Warpaint London (W7L) AI Stock Analysis

• Market Cap: £351.42M
• Dividend Yield: 2.56%
• Average Volume (3M): 415.24K
• Price to Earnings (P/E): 18.5
• Beta (1Y): 1.13
• Revenue Growth: 13.41%
• EPS Growth: 30.17%
• Country: UK
• Employees: 155
• Sector: Consumer Cyclical
• Sector Strength: 60
• Industry: Household & Personal Products
• EPS (TTM): 0.13
• Shares Outstanding: 80,787,320
• 10 Day Avg. Volume: 680,356
• 30 Day Avg. Volume: 415,243
• PEG Ratio: 0.18
• Price to Book (P/B): 3.61
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 17.95
• 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: £700.00
• Price Target Upside: 60.92% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 75 Outperform
• Price Target: 490.00p ▲(12.64%Upside)

Warpaint London scores well due to its robust financial performance, characterized by significant revenue growth and strong profitability. While technical analysis presents mixed signals, the company's valuation remains fair, and recent corporate events support future growth prospects. The combination of solid financials and strategic initiatives positions the company well in its industry, leading to a favorable overall stock score.

Warpaint London Business Overview & Revenue Model

Company Description

Warpaint London PLC, together with its subsidiaries, provides color cosmetics. It operates through two segments, Branded and Close-Out. It provides supply chain management services; and operates as a wholesaler. The company provides its products under the W7, Technic, Man'stuff, Body Collection, Vintage, Very Vegan, and Chit Chat brand names. Warpaint London PLC sells its products to retailers, distributors, and retail chains, as well as through online. The company operates in the United Kingdom, rest of Europe, Spain, Denmark, the United States, Australia, New Zealand, and internationally. The company was founded in 1992 and is based in Iver, the United Kingdom.

How the Company Makes Money

Warpaint London makes money through the sale of its cosmetics products, primarily under the W7 brand. The company's revenue model is focused on distributing its products through a combination of wholesale, retail, and online channels. Key revenue streams include sales to major retailers, independent beauty shops, and directly to consumers via e-commerce platforms. Additionally, Warpaint London has established significant partnerships with leading retailers, which help in expanding its market reach and brand visibility. The company's strategy of offering trendy and affordable products in attractive packaging also plays a crucial role in attracting a wide customer base, thus driving sales and revenue growth.

Warpaint London Financial Statement Overview

Summary

Warpaint London demonstrates strong financial performance with impressive revenue growth, solid profitability, and a stable financial structure. The company's robust income statement, healthy balance sheet, and consistent cash flow generation position it well for continued growth.

Income Statement

Warpaint London has demonstrated impressive revenue growth over recent years, with a strong top-line increase from £40.3 million in 2020 to £101.6 million in 2024. Gross profit margins have remained relatively stable, indicating a consistent ability to manage production costs effectively. The net profit margin has improved significantly, reflecting greater operational efficiency and cost control. EBIT and EBITDA margins are also strong, showcasing the company's robust profitability. Overall, the income statement highlights Warpaint London's solid financial performance with substantial growth and profitability.

Balance Sheet

The company's balance sheet reveals a healthy financial position, with a significant increase in stockholders' equity from £37.8 million in 2022 to £73.3 million in 2024, indicating strong retained earnings and growth. The debt-to-equity ratio is low, signifying prudent leverage and risk management. Additionally, the equity ratio is high, reflecting strong asset backing by equity. However, there is a need to maintain this trajectory to ensure continued financial stability.

Cash Flow

Warpaint London has shown consistent free cash flow generation, with a positive free cash flow in recent years. The operating cash flow to net income ratio remains favorable, indicating effective cash generation from operations. Although free cash flow experienced slight fluctuations, the overall trend remains strong, supporting the company's ability to fund operations and growth initiatives.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	101.61M	89.59M	64.06M	50.00M	40.29M
Gross Profit	39.63M	33.77M	23.33M	16.91M	12.54M
EBITDA	26.34M	20.45M	11.69M	7.55M	2.79M
Net Income	18.23M	13.90M	6.25M	2.83M	-999.00K
Balance Sheet
Total Assets	85.56M	65.03M	51.35M	47.57M	45.97M
Cash, Cash Equivalents and Short-Term Investments	21.89M	9.05M	5.87M	4.07M	4.88M
Total Debt	4.25M	5.45M	5.86M	3.15M	3.96M
Total Liabilities	12.27M	18.22M	13.57M	11.42M	8.60M
Stockholders Equity	73.29M	46.80M	37.78M	36.15M	37.37M
Cash Flow
Free Cash Flow	6.90M	9.77M	7.59M	4.49M	6.58M
Operating Cash Flow	9.14M	10.29M	8.43M	5.09M	7.46M
Investing Cash Flow	-2.67M	-518.00K	-843.00K	-599.00K	-860.00K
Financing Cash Flow	6.39M	-6.67M	-5.80M	-5.29M	-4.45M

Warpaint London Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 435.00
• 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:W7L, the sentiment is Positive. The current price of 435 is below the 20-day moving average (MA) of 442.25, above the 50-day MA of 420.18, and below the 200-day MA of 460.13, indicating a neutral trend. The MACD of -0.88 indicates Positive momentum. The RSI at 50.54 is Neutral, neither overbought nor oversold. The STOCH value of 69.99 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:W7L.

Warpaint London Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
W7L	75 Outperform	£351.42M	18.53	30.36%	2.56%	13.41%	30.17%
MCB	69 Neutral	£254.01M	6.36	64.21%	―	0.81%	125.55%
Sector *	62 Neutral	$16.72B	10.85	-7.48%	3.11%	1.66%	-24.52%
REVB	59 Neutral	£15.00M	―		―	-14.61%	97.35%
CRL	57 Neutral	£27.03M	―	-10.61%	1.14%	-6.61%	-319.08%
PZC	50 Neutral	£312.10M	―	-2.48%	2.02%	-16.16%	80.50%
CLAI	39 Underperform	£3.39M	―	-130.38%	―	-73.31%	47.54%

Warpaint London Corporate Events

Warpaint London PLC Successfully Passes All AGM Resolutions

Warpaint London PLC announced that all resolutions were passed at their Annual General Meeting, reflecting strong shareholder support. This includes the approval of the director’s remuneration report, re-election of key directors, re-appointment of auditors, and the declaration of a final dividend of 7.5 pence per share. The successful passing of these resolutions indicates stability and continued confidence in the company’s leadership and strategic direction, potentially reinforcing its market position and stakeholder trust.

The most recent analyst rating on (GB:W7L) stock is a Buy with a £700.00 price target. To see the full list of analyst forecasts on Warpaint London stock, see the GB:W7L Stock Forecast page.

Warpaint London Projects Strong Growth Amid New Acquisitions and Product Rollouts

Warpaint London PLC announced at its AGM that it expects robust trading for the first half of 2025, with sales projected between £50 million and £52 million, despite a slowdown in its US business due to higher tariffs. The company anticipates significant growth opportunities in the second half of the year, driven by new product rollouts and a strong Christmas order book, with Brand Architekts, acquired in February 2025, contributing to this growth. Warpaint maintains a strong balance sheet with no debt and a substantial cash reserve, and plans to pay a final dividend of 7.5 pence per share, reflecting confidence in meeting market expectations for the year.

The most recent analyst rating on (GB:W7L) stock is a Buy with a £700.00 price target. To see the full list of analyst forecasts on Warpaint London stock, see the GB:W7L Stock Forecast page.

Warpaint London PLC Announces Change in Major Holdings

Warpaint London PLC has announced a change in its major holdings, with Rathbones Investment Management Ltd acquiring or disposing of voting rights. This adjustment results in Rathbones holding a total of 5.5757% of Warpaint’s voting rights, reflecting a significant stake in the company. This shift in holdings could impact Warpaint’s strategic decisions and influence its market positioning, as stakeholders like Rathbones play a crucial role in the company’s governance.

The most recent analyst rating on (GB:W7L) stock is a Buy with a £700.00 price target. To see the full list of analyst forecasts on Warpaint London stock, see the GB:W7L Stock Forecast page.

Warpaint London Announces Shareholding Changes with Schroders PLC

Warpaint London PLC has announced a change in its shareholding structure as Schroders PLC has adjusted its holdings in the company. The notification indicates that Schroders PLC now holds 10.990287% of Warpaint London’s shares, a slight decrease from the previous 11.243425%. This adjustment in shareholding could impact Warpaint London’s market dynamics and stakeholder interests, reflecting Schroders’ strategic investment decisions.

The most recent analyst rating on (GB:W7L) stock is a Buy with a £700.00 price target. To see the full list of analyst forecasts on Warpaint London stock, see the GB:W7L Stock Forecast page.

Warpaint London PLC Announces Annual Report and AGM Details

Warpaint London PLC has announced the posting of its Annual Report for the year ending 31 December 2024, along with the Notice of its Annual General Meeting (AGM) to shareholders. The AGM is scheduled for 17 June 2025. This announcement may impact the company’s operations by keeping stakeholders informed and engaged, potentially influencing its market positioning and stakeholder relations.

The most recent analyst rating on (GB:W7L) stock is a Buy with a £700.00 price target. To see the full list of analyst forecasts on Warpaint London stock, see the GB:W7L Stock Forecast page.

Warpaint London Achieves Record Sales and Profits in 2024

Warpaint London PLC reported record sales and profits for 2024, with a 13% increase in revenue to £101.6 million and a 16% rise in EBITDA to £24.2 million. The company saw significant growth across all key geographic regions, particularly in the EU and US, and expanded its product offerings in major retailers. The acquisition of Brand Architekts Group PLC in February 2025 is expected to enhance earnings, and the company anticipates continued strong performance in 2025 despite challenges such as increased US tariffs.

Warpaint London PLC to Announce 2024 Financial Results

Warpaint London PLC has announced that it will release its financial results for the year ending December 31, 2024, on April 29, 2025. This announcement is significant as it follows the company’s recent acquisition of Brand Architekts Group PLC, which could impact its market positioning and stakeholder interests.