Naked Wines plc (WINE) AI Stock Analysis

• Market Cap: £49.94M
• Dividend Yield: N/A
• Average Volume (3M): 113.12K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.95
• Revenue Growth: -15.87%
• EPS Growth: 90.20%
• Country: UK
• Employees: 390
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Beverages - Wineries & Distilleries
• EPS (TTM): -0.04
• Shares Outstanding: 66,183,750
• 10 Day Avg. Volume: 231,674
• 30 Day Avg. Volume: 113,117
• PEG Ratio: 0.17
• Price to Book (P/B): 0.89
• Price to Sales (P/S): 0.26
• P/FCF Ratio: 3.99
• 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: £150.00
• Price Target Upside: 108.33% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 1.26
• Revenue Forecast (FY): £14.83B

• Rating: 54 Neutral
• Price Target: 79.00p ▲(9.72% Upside)

Naked Wines plc's overall stock score reflects a challenging financial performance with declining revenue and profitability. However, the recent earnings call provided positive insights into cash generation and strategic improvements, which partially offset the negative valuation metrics. Technical indicators suggest a neutral market sentiment.

Positive Factors

Strong Cash Generation

Consistent positive cash generation increases financial flexibility and lowers refinancing risk. An £8m net cash increase and a £2m buyback demonstrate that operations can fund capital allocation and strategic initiatives, supporting stability while restructuring for profitability.

Improved Adjusted EBITDA

A large improvement in adjusted EBITDA indicates better unit economics and operational leverage from a tighter customer mix. Sustained margin expansion from focusing on higher-quality customers can drive free cash flow conversion and fund growth without relying on aggressive acquisition spending.

Inventory Liquidation Plan

A clear £40m inventory liquidation target materially improves working capital and gross margin headroom when achieved. Reducing stock overhang lowers holding costs, frees cash for reinvestment, and removes a structural drag on margins, enabling a healthier, leaner balance sheet.

Negative Factors

Revenue Decline

Sustained top-line contraction reduces scale benefits and can undermine long-term competitive positioning. Even if intentional, falling revenue limits ability to invest in product, marketing, and distribution, making durable profitable growth harder without regaining sustainable customer base expansion.

Negative Profitability and ROE

Persistent negative ROE and ongoing net losses indicate the company is not currently converting assets into shareholder value. Without durable margin recovery and earnings, equity cushions will be eroded and the company may face constraints financing growth or absorbing operational shocks.

Customer Acquisition & Channel Challenges

Declining efficiency of lead channels raises customer acquisition costs and limits scalable growth. Structural underperformance in key channels forces reallocation of marketing spend, slows new customer flow, and can negate improvements in retention unless alternative sustainable acquisition routes are developed.

Naked Wines plc Business Overview & Revenue Model

Company Description

Naked Wines plc (WINE) is a UK-based online wine retailer that connects independent winemakers directly with consumers. The company operates primarily in the e-commerce sector of the beverage industry, offering a wide range of wines sourced from various regions around the world. Naked Wines is known for its innovative approach to wine sales, allowing customers to support winemakers by pre-funding their production in exchange for exclusive access to high-quality wines at competitive prices.

How the Company Makes Money

Naked Wines generates revenue primarily through its subscription model, where customers, referred to as 'Angels', contribute a monthly fee to fund winemakers. In return, Angels receive substantial discounts and exclusive access to wines. This model not only provides upfront capital for winemakers but also creates a loyal customer base. The company also earns revenue from direct wine sales through its website, where members can purchase wines at retail prices. Additionally, Naked Wines benefits from partnerships with various wineries, which allow for a diverse product offering and enhance its market presence. Seasonal promotions and limited edition releases further contribute to sales, leveraging customer engagement and driving revenue growth.

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	227.46M	250.22M	290.41M	354.05M	340.23M	350.26M
Gross Profit	60.18M	46.13M	54.95M	69.89M	135.49M	141.72M
EBITDA	1.67M	-1.12M	-10.28M	-8.77M	-5.27M	6.54M
Net Income	-1.52M	-4.90M	-20.84M	-17.41M	-10.04M	2.38M
Balance Sheet
Total Assets	172.22M	164.49M	201.73M	251.89M	221.07M	247.53M
Cash, Cash Equivalents and Short-Term Investments	31.13M	30.05M	31.85M	39.50M	85.15M	39.85M
Total Debt	5.43M	6.45M	15.92M	35.02M	2.91M	3.60M
Total Liabilities	107.52M	92.96M	124.97M	153.21M	117.70M	137.65M
Stockholders Equity	64.70M	71.53M	76.77M	98.68M	103.36M	109.88M
Cash Flow
Free Cash Flow	14.51M	16.03M	2.17M	-33.48M	30.93M	-45.05M
Operating Cash Flow	14.96M	17.20M	3.31M	-32.00M	33.60M	-43.12M
Investing Cash Flow	-2.24M	-613.00K	7.92M	4.89M	-982.00K	-1.44M
Financing Cash Flow	-10.53M	-17.66M	-18.74M	26.42M	-1.07M	-951.00K

Naked Wines plc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 72.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• 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 72 is below the 20-day moving average (MA) of 72.62, below the 50-day MA of 72.21, and below the 200-day MA of 77.40, indicating a neutral trend. The MACD of 1.17 indicates Negative momentum. The RSI at 57.20 is Neutral, neither overbought nor oversold. The STOCH value of 66.16 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
TSCO	74 Outperform	£27.24B	18.66	13.65%	3.25%	1.05%	-20.25%
SBRY	70 Outperform	£7.04B	20.47	6.63%	4.02%	0.82%	160.81%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
VINO	60 Neutral	£30.84M	26.39	5.67%	―	0.03%	-5.67%
WINE	54 Neutral	£49.94M	-36.06	-2.30%	―	-15.87%	90.20%
CDGP	54 Neutral	£58.32M	-29.57	-6.01%	―	―	―
OCDO	44 Neutral	$2.37B	―	―	―	―	―

Naked Wines plc Corporate Events

Naked Wines Completes £2m Reverse Accelerated Share Buyback

Naked Wines plc has completed a £2 million share buyback via a reverse accelerated bookbuild, acquiring 2,766,665 ordinary shares at 72 pence each, which will be held in treasury without voting rights. Following settlement on 29 December 2025, the company’s issued ordinary share capital will total 68,950,415 shares, all of which count towards voting rights, giving shareholders a new reference figure for calculating disclosure thresholds under UK transparency rules.

The most recent analyst rating on (GB:WINE) stock is a Hold with a £75.00 price target. To see the full list of analyst forecasts on Naked Wines plc stock, see the GB:WINE Stock Forecast page.

Naked Wines Launches £2m Reverse Bookbuild Share Buyback

Naked Wines has launched a reverse accelerated bookbuild share buyback of up to £2 million, its second £2 million programme this year, as part of its ongoing capital return policy. Conducted by Panmure Liberum as principal, the buyback will run on 22 December 2025 and may purchase up to 7.4 million shares within pre-agreed pricing limits, with all repurchased stock to be held in treasury without voting rights, potentially enhancing intrinsic value per share and paving the way for further on‑market buybacks if demand falls below the maximum amount.

The most recent analyst rating on (GB:WINE) stock is a Hold with a £75.00 price target. To see the full list of analyst forecasts on Naked Wines plc stock, see the GB:WINE Stock Forecast page.

Naked Wines Expects Higher FY26 EBITDA While Refining Strategy for Profitable Growth

Naked Wines plc reported its Adjusted EBITDA for FY26 is expected to be at the higher end of its guidance, indicating strong financial discipline and successful peak trading performance across its markets. Although revenue is expected to be lower, this aligns with the company’s strategy to pivot towards a more profitable, efficient business model, preparing for sustainable growth in the medium term.

The most recent analyst rating on (GB:WINE) stock is a Hold with a £75.00 price target. To see the full list of analyst forecasts on Naked Wines plc stock, see the GB:WINE Stock Forecast page.

Naked Wines Projects Top-End Adjusted EBITDA for FY26

Naked Wines plc has announced that its Adjusted EBITDA for FY26 is expected to reach the top end of published guidance, supported by successful peak trading and disciplined cost management across all markets. While revenue is projected to align with the lower end of guidance due to a deliberate strategy to eliminate inefficient investments, the company is positioning itself for a return to profitable growth in the medium term.

The most recent analyst rating on (GB:WINE) stock is a Hold with a £75.00 price target. To see the full list of analyst forecasts on Naked Wines plc stock, see the GB:WINE Stock Forecast page.

Naked Wines Reports Strong Half-Year Results with Strategic Progress

Naked Wines plc reported significant progress in its half-year results for the period ending September 29, 2025, with a notable 112% increase in adjusted EBITDA compared to the previous year. The company successfully completed its first share buyback program, enhancing shareholder value, and continues to align its operations with its strategic plan, focusing on cash generation and profitability. Despite a reduction in revenue, the company has improved its gross profit margin and reduced customer acquisition costs, setting a strong foundation for future growth. The leadership team has been strengthened to support marketing and customer growth initiatives, and the company remains committed to disciplined revenue growth and exploring new opportunities in the US market.

The most recent analyst rating on (GB:WINE) stock is a Hold with a £79.00 price target. To see the full list of analyst forecasts on Naked Wines plc stock, see the GB:WINE Stock Forecast page.

Naked Wines Reports Strong Half-Year Results with Strategic Progress

Naked Wines plc reported significant progress in its half-year results for the period ending September 2025, with a notable increase in adjusted EBITDA and gross profit margin. The company successfully completed a share buyback program, enhancing shareholder value, and made strategic leadership changes to support its marketing and growth initiatives. Despite a reduction in revenue, which aligns with its strategy to focus on profitable core members, the company improved its financial metrics, including a reduction in customer acquisition costs and an increase in return on equity. The company’s strategic plan remains on track, aiming for sustainable growth and improved profitability, while exploring new opportunities in the US market.

The most recent analyst rating on (GB:WINE) stock is a Hold with a £79.00 price target. To see the full list of analyst forecasts on Naked Wines plc stock, see the GB:WINE Stock Forecast page.

Naked Wines Appoints Susan Hooper as Non-Executive Director

Naked Wines has announced the appointment of Susan Hooper as a Non-Executive Director, who will also serve as Senior Independent Director and Chair of the Remuneration Committee. Susan Hooper brings extensive experience in consumer, ESG, and business services sectors, which is expected to enhance Naked Wines’ strategic ambitions. The change follows the departure of Deirdre Runnette, who has significantly contributed to the company over the past three years. This board change is anticipated to strengthen Naked Wines’ governance and sustainability efforts, aligning with its mission to transform the wine-buying experience.

The most recent analyst rating on (GB:WINE) stock is a Hold with a £79.00 price target. To see the full list of analyst forecasts on Naked Wines plc stock, see the GB:WINE Stock Forecast page.

Naked Wines PLC Reports Strong Progress in Trading Update

Naked Wines PLC has released a post-close trading update ahead of its half-year results announcement. The company has shown significant progress in key performance indicators such as Adjusted EBITDA, margin, and cash generation, aligning with its FY26 guidance. Additionally, Naked Wines completed a £2 million share buyback program, enhancing the intrinsic value per share for shareholders. The company plans to host a presentation for existing and potential shareholders on 9 December 2025 to discuss these results further.

The most recent analyst rating on (GB:WINE) stock is a Hold with a £77.00 price target. To see the full list of analyst forecasts on Naked Wines plc stock, see the GB:WINE Stock Forecast page.