tiprankstipranks
Trending News
More News >
Topps Tiles PLC (GB:TPT)
LSE:TPT

Topps Tiles (TPT) AI Stock Analysis

Compare
30 Followers

Top Page

GB

Topps Tiles

(LSE:TPT)

Rating:54Neutral
Price Target:
35.00p
▲(9110.53%Upside)
Topps Tiles demonstrates significant potential from corporate events, including strategic growth and leadership changes, which are offset by financial challenges like high leverage and negative profitability. Stable technical indicators and a strong dividend yield provide some support, but valuation concerns remain due to the negative P/E ratio.

Topps Tiles (TPT) vs. iShares MSCI United Kingdom ETF (EWC)

Topps Tiles Business Overview & Revenue Model

Company DescriptionTopps Tiles (TPT) is a leading UK-based retailer specializing in the sale of tiles and associated products. The company operates primarily in the retail sector, offering a wide range of wall and floor tiles, as well as tiling tools, accessories, and underfloor heating solutions. With a network of stores across the United Kingdom, Topps Tiles serves both retail customers and trade professionals, providing high-quality products for various home improvement and construction projects.
How the Company Makes MoneyTopps Tiles generates revenue primarily through the sale of tiles and related accessories to both retail and trade customers. The company operates an extensive network of physical stores, as well as an online platform, allowing it to reach a wide customer base. Revenue streams include direct sales from its retail outlets, online sales through its e-commerce website, and sales to trade professionals who rely on Topps Tiles for their building and renovation needs. The company benefits from partnerships with leading tile manufacturers, ensuring a diverse product offering that caters to various styles and budgets. Additionally, Topps Tiles' focus on customer service and in-store expertise helps drive repeat business and customer loyalty, further contributing to its earnings.

Topps Tiles Financial Statement Overview

Summary
Topps Tiles faces a challenging financial position with declining revenues and profitability pressures. The high leverage and low equity position present significant risks. While cash flow generation remains relatively stable, the company must address its profitability and leverage to improve its financial health.
Income Statement
45
Neutral
Topps Tiles experienced a notable decline in revenue and profitability compared to the previous year. The company reported a negative EBIT and net income, indicating significant challenges in maintaining profitability. Additionally, gross profit margin decreased slightly, reflecting potential cost pressures or pricing challenges.
Balance Sheet
30
Negative
The balance sheet highlights high leverage with a rising debt-to-equity ratio, indicating increased financial risk. Stockholders' equity has significantly declined, which could limit financial flexibility. The equity ratio is very low, highlighting potential solvency concerns.
Cash Flow
60
Neutral
Despite challenges in profitability, Topps Tiles demonstrated a stable operating cash flow, which exceeds net income, providing some liquidity cushion. However, free cash flow has declined from the previous year, indicating potential constraints on capital allocation.
BreakdownSep 2024Sep 2023Sep 2022Sep 2021Sep 2020
Income Statement
Total Revenue251.76M262.71M247.24M228.00M192.81M
Gross Profit134.32M139.25M126.57M122.17M107.97M
EBITDA12.23M35.46M39.28M45.08M22.77M
Net Income-13.03M3.21M9.01M10.65M-7.97M
Balance Sheet
Total Assets167.40M174.40M180.82M188.07M205.08M
Cash, Cash Equivalents and Short-Term Investments23.68M23.37M16.24M27.79M31.02M
Total Debt100.96M94.50M102.93M111.34M129.14M
Total Liabilities161.82M148.01M151.78M163.11M191.03M
Stockholders Equity5.58M23.21M26.58M24.96M14.08M
Cash Flow
Free Cash Flow19.30M32.98M19.71M22.09M44.38M
Operating Cash Flow23.77M37.23M22.92M26.50M51.09M
Investing Cash Flow-12.95M-3.61M-6.50M-1.84M12.11M
Financing Cash Flow-10.51M-26.50M-27.97M-27.89M-50.93M

Topps Tiles Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.38
Price Trends
50DMA
0.35
Positive
100DMA
0.34
Positive
200DMA
0.36
Positive
Market Momentum
MACD
<0.01
Negative
RSI
59.57
Neutral
STOCH
71.86
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 0.38 is above the 20-day moving average (MA) of 0.36, above the 50-day MA of 0.35, and above the 200-day MA of 0.36, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 59.57 is Neutral, neither overbought nor oversold. The STOCH value of 71.86 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

Overall Rating
UnderperformOutperform
Sector (56)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
69
Neutral
£58.60M75.001.96%1.52%7.35%-11.43%
GBKGF
61
Neutral
£4.97B28.252.86%6.00%-1.51%-45.51%
GBKGF
61
Neutral
£4.97B28.252.86%6.00%-1.51%-45.51%
GBWIX
59
Neutral
£535.62M30.5911.73%4.72%-0.97%-36.95%
GBWIX
59
Neutral
£535.62M30.5911.73%4.72%-0.97%-36.95%
56
Neutral
HK$24.59B3.77-2.05%6.59%-0.32%-67.68%
GBTPT
54
Neutral
£74.28M-93.27%0.04%6.55%-1914.81%
GBMRK
54
Neutral
£64.02M-11.56%0.98%2.55%-445.00%
GBMRK
54
Neutral
£64.02M-11.56%0.98%2.55%-445.00%
46
Neutral
£71.45M-12.15%6.45%-9.66%-425.03%
46
Neutral
£71.45M-12.15%6.45%-9.66%-425.03%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:TPT
Topps Tiles
0.38
0.00
0.00%
GB:KGF
Kingfisher
2.84
0.37
14.98%
GB:KGF
Kingfisher
2.84
0.37
14.98%
GB:HEAD
Headlam
0.89
-0.49
-35.51%
GB:HEAD
Headlam
0.89
-0.49
-35.51%
GB:WIX
Wickes Group
2.30
1.03
81.10%
GB:WIX
Wickes Group
2.30
1.03
81.10%
GB:LIKE
Likewise Group Plc
0.24
0.09
60.00%
GB:MRK
Marks Electrical Group Plc
0.63
-0.06
-8.70%
GB:MRK
Marks Electrical Group Plc
0.63
-0.06
-8.70%

Topps Tiles Corporate Events

Business Operations and StrategyFinancial Disclosures
Topps Tiles Reports Strong Q3 Growth and Strategic Progress
Positive
Jul 2, 2025

Topps Tiles Plc reported strong trading momentum in the third quarter of 2025, with a 10.1% increase in group adjusted sales, surpassing the growth seen in the first half of the year. The company experienced improved sales across all divisions, particularly in trade sales, and saw an increase in active trade customers and online sales. Despite a challenging cost environment, the company expects gross margins to improve and operating costs to grow at a slower rate than gross profits. The company is also making strategic progress with its Mission 365 plan, focusing on digital enhancements and expanding its business-to-business sales, positioning itself for continued growth in sales and profits.

Executive/Board ChangesBusiness Operations and Strategy
Topps Tiles Announces New CEO and CFO Transition
Positive
Jun 26, 2025

Topps Tiles Plc has announced significant leadership changes, appointing Alex Jensen as the new CEO following Rob Parker’s retirement. Jensen, with a robust background in retail and digital transformation, is expected to drive the company’s growth and value creation initiatives. Additionally, CFO Stephen Hopson will be leaving, with Mike Killick stepping in as interim CFO, ensuring a smooth transition. These changes are poised to impact the company’s strategic direction and stakeholder value positively.

M&A TransactionsBusiness Operations and StrategyFinancial Disclosures
Topps Tiles Reports Strong Interim Results and Strategic Growth Initiatives
Positive
May 20, 2025

Topps Tiles Plc announced its interim financial results for the first half of 2025, highlighting significant growth in its digital trade experience and new product categories. The company reported a 4.1% increase in adjusted sales to £127.8 million and a 3.2% rise in adjusted profit before tax to £3.2 million. The acquisition of CTD has expanded its business-to-business sales focus, although it is not yet fully integrated. The company is optimistic about its growth prospects, expecting improved profitability by the year’s end, supported by strategic initiatives like Mission 365 and a strong start to the second half with a 9.5% increase in group adjusted sales.

Financial Disclosures
Topps Tiles to Present Interim Results in Live Investor Session
Neutral
May 1, 2025

Topps Tiles plc announced that its CEO, Rob Parker, and CFO, Stephen Hopson, will present the Group’s Interim Results in a live session via Investor Meet Company on 22 May 2025. This presentation is accessible to all existing and potential shareholders, allowing them to engage directly by submitting questions before or during the event, which could enhance transparency and stakeholder engagement.

Regulatory Filings and Compliance
Topps Tiles Updates Share Capital and Voting Rights
Neutral
Apr 29, 2025

Topps Tiles announced its total issued share capital consists of 196,681,818 ordinary shares, with a total of 196,500,902 voting rights. The company’s employee benefit trust holds 180,916 shares, which are reserved for employee share plans and have waived voting and dividend rights. This update is crucial for shareholders to determine their notification obligations under the Financial Conduct Authority’s rules.

M&A TransactionsBusiness Operations and StrategyRegulatory Filings and Compliance
Topps Tiles Concludes CMA Investigation on CTD Tiles Acquisition
Positive
Apr 24, 2025

Topps Tiles has successfully concluded a Competition and Markets Authority (CMA) investigation regarding its acquisition of CTD Tiles. The CMA approved Topps Tiles’ proposed undertakings, allowing the company to proceed without a Phase II investigation. Topps Tiles will divest four CTD retail locations due to competition concerns but will retain the remaining stores and businesses. This resolution lifts previous restrictions on management oversight and integration, enabling Topps Tiles to review and strategize the CTD business ahead of its Interim Results announcement.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 03, 2025