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Watches of Switzerland Group PLC (GB:WOSG)
LSE:WOSG
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Watches of Switzerland Group PLC (WOSG) AI Stock Analysis

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GB:WOSG

Watches of Switzerland Group PLC

(LSE:WOSG)

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Outperform 74 (OpenAI - 4o)
Rating:74Outperform
Price Target:
433.00p
▲(12.06% Upside)
Watches of Switzerland Group PLC scores well due to its solid financial performance and positive technical indicators. The company's consistent revenue growth and strong cash flow generation are significant strengths. While the valuation is moderate, the lack of a dividend yield and increased leverage are areas to watch. Overall, the stock presents a balanced opportunity for growth-oriented investors.
Positive Factors
Revenue Growth
The consistent revenue growth indicates a strong market position and effective business model, supporting long-term expansion and stability.
Cash Flow Generation
Robust cash flow generation enhances financial flexibility, enabling the company to invest in growth opportunities and manage debt effectively.
Operational Efficiency
Healthy EBIT and EBITDA margins suggest operational efficiency, allowing the company to maintain profitability despite market pressures.
Negative Factors
Profitability Margins
Decreasing net profit margins indicate pressure on profitability, which could affect the company's ability to sustain earnings growth.
Leverage
Increased leverage poses a risk to financial stability, potentially limiting the company's ability to navigate economic downturns.
Return on Equity
A decline in return on equity reflects reduced profitability, which may impact investor confidence and long-term growth prospects.

Watches of Switzerland Group PLC (WOSG) vs. iShares MSCI United Kingdom ETF (EWC)

Watches of Switzerland Group PLC Business Overview & Revenue Model

Company DescriptionWatches of Switzerland Group PLC operates as a retailer of luxury watches. The company offers luxury watches and jewelry; fashion and classic watches and jewelry; and gifts, as well as provides servicing, repairs, and insurance services for fashion and classic watches and jewelry. It operates 131 showrooms in the United Kingdom and 40 showrooms in the United States, as well as through seven transactional websites under the Goldsmiths, Mappin & Webb, Watches of Switzerland, Mayors Jewelers, and Betteridge brands. The company was founded in 1775 and is headquartered in Leicester, the United Kingdom.
How the Company Makes MoneyWatches of Switzerland Group PLC generates revenue primarily through the sale of luxury watches and jewelry. The company's revenue model is based on direct retail sales in its physical stores and online platforms. Key revenue streams include the sale of high-end watch brands, which often have significant markups due to their luxury status, as well as the sale of related accessories and jewelry. WOSG also benefits from strong partnerships with renowned watch manufacturers, allowing it to offer exclusive products and limited editions that attract high-end clientele. Additionally, the company may engage in after-sales services, such as repairs and maintenance for luxury watches, further enhancing its revenue potential.

Watches of Switzerland Group PLC Financial Statement Overview

Summary
Watches of Switzerland Group PLC shows solid financial health with consistent revenue growth and strong cash flow generation. However, there is a slight decline in profitability margins and an increase in leverage, which could pose risks if not managed carefully.
Income Statement
Watches of Switzerland Group PLC has demonstrated consistent revenue growth with a 5.78% increase in the latest year, following a slight decline in the previous year. The gross profit margin has remained stable, though slightly lower than in earlier years. The net profit margin has decreased to 3.26% from 3.84%, indicating some pressure on profitability. However, the EBIT and EBITDA margins remain healthy, suggesting operational efficiency.
Balance Sheet
The company's debt-to-equity ratio has increased to 1.20, indicating a higher reliance on debt financing, which could pose a risk if not managed carefully. Return on equity has decreased to 9.97%, reflecting reduced profitability. The equity ratio remains stable, suggesting a balanced approach to asset financing.
Cash Flow
The company has shown a strong free cash flow growth rate of 20.33%, indicating improved cash generation capabilities. The operating cash flow to net income ratio is healthy, though slightly lower than previous years, suggesting efficient cash conversion. The free cash flow to net income ratio remains robust, supporting the company's ability to fund operations and growth.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue1.65B1.65B1.54B1.54B1.24B905.10M
Gross Profit213.20M211.20M189.40M226.40M188.70M123.30M
EBITDA197.70M213.60M220.10M264.60M212.80M117.20M
Net Income53.80M53.80M59.10M121.80M101.00M50.60M
Balance Sheet
Total Assets1.48B1.48B1.33B1.24B1.03B827.20M
Cash, Cash Equivalents and Short-Term Investments79.70M79.70M115.70M136.40M105.90M76.10M
Total Debt647.40M647.40M573.70M530.40M459.20M419.25M
Total Liabilities936.00M936.00M804.40M765.70M668.70M576.90M
Stockholders Equity539.60M539.60M523.00M469.30M361.30M250.30M
Cash Flow
Free Cash Flow106.40M108.30M107.30M136.90M129.30M147.70M
Operating Cash Flow178.20M183.70M191.30M211.90M170.30M171.80M
Investing Cash Flow-180.30M-178.00M-121.10M-95.50M-88.10M-23.60M
Financing Cash Flow-7.70M-21.10M-91.70M-85.20M-55.70M-143.40M

Watches of Switzerland Group PLC Technical Analysis

Technical Analysis Sentiment
Positive
Last Price386.40
Price Trends
50DMA
354.76
Positive
100DMA
369.12
Positive
200DMA
408.29
Negative
Market Momentum
MACD
7.57
Negative
RSI
57.17
Neutral
STOCH
46.38
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:WOSG, the sentiment is Positive. The current price of 386.4 is above the 20-day moving average (MA) of 374.11, above the 50-day MA of 354.76, and below the 200-day MA of 408.29, indicating a neutral trend. The MACD of 7.57 indicates Negative momentum. The RSI at 57.17 is Neutral, neither overbought nor oversold. The STOCH value of 46.38 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:WOSG.

Watches of Switzerland Group PLC Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
£887.12M16.8910.13%7.39%-8.50%
72
Outperform
£8.11B27.5010.25%0.89%5.96%-33.04%
72
Outperform
£15.37B19.7051.86%1.76%9.74%0.92%
68
Neutral
£3.02B10.5115.02%-11.05%-24.53%
67
Neutral
£886.00M195.211.23%2.71%-10.20%-93.32%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
54
Neutral
£4.37B77.34-7.28%-17.08%-128.46%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:WOSG
Watches of Switzerland Group PLC
386.40
-47.00
-10.84%
GB:BRBY
Burberry
1,242.00
530.00
74.44%
GB:MKS
Marks and Spencer
405.90
29.87
7.94%
GB:NXT
Next plc
13,240.00
3,455.35
35.31%
GB:FRAS
Frasers Group
738.50
-57.00
-7.17%
GB:DOCS
Dr. Martens Plc
93.55
40.43
76.11%

Watches of Switzerland Group PLC Corporate Events

Financial Disclosures
Watches of Switzerland Group to Release H1 Trading Update
Neutral
Oct 13, 2025

Watches of Switzerland Group PLC has announced that it will release its H1 Trading Update for the 26 weeks ending on October 26, 2025, on November 6, 2025. This forthcoming update is anticipated to provide insights into the company’s performance and strategic positioning within the luxury watch retail market, potentially impacting stakeholders and market perceptions.

The most recent analyst rating on (GB:WOSG) stock is a Buy with a £389.00 price target. To see the full list of analyst forecasts on Watches of Switzerland Group PLC stock, see the GB:WOSG Stock Forecast page.

Business Operations and StrategyExecutive/Board Changes
Watches of Switzerland Group Awards Executive Share Options Amid Tariff Uncertainty
Neutral
Sep 4, 2025

Watches of Switzerland Group PLC has announced the awarding of nil cost options to its Executive Directors under its 2019 Long Term Incentive Plan. These awards are contingent upon performance conditions, which will be set by the Remuneration Committee once information on US tariffs becomes available, potentially impacting the company’s strategic decisions and stakeholder interests.

The most recent analyst rating on (GB:WOSG) stock is a Buy with a £530.00 price target. To see the full list of analyst forecasts on Watches of Switzerland Group PLC stock, see the GB:WOSG Stock Forecast page.

Business Operations and StrategyShareholder Meetings
Watches of Switzerland Group PLC Announces Successful AGM Resolutions
Positive
Sep 4, 2025

Watches of Switzerland Group PLC announced the successful passing of all resolutions at its Annual General Meeting held on September 3, 2025. The resolutions included the approval of the Group’s Annual Report, Directors’ Remuneration Report and Policy, re-election of directors, and authorization for various corporate actions. This outcome reflects strong shareholder support and positions the company for continued strategic initiatives and governance stability.

The most recent analyst rating on (GB:WOSG) stock is a Buy with a £530.00 price target. To see the full list of analyst forecasts on Watches of Switzerland Group PLC stock, see the GB:WOSG Stock Forecast page.

Business Operations and StrategyFinancial DisclosuresM&A Transactions
Watches of Switzerland Group Reports Strong Performance Amidst Market Challenges
Positive
Sep 3, 2025

Watches of Switzerland Group PLC reports strong performance in the 18 weeks to August 31, 2025, with growth in both the UK and US markets despite increased US tariffs on Swiss imports. The company highlights the success of its flagship Rolex Boutique in London and the growth of its ecommerce sales, particularly in the US. The acquisition of Roberto Coin Inc. has been fruitful, with new advertising campaigns and showroom expansions underway. The Group continues to invest in showroom development, with several new openings and refurbishments planned. The outlook remains positive, with no anticipated material impact from US tariffs in the first half of FY26.

The most recent analyst rating on (GB:WOSG) stock is a Buy with a £4.25 price target. To see the full list of analyst forecasts on Watches of Switzerland Group PLC stock, see the GB:WOSG Stock Forecast page.

Business Operations and StrategyFinancial DisclosuresRegulatory Filings and Compliance
Watches of Switzerland Group PLC Submits 2025 Annual Report Highlighting Strategic Growth and Risk Management
Neutral
Jul 31, 2025

Watches of Switzerland Group PLC has submitted its Annual Report and Accounts for 2025 to the UK Financial Conduct Authority, highlighting the company’s compliance with UK Listing Rules. The report details the company’s financial performance and strategic initiatives, including the expansion of its showroom portfolio and ecommerce platforms, as well as its efforts to mitigate risks related to business strategy, supply chain, and client experience. The company is focused on maintaining strong relationships with luxury watch brands and enhancing client experience through training and technological advancements, while also addressing market risks such as competition and changing consumer preferences.

The most recent analyst rating on (GB:WOSG) stock is a Buy with a £650.00 price target. To see the full list of analyst forecasts on Watches of Switzerland Group PLC stock, see the GB:WOSG Stock Forecast page.

Executive/Board Changes
Watches of Switzerland’s Robert Moorhead Joins Greggs PLC Board
Neutral
Jul 29, 2025

Watches of Switzerland Group PLC has announced that Robert Moorhead, a Non-Executive Director and Chair of the Audit & Risk Committee, will join Greggs PLC as a Non-Executive Director starting October 1, 2025. Moorhead’s new role at Greggs PLC will include responsibilities as Chair of the Audit Committee and membership in the Nominations and Remuneration Committees, potentially impacting both companies’ governance and strategic direction.

The most recent analyst rating on (GB:WOSG) stock is a Buy with a £650.00 price target. To see the full list of analyst forecasts on Watches of Switzerland Group PLC stock, see the GB:WOSG Stock Forecast page.

Business Operations and StrategyExecutive/Board Changes
Watches of Switzerland Announces Executive Share Awards
Positive
Jul 28, 2025

Watches of Switzerland Group PLC announced share transactions involving its CEO, Brian Duffy, and CFO, Anders Romberg, under the company’s 2019 Annual and Deferred Bonus Plan. Both executives received deferred shares on July 25, 2025, which will be held for three years, reflecting a strategic move to align management incentives with long-term company performance. This announcement highlights the company’s commitment to incentivizing its leadership team, potentially impacting stakeholder confidence and market perception.

The most recent analyst rating on (GB:WOSG) stock is a Buy with a £650.00 price target. To see the full list of analyst forecasts on Watches of Switzerland Group PLC stock, see the GB:WOSG Stock Forecast page.

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: Oct 23, 2025