Naked Wines plc (WINE) AI Stock Analysis

• Market Cap: £64.57M
• Dividend Yield: N/A
• Average Volume (3M): 402.55K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.86
• Revenue Growth: -13.84%
• EPS Growth: 76.47%
• Country: UK
• Employees: 390
• Sector: Consumer Defensive
• Sector Strength: 48
• Industry: Beverages - Wineries & Distilleries
• EPS (TTM): 0.02
• Shares Outstanding: 72,069,630
• 10 Day Avg. Volume: 535,684
• 30 Day Avg. Volume: 402,550
• 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: £93.00
• Price Target Upside: 8.14% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 60 Neutral
• Price Target: 93.00p ▲(8.14% Upside)

Naked Wines plc's overall stock score is driven by a mix of strong technical momentum and strategic financial management, despite ongoing challenges in profitability and valuation. The company's efforts in cost savings and cash management are positive, but revenue decline and customer acquisition issues remain significant hurdles.

Positive Factors

Profitability

The company aims to reach an annual EBITDA of £10-15m, indicating a focus on profitability.

Strategic Plan

Naked Wines has committed to achieving significant cash returns through its new Strategic Plan.

Negative Factors

Inventory Costs

One-off inventory liquidation costs in FY25 see a reduction in EBIT by approximately £2m.

Revenue Guidance

Revenue is expected to stabilize at £200-225m, which is approximately 20% below the FY25 guidance level.

Naked Wines plc Business Overview & Revenue Model

Company Description

Naked Wines plc, together with its subsidiaries, engages in the retailing of wines and spirits in the United Kingdom, the United States, and Australia. The company offers its products online. The company was formerly known as Majestic Wine plc and changed its name to Naked Wines plc in August 2019. Naked Wines plc was founded in 1980 and is headquartered in Norwich, the United Kingdom.

How the Company Makes Money

Naked Wines generates revenue primarily through its subscription model, where customers pay an upfront fee to join the Naked Wines community. This fee is used to fund winemakers, who in turn provide exclusive wines to subscribers at discounted prices. The company also earns revenue from the direct sale of wines to non-subscribers. Additionally, Naked Wines benefits from customer loyalty and repeat purchases, as well as partnerships with various winemakers that enhance its product offerings. The direct-to-consumer approach eliminates traditional retail markups, allowing Naked Wines to offer competitive pricing while maintaining margins.

Naked Wines plc Financial Statement Overview

Summary

Naked Wines plc faces challenges in revenue growth and profitability, with declining margins and negative net income. The balance sheet is stable with low leverage, but returns on equity are negative. Cash flow management shows signs of improvement, but further efforts are needed to achieve sustainable profitability and growth.

Income Statement

Naked Wines plc has experienced declining revenue over the past few years, with a notable decrease of 7.46% in the most recent year. The company has struggled with profitability, as evidenced by negative net profit margins and EBIT margins. The gross profit margin has also decreased significantly from previous years, indicating pressure on cost management. While there is potential for improvement, current financial performance is weak.

Balance Sheet

The balance sheet shows a relatively low debt-to-equity ratio, indicating conservative leverage. However, the return on equity is negative, reflecting ongoing losses and inefficiencies in generating returns for shareholders. The equity ratio remains stable, suggesting a solid asset base, but the company needs to improve profitability to enhance shareholder value.

Cash Flow

Cash flow metrics show some positive trends, with a notable improvement in free cash flow growth. The operating cash flow to net income ratio has improved, suggesting better cash management. However, the free cash flow to net income ratio indicates that cash generation is still not sufficient to cover net losses, highlighting the need for further operational improvements.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2021	Dec 2021
Income Statement
Total Revenue	270.37M	250.22M	290.41M	354.05M	340.23M	350.26M
Gross Profit	73.81M	46.13M	54.95M	69.89M	135.49M	141.72M
EBITDA	-8.08M	-1.12M	-10.28M	-8.77M	-5.27M	6.54M
Net Income	-15.69M	-4.90M	-20.84M	-17.41M	-10.04M	2.38M
Balance Sheet
Total Assets	191.19M	164.49M	201.73M	251.89M	221.07M	247.53M
Cash, Cash Equivalents and Short-Term Investments	29.26M	30.05M	31.85M	39.50M	85.15M	39.85M
Total Debt	9.19M	6.45M	15.92M	35.02M	2.91M	3.60M
Total Liabilities	123.87M	92.96M	124.97M	153.21M	117.70M	137.65M
Stockholders Equity	67.32M	71.53M	76.77M	98.68M	103.36M	109.88M
Cash Flow
Free Cash Flow	13.45M	16.03M	2.17M	-33.48M	30.93M	-45.05M
Operating Cash Flow	14.29M	17.20M	3.31M	-32.00M	33.60M	-43.12M
Investing Cash Flow	-1.14M	-613.00K	7.92M	4.89M	-982.00K	-1.44M
Financing Cash Flow	-16.60M	-17.66M	-18.74M	26.42M	-1.07M	-951.00K

Naked Wines plc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 86.00
• 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:WINE, the sentiment is Positive. The current price of 86 is above the 20-day moving average (MA) of 83.87, above the 50-day MA of 78.79, and above the 200-day MA of 67.15, indicating a bullish trend. The MACD of 3.18 indicates Negative momentum. The RSI at 54.71 is Neutral, neither overbought nor oversold. The STOCH value of 56.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:WINE.

Naked Wines plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VINO	72 Outperform	£32.32M	22.20	6.37%	―	-1.43%	1016.67%
Sector *	63 Neutral	$20.41B	14.67	-2.93%	3.10%	2.04%	-6.12%
WINE	60 Neutral	£64.57M	―	-6.61%	―	-13.84%	76.47%
DIS	48 Neutral	£4.00M	―	-22.68%	―	-13.94%	-142.86%
ART	47 Neutral	£31.50M	―	-20.08%	―	0.43%	15.06%
1U6	―	€87.29M	―		―	―	―
ADB	―	£5.86M	―	-9.86%	―	―	―

Naked Wines plc Corporate Events

Naked Wines Director-Linked Entity Acquires Additional Shares

Naked Wines Plc announced that Colebrooke Partners Limited, associated with Non-Executive Director Jack Pailing, purchased 50,000 ordinary shares, increasing Pailing’s beneficial interest to 873,654 shares, representing 1.18% of the company’s issued share capital. This transaction highlights ongoing confidence in the company’s strategic direction and market positioning, potentially impacting shareholder perceptions and market dynamics.

Spark’s Take on GB:WINE Stock

According to Spark, TipRanks’ AI Analyst, GB:WINE is a Neutral.

Naked Wines plc is navigating significant challenges in profitability and revenue growth, with strategic efforts showing promise in cash flow improvements and customer engagement. The stock exhibits strong technical momentum, although valuation concerns persist due to a negative P/E ratio. Strategic plans and recent corporate events provide a framework for potential recovery and shareholder value enhancement.

To see Spark’s full report on GB:WINE stock, click here.

Naked Wines Reports FY25 Performance in Line with Expectations

Naked Wines plc announced its FY25 performance is in line with management’s expectations, with revenue around £250 million and net cash of £31 million. The company is finalizing a limited distribution policy and will provide FY26 guidance and updates on its New Strategic Plan during the summer results announcement.

Spark’s Take on GB:WINE Stock

According to Spark, TipRanks’ AI Analyst, GB:WINE is a Neutral.

Naked Wines plc is navigating significant challenges in profitability and revenue growth, with strategic efforts showing promise in cash flow improvements and customer engagement. The stock exhibits strong technical momentum, although valuation concerns persist due to a negative P/E ratio. Strategic plans and recent corporate events provide a framework for potential recovery and shareholder value enhancement.

To see Spark’s full report on GB:WINE stock, click here.

Naked Wines PLC Announces Change in Voting Rights Structure

Naked Wines PLC has announced a change in its voting rights structure, with Mr. Rowan Gormley, a key stakeholder, reducing his voting rights to less than 3% from a previous position of 3.13%. This adjustment reflects a shift in the company’s shareholder dynamics, potentially impacting its governance and decision-making processes.

Spark’s Take on GB:WINE Stock

According to Spark, TipRanks’ AI Analyst, GB:WINE is a Neutral.

Naked Wines plc is navigating significant challenges in profitability and revenue growth, with strategic efforts showing promise in cash flow improvements and customer engagement. The stock exhibits strong technical momentum, although valuation concerns persist due to a negative P/E ratio. Strategic plans and recent corporate events provide a framework for potential recovery and shareholder value enhancement.

To see Spark’s full report on GB:WINE stock, click here.

Naked Wines PLC Announces Change in Major Holdings

Naked Wines PLC announced a change in major holdings, with Kapitalforeningen Wealth Invest adjusting its voting rights from 7.0897% to 6.9454% as of April 2, 2025. This shift in holdings reflects a minor adjustment in the company’s shareholder structure, potentially impacting stakeholder dynamics and voting power within the company.

Naked Wines PLC Announces Change in Major Shareholder Holdings

Naked Wines PLC has announced a change in its major holdings, with Kapitalforeningen Wealth Invest adjusting its voting rights in the company. The Danish investment firm has reduced its stake from 8.03% to 7.09%, which may impact the company’s shareholder dynamics and influence future strategic decisions.

Naked Wines PLC Sees Change in Shareholder Voting Rights

Naked Wines PLC has announced a change in its shareholder structure, with Chapters Group AG, based in Hamburg, Germany, increasing its voting rights in the company from 5.17% to 7.71%. This change reflects an acquisition of voting rights, potentially impacting the company’s governance and strategic decisions, and may influence investor perceptions and market positioning.

Naked Wines Announces Leadership Change Amid Strategic Shift

Naked Wines plc announced a significant change in its leadership structure following the launch of its new Strategic Plan. Rowan Gormley has stepped down as Non-Executive Chairman and Director, with Deidre Runnette taking over as interim Non-Executive Chairman. The company acknowledges Gormley’s contributions in stabilizing the business and positioning it for growth, expressing gratitude for his leadership and experience in the wine industry.

Naked Wines Releases Strategy Event Replay

Naked Wines plc announced the availability of a replay of their recent Strategy Event on their website. This event is significant for stakeholders as it provides insights into the company’s strategic direction and future plans, potentially impacting its market positioning and operational strategies.

Naked Wines Unveils Strategic Plan for Growth and Profitability

Naked Wines plc has unveiled a new Strategic Plan aimed at delivering significant cash flow, sustainable growth, and shareholder returns. The plan focuses on liquidating excess inventory, stabilizing revenue, and achieving profitability through cost savings and strategic investments. The company aims to generate £75 million in cash, reach an annual EBITDA of £10-£15 million, and achieve a 5-10% growth rate. The strategy includes a disciplined approach to capital allocation, prioritizing shareholder returns through potential share buybacks and a limited distribution strategy, while focusing on maximizing intrinsic value per share.

Naked Wines PLC Announces Major Holdings Change

Naked Wines PLC has announced a change in its major holdings, with Chapters Group AG, based in Hamburg, Germany, acquiring a 5.17% voting rights stake in the company. This acquisition marks a significant shift in the ownership structure of Naked Wines, potentially impacting its strategic direction and market positioning.

Naked Wines Announces Strategy Event and Investor Presentation

Naked Wines plc has announced a Strategy Event scheduled for March 27, 2025, in London, aimed at institutional investors and analysts, where they will discuss strategic initiatives and performance reviews. Additionally, the company will host a live presentation for all investors on March 28, 2025, providing an opportunity for shareholders to engage with the leadership and gain insights into the company’s future plans.