenue Growth

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

Digital and Trade Sales Expansion

Growing digital and trade sales enhance market reach and customer engagement, crucial for adapting to changing consumer behaviors.

Cash Flow Generation

Robust cash flow generation provides financial flexibility for reinvestment and debt management, strengthening long-term stability.

Negative Factors

High Leverage

High leverage can limit financial flexibility and increase risk, necessitating careful debt management to ensure sustainable growth.

Increased Operating Costs

Rising operating costs can pressure margins and profitability, requiring efficiency improvements to maintain competitiveness.

CTD Acquisition Challenges

Regulatory challenges and associated costs from acquisitions can hinder integration efforts and financial performance.

Topps Tiles Business Overview & Revenue Model

Company Description

Topps Tiles (TPT) is a leading retailer of tiles and associated products in the United Kingdom, specializing in ceramic, porcelain, and natural stone tiles. The company caters to both residential and commercial sectors, offering a wide range of stylish and functional products including wall and floor tiles, adhesives, and accessories. With a strong emphasis on quality and design, TPT provides customers with an extensive selection to enhance their living and working spaces.

How the Company Makes Money

Topps Tiles generates revenue primarily through the sale of tiles and related products in its retail stores and online platform. The company's key revenue streams include direct sales of tiles, adhesives, and other flooring materials, as well as ancillary services such as design consultations and installation support. Additionally, TPT benefits from significant partnerships with manufacturers and suppliers, allowing them to offer exclusive product ranges and competitive pricing. The company also engages in promotional campaigns and loyalty programs to drive customer retention and increase sales, further contributing to its earnings.

Topps Tiles Financial Statement Overview

Summary

Topps Tiles shows a positive trajectory in revenue and operational efficiency, with significant improvements in cash flow generation. However, high leverage remains a concern, and there is room for enhancing net profitability. The company is on a path of recovery and growth, but it must manage its debt levels carefully to ensure long-term stability.

Income Statement

Topps Tiles has shown a positive revenue growth rate of 8.78% in the latest year, indicating a recovery from previous declines. The gross profit margin has improved to 51.88%, reflecting efficient cost management. However, the net profit margin remains low at 2.02%, suggesting room for improvement in profitability. The EBIT and EBITDA margins have improved significantly, indicating better operational efficiency.

Balance Sheet

The company has a high debt-to-equity ratio of 14.34, which poses a risk due to high leverage. However, the return on equity has improved to 77.49%, showing strong profitability relative to shareholder equity. The equity ratio is low at 4.11%, indicating a heavy reliance on debt financing.

Cash Flow

Topps Tiles has demonstrated strong free cash flow growth of 56.46%, indicating improved cash generation capabilities. The operating cash flow to net income ratio is 3.96, suggesting robust cash flow relative to net income. The free cash flow to net income ratio is 3.04, highlighting effective cash management.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	295.75M	295.75M	251.76M	262.71M	247.24M	228.00M
Gross Profit	153.75M	153.41M	134.32M	139.25M	126.57M	122.17M
EBITDA	26.45M	33.27M	12.23M	35.46M	39.28M	45.08M
Net Income	5.99M	5.99M	-13.03M	3.21M	9.01M	10.65M
Balance Sheet
Total Assets	187.89M	187.89M	167.40M	174.40M	180.82M	188.07M
Cash, Cash Equivalents and Short-Term Investments	18.43M	18.43M	23.68M	23.37M	16.24M	27.79M
Total Debt	110.79M	110.79M	100.96M	94.50M	102.93M	111.34M
Total Liabilities	180.17M	180.17M	161.82M	148.01M	151.78M	163.11M
Stockholders Equity	7.73M	7.73M	5.58M	23.21M	26.58M	24.96M
Cash Flow
Free Cash Flow	18.73M	18.22M	19.30M	32.98M	19.71M	22.09M
Operating Cash Flow	23.69M	23.72M	23.77M	37.23M	22.92M	26.50M
Investing Cash Flow	-4.70M	-4.72M	-12.95M	-3.61M	-6.50M	-1.84M
Financing Cash Flow	-24.24M	-24.24M	-10.51M	-26.50M	-27.97M	-27.89M

Topps Tiles Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 36.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:TPT, the sentiment is Positive. The current price of 36 is below the 20-day moving average (MA) of 43.09, below the 50-day MA of 39.20, and below the 200-day MA of 36.07, indicating a bullish trend. The MACD of 2.69 indicates Negative momentum. The RSI at 66.96 is Neutral, neither overbought nor oversold. The STOCH value of 72.01 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:TPT.

Topps Tiles Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TPT	78 Outperform	£93.98M	15.67	89.96%	6.04%	17.48%	―
KGF	72 Outperform	£5.24B	29.37	2.86%	3.99%	-0.13%	-43.71%
WIX	67 Neutral	£525.45M	24.74	15.65%	3.80%	3.98%	-22.94%
LIKE	64 Neutral	£54.83M	40.74	3.37%	1.76%	9.26%	31.71%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
MRK	53 Neutral	£48.28M	-44.23	-9.68%	2.09%	-5.97%	14.75%
HEAD	47 Neutral	£40.77M	-0.89	-19.28%	―	-11.65%	-273.57%

Topps Tiles Corporate Events

Topps Tiles Achieves Record Turnover and Strategic Milestones in 2025

Topps Tiles Plc has reported a record year for turnover, with approximately £265 million in adjusted sales, marking a 6.8% increase year-on-year. The Group’s strategic progress is evident as it continues to advance towards its ‘Mission 365’ goal, aiming for £365 million in total Group sales in the medium term. The company has seen widespread sales improvement across all business segments, with like-for-like sales growth accelerating in the second half of the year. Despite increased costs due to wage and tax contributions, the company expects to meet market expectations for adjusted profit. The Group’s strategic initiatives, including modernizing digital experiences and expanding business-to-business sales, have bolstered its strong performance. Additionally, the disposal of CTD sites required by the CMA is nearing completion, which will conclude the CMA’s involvement with the company. With a strong balance sheet and improving trading momentum, Topps Tiles is well-positioned for continued growth into 2026.

The most recent analyst rating on (GB:TPT) stock is a Hold with a £33.00 price target. To see the full list of analyst forecasts on Topps Tiles stock, see the GB:TPT Stock Forecast page.