Cranswick (CWK) AI Stock Analysis

• Market Cap: £2.82B
• Dividend Yield: 1.76%
• Average Volume (3M): 79.39K
• Price to Earnings (P/E): 24.4
• Beta (1Y): 0.60
• Revenue Growth: 8.74%
• EPS Growth: -8.69%
• Country: UK
• Employees: 15,000
• Sector: Consumer Defensive
• Sector Strength: 77
• Industry: Packaged Foods
• EPS (TTM): 2.15
• Shares Outstanding: 54,193,745
• 10 Day Avg. Volume: 77,453
• 30 Day Avg. Volume: 79,395
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• 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: £5,478.50
• Price Target Upside: 4.35% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

Cranswick's overall stock score of 78 reflects its strong financial performance and positive corporate developments. The strategic growth plans and executive share purchases bolster investor confidence. However, the valuation concerns and technical indicators suggesting potential caution moderate the score.

Positive Factors

Earnings

Cranswick's H1 results reflected another strong set of numbers, with H1'25 revenue +6.1%, underpinned by double-digit UK volumes in Fresh Pork.

Financial Performance

Operating margin improved, supported by growth in pig farming operations and high capacity utilisation across sites.

Strategic Initiatives

CWK has acquired JSR Genetics, a pig genetics/farming operation and existing supplier.

Negative Factors

Economic Conditions

There is a note of caution regarding 'wider geopolitical and economic conditions' and no further upgrade.

Growth Projections

The lack of upgrade to Cranswick's longstanding mid-single-digit medium term growth ambition may be disappointing for some.

Management Strategy

Improving returns and elevated capex are seen as conservativism on the part of management.

Cranswick Business Overview & Revenue Model

Company Description

Cranswick plc is a leading UK food producer specializing in the manufacture and supply of premium, fresh, and value-added food products. Operating primarily in the pork and poultry sectors, the company supplies a range of food products to major retailers, foodservice businesses, and other food producers. Cranswick is known for its focus on high-quality ingredients, sustainable farming practices, and innovative product development, which cater to evolving consumer preferences.

How the Company Makes Money

Cranswick makes money by producing and selling a diverse range of fresh and value-added food products, primarily in the pork and poultry categories. The company's revenue streams are predominantly from supplying its products to major UK supermarkets, foodservice providers, and other retailers. Cranswick benefits from long-term supply agreements and partnerships with key customers, which help ensure a stable demand for its products. Additionally, the company invests in its own farming operations and processing facilities to maintain control over quality and costs, thereby enhancing its profitability. Cranswick's commitment to sustainability and innovation further supports its revenue growth by aligning its offerings with consumer trends towards ethically sourced and health-focused products.

Cranswick Financial Statement Overview

Summary

Cranswick demonstrates a strong financial position with solid revenue growth, profitability improvements, and effective balance sheet management. The income statement highlights an 11.9% revenue increase, improved margins, and a healthy EBITDA margin of 9.75%. The balance sheet shows low leverage with a debt-to-equity ratio of 0.14, while cash flows are robust with nearly 100% free cash flow growth.

Income Statement

Cranswick's income statement shows strong revenue growth with an 11.9% increase in the most recent year, which underscores robust market demand. The gross profit margin improved to 14.5%, indicating enhanced cost efficiency. Net profit margin also increased slightly to 4.35%. EBITDA margin stands at a healthy 9.75%, reflecting solid operating performance. Overall, the income statement reveals a positive growth trajectory and profitability improvements.

Balance Sheet

The balance sheet is stable, with a debt-to-equity ratio of 0.14, which suggests a low leverage risk. Return on Equity (ROE) is at 12.4%, showing effective use of shareholder funds to generate profits. The equity ratio remains strong at 65.8%, indicating a solid asset base supported by equity. However, the rising liabilities should be monitored.

Cash Flow

Cash flows are robust, with a significant free cash flow growth of nearly 100% year-over-year, reflecting efficient capital management. Operating cash flow to net income ratio is strong at 2.02, indicating healthy cash generation relative to profits. The company demonstrates effective cash flow management, supporting its growth and investment strategies.

Breakdown
Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
2.60B	2.32B	2.01B	1.90B	1.67B
	Gross Profit
376.90M	295.70M	276.80M	265.70M	217.60M
	EBIT
166.90M	130.80M	136.70M	128.10M	101.30M
	EBITDA
253.60M	220.00M	199.00M	185.50M	155.20M
	Net Income Common Stockholders
113.10M	111.40M	103.50M	92.50M	82.70M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
27.00M	20.40M	200.00K	39.90M	23.00M
	Total Assets
1.38B	1.26B	1.14B	1.04B	995.50M
	Total Debt
127.40M	121.70M	106.20M	131.40M	168.40M
	Net Debt
100.40M	101.40M	106.00M	92.40M	146.90M
	Total Liabilities
472.50M	421.50M	373.60M	355.00M	380.20M
	Stockholders Equity
911.50M	842.90M	768.90M	686.10M	614.50M
Cash Flow		Free Cash Flow
127.90M	64.10M	64.70M	109.00M	14.60M
	Operating Cash Flow
228.40M	149.20M	158.40M	180.90M	115.80M
	Investing Cash Flow
-123.30M	-83.80M	-130.90M	-81.80M	-164.30M
	Financing Cash Flow
-93.40M	-45.30M	-66.30M	-81.60M	49.50M

Cranswick Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5250.00
• 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:CWK, the sentiment is Positive. The current price of 5250 is above the 20-day moving average (MA) of 4998.00, above the 50-day MA of 4950.40, and above the 200-day MA of 4885.92, indicating a bullish trend. The MACD of 79.87 indicates Negative momentum. The RSI at 66.25 is Neutral, neither overbought nor oversold. The STOCH value of 79.64 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:CWK.

Cranswick Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ABF	81 Outperform	£14.74B	11.56	11.89%	3.07%	-0.38%	14.68%
BAG	79 Outperform	£764.27M	19.18	13.01%	2.26%	5.10%	3.23%
PFD	79 Outperform	£1.74B	15.90	8.03%	0.86%	5.90%	11.24%
CWK	78 Outperform	£2.82B	24.38	12.70%	1.76%	8.74%	-8.69%
TATE	76 Outperform	£2.46B	13.28	12.23%	3.45%	-11.03%	-2.05%
NICL	68 Neutral	£451.07M	25.29	19.67%	2.59%	1.21%	-2.98%
Sector *	64 Neutral	$8.88B	14.97	4.71%	174.26%	3.67%	4.40%

Cranswick Corporate Events

Cranswick Director Acquires Shares Under Incentive Plan

Cranswick plc announced that Director Christopher Aldersley acquired ordinary shares as ‘Partnership Shares’ under the company’s 2024 Buy As You Earn Share Incentive Plan. This acquisition, part of a regular monthly purchase program, also included the awarding of ‘Matching Shares,’ reflecting the company’s ongoing commitment to aligning management interests with shareholder value.

Spark’s Take on GB:CWK Stock

According to Spark, TipRanks’ AI Analyst, GB:CWK is a Outperform.

Cranswick’s overall stock score of 78 reflects its strong financial performance and positive corporate developments. The strategic growth plans and executive share purchases bolster investor confidence. However, the valuation concerns and technical indicators suggesting potential caution moderate the score.

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

Cranswick Director Purchases Shares, Signaling Confidence in Company Growth

Cranswick PLC announced a series of transactions involving the purchase of ordinary shares by Rachel Howarth, a Director at the company. These transactions, conducted on the London Stock Exchange, reflect managerial confidence in the company’s performance and strategic direction. The purchases involved a total of 814 shares at varying prices, signaling a positive outlook and potential growth for the company, which could impact stakeholder perceptions and market positioning.

Spark’s Take on GB:CWK Stock

According to Spark, TipRanks’ AI Analyst, GB:CWK is a Outperform.

Cranswick’s overall stock score reflects its strong financial performance, strategic corporate actions, and moderate technical outlook. The company’s robust revenue growth, effective cash flow management, and strategic initiatives such as acquisitions and growth plans position it well for future success. However, caution is advised due to valuation concerns and potential overbought technical indicators.

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

Cranswick plc Announces Total Voting Rights Update

Cranswick plc has announced that as of April 1, 2025, the total number of ordinary shares in the company is 54,193,755, each carrying one vote. With no shares held in treasury, the total voting rights amount to 54,193,744, which shareholders can use as a denominator for calculating their interest in the company under the Financial Conduct Authority’s Disclosure and Transparency Rules.

Cranswick PLC Announces Change in Major Holdings

Cranswick PLC, a UK-based company, has announced a change in its major holdings, with JPMorgan Asset Management Holdings Inc. acquiring or disposing of voting rights. The notification indicates that JPMorgan now holds a total of 5.005207% of voting rights in Cranswick, with a combination of direct voting rights attached to shares and financial instruments. This change in holdings could influence Cranswick’s shareholder dynamics and potentially impact its strategic decisions moving forward.

Cranswick CEO Exercises SAYE Options, Acquires Shares

Cranswick PLC announced a transaction involving its CEO, Adam Couch, who exercised SAYE options to acquire 591 ordinary shares at a price of 2534 pence each. This transaction, conducted outside a trading venue on March 24, 2025, reflects the CEO’s confidence in the company’s future performance and may positively influence stakeholder perceptions regarding Cranswick’s market positioning and operational stability.

Cranswick Director Acquires Shares Under Incentive Plan

Cranswick PLC announced that Director Christopher Aldersley acquired ordinary shares under the Cranswick 2024 Buy As You Earn Share Incentive Plan. This transaction, conducted on the London Stock Exchange, reflects the company’s ongoing efforts to align management interests with shareholder value, potentially enhancing stakeholder confidence in the company’s governance and strategic direction.

Cranswick Unveils Strategic Growth Plans and Upgraded Financial Targets

Cranswick hosted a Capital Markets Day to update on its strategy and announce upgraded medium-term targets. The company plans to secure pig supply, invest in pork processing, and expand poultry capacity, aiming for mid-single-digit organic revenue growth and an increased operating margin of 7.5%. These strategic moves are expected to enhance Cranswick’s competitive advantage and drive growth, reflecting its commitment to disciplined capital allocation and strong customer relationships.

Cranswick’s Alan Williams Joins Nichols as Non-Executive Director

Cranswick plc has announced that Alan Williams, a Non-Executive Director at the company, has been appointed to the same position at Nichols plc, effective from March 11, 2025. This appointment may strengthen the relationship between the two companies and could potentially impact Cranswick’s strategic positioning within the industry.

Cranswick Announces Total Voting Rights Update

Cranswick plc has announced that as of March 4, 2025, the total number of ordinary shares in the company is 54,095,614, with each share carrying one vote. This information is crucial for shareholders to calculate their interests in the company’s share capital under the Financial Conduct Authority’s Disclosure and Transparency Rules.

Cranswick PLC Announces Change in Major Holdings

Cranswick PLC has announced a change in its major holdings, with BlackRock, Inc. adjusting its voting rights to below 5% as of February 27, 2025. This adjustment in holdings may influence Cranswick’s shareholder dynamics, reflecting a strategic move by BlackRock which could impact the company’s market perception and investor relations.

Cranswick Director Acquires Shares Under Incentive Plan

Cranswick plc announced that its Director, Christopher Aldersley, has acquired ordinary shares as ‘Partnership Shares’ under the company’s 2024 Buy As You Earn Share Incentive Plan. This acquisition, part of a regular monthly purchase program, was executed on 21 February 2025 on the London Stock Exchange, reflecting the company’s ongoing efforts to align management interests with shareholder value.

Cranswick Seeks Additional Listing for 200,000 Shares

Cranswick plc has applied for an additional listing on the London Stock Exchange, seeking admission of 200,000 shares under its Savings Related Share Option Scheme (SAYE). These shares will be incorporated into the company’s existing share structure, maintaining equal standing with current ordinary shares, with the listing expected to be effective from February 12, 2025.