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Nichols PLC (GB:NICL)
LSE:NICL
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Nichols (NICL) AI Stock Analysis

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GB:NICL

Nichols

(LSE:NICL)

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Outperform 80 (OpenAI - Gpt-5.6Sol)
Rating:80Outperform
Price Target:
1,346.00 p
▲(16.54% Upside)
Action:Reiterated
Date:08/06/26
The score is driven primarily by strong financial performance—especially 2025 margin expansion and an essentially debt-free balance sheet—partly offset by weaker cash-flow consistency versus earnings (notably the 2025 free-cash-flow decline). Technicals add support due to a strong uptrend and positive momentum, while valuation is reasonable with a solid dividend yield.
Positive Factors
Revenue and Margin Expansion
The sharp 2025 revenue increase alongside meaningful margin expansion signals stronger earnings productivity and commercial execution. A higher-margin revenue base can provide more resources for brand support, distribution and product investment, potentially strengthening Nichols’ competitive position over the next several quarters.
Negative Factors
Free Cash Flow Decline
A significant free-cash-flow decline while profits increased indicates that earnings are not converting into cash as consistently as investors would prefer. If this persists, it could constrain internally funded investment, shareholder returns or the company’s ability to absorb operating volatility.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue and Margin Expansion
The sharp 2025 revenue increase alongside meaningful margin expansion signals stronger earnings productivity and commercial execution. A higher-margin revenue base can provide more resources for brand support, distribution and product investment, potentially strengthening Nichols’ competitive position over the next several quarters.
Read all positive factors

Nichols (NICL) vs. iShares MSCI United Kingdom ETF (EWC)

Nichols Business Overview & Revenue Model

Company Description
Nichols plc, along with its subsidiary companies, serves as a prominent provider of soft beverages to diverse industries throughout the United Kingdom, including retail, wholesale, catering, licensed establishments, and leisure facilities. The com...
How the Company Makes Money
Nichols makes money primarily by selling soft drinks and related beverage products under its brand portfolio, with Vimto as its flagship. Revenue is generated through (1) sales of finished branded products (e.g., ready-to-drink beverages) to retai...

Nichols Financial Statement Overview

Summary
Strong profitability and 2025 acceleration (revenue +42% YoY with meaningful margin expansion) supported by a very conservative balance sheet (debt reduced to effectively zero and strong ROE). The key offset is cash-flow quality/consistency: free cash flow fell ~36% in 2025 despite higher profits and operating cash flow has been under half of EBIT in 2024–2025, indicating potential working-capital/timing headwinds.
Income Statement
82
Very Positive
Balance Sheet
90
Very Positive
Cash Flow
63
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue179.08M175.05M172.81M170.74M164.93M144.33M
Gross Profit82.23M80.67M78.95M72.18M71.02M65.17M
EBITDA34.69M33.79M26.06M26.72M18.49M-12.53M
Net Income23.98M21.44M17.84M18.36M11.63M-22.17M
Balance Sheet
Total Assets138.34M131.56M121.49M130.96M122.16M131.17M
Cash, Cash Equivalents and Short-Term Investments66.22M55.74M55.19M67.03M56.30M56.67M
Total Debt3.05M4.71M3.75M18.06M2.54M2.82M
Total Liabilities39.26M36.81M37.44M33.62M33.42M38.14M
Stockholders Equity99.08M94.75M84.05M97.34M88.74M93.03M
Cash Flow
Free Cash Flow18.09M14.66M16.05M21.63M15.09M18.66M
Operating Cash Flow19.08M15.61M16.90M22.11M16.34M19.90M
Investing Cash Flow-1.18M-791.00K1.65M1.81M-802.00K-1.25M
Financing Cash Flow-13.26M-12.76M-31.91M-11.09M-15.91M-9.27M

Nichols Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1155.00
Price Trends
50DMA
1039.28
Positive
100DMA
986.71
Positive
200DMA
962.93
Positive
Market Momentum
MACD
32.79
Positive
RSI
64.85
Neutral
STOCH
49.46
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:NICL, the sentiment is Positive. The current price of 1155 is above the 20-day moving average (MA) of 1125.75, above the 50-day MA of 1039.28, and above the 200-day MA of 962.93, indicating a bullish trend. The MACD of 32.79 indicates Positive momentum. The RSI at 64.85 is Neutral, neither overbought nor oversold. The STOCH value of 49.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:NICL.

Nichols Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
80
Outperform
£414.98M18.0024.74%3.32%2.73%37.06%
72
Outperform
£375.09M2.785.16%7.77%
71
Outperform
£892.85M43.419.32%2.12%-11.80%-8.61%
65
Neutral
£419.09M20.808.44%3.83%5.37%
62
Neutral
$20.33B14.63-3.31%3.23%1.93%-12.26%
61
Neutral
£668.60M14.2114.27%3.13%4.02%18.51%
54
Neutral
£335.92M125.450.62%5.58%-3.68%-76.00%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:NICL
Nichols
1,170.00
73.32
6.69%
GB:FEVR
Fevertree Drinks
817.50
58.90
7.76%
GB:BAG
AG Barr
597.00
-72.92
-10.88%
GB:PZC
PZ Cussons
96.50
31.88
49.34%
GB:CCR
C&C Group Plc
89.40
-69.61
-43.78%
GB:54GW
Fuller Smith & Turner
103.00
3.52
3.54%

Nichols Corporate Events

Business Operations and StrategyRegulatory Filings and Compliance
Nichols Clarifies Executive Shareholdings After Option Exercises
Positive
Aug 28, 2026
Nichols plc has clarified the post-transaction shareholdings of several Persons Discharging Managerial Responsibilities following the recent exercise of share options and associated share sales to meet tax obligations. The updated disclosure detai...
Regulatory Filings and Compliance
Nichols Updates Voting Share Capital After Executive Option Exercises
Neutral
Aug 27, 2026
Nichols plc has announced the exercise of options over 80,267 ordinary shares under its Hybrid Incentive Plan, with the shares transferred from treasury at a nil exercise price. The move represents routine settlement of deferred share awards under...
Other
Nichols Chair Increases Stake in Diversified Soft Drinks Group
Positive
Aug 13, 2026
Nichols plc, the diversified soft drinks group behind Vimto and other branded beverages, reported that its Non-Executive Chair Elizabeth McMeikan has increased her personal holding in the company. The business, which sells across UK packaged, inte...
Business Operations and StrategyM&A Transactions
Nichols to Brief Investors on Strategic VITHIT Acquisition
Positive
Aug 10, 2026
Nichols plc will host a live online investor presentation on 13 August 2026 to discuss its recent acquisition of VITHIT, a prominent functional drinks brand. The session, led by CEO Andrew Milne and CFO Matthew Rothwell on the Investor Meet Compan...
Business Operations and StrategyFinancial DisclosuresM&A Transactions
Nichols boosts health-drinks portfolio with €75m VITHIT acquisition
Positive
Aug 10, 2026
Nichols plc has acquired Dublin-based functional drinks brand VITHIT for €75 million in cash, securing full ownership on a debt-free, cash-free basis to bolster its presence in the fast-growing health and wellness segment. VITHIT, which offe...
Business Operations and StrategyExecutive/Board Changes
Nichols strengthens board with new non-executive appointment
Positive
Aug 4, 2026
Nichols plc, the UK-based soft drinks group behind Vimto and a range of licensed beverages, has announced a boardroom change as part of its ongoing governance and growth strategy. The company, which operates an asset-light model and sells across m...
Business Operations and StrategyDividendsFinancial DisclosuresProduct-Related Announcements
Nichols lifts dividend on strong cash flow as functional drinks push fuels growth
Positive
Jul 29, 2026
Nichols reported continued strategic and financial progress in the first half of 2026, with group revenue up 4.7% to £89.5m and adjusted operating profit up 3.7% to £14.1m, driven by growth across all business units. Operating profit ros...
Business Operations and StrategyFinancial Disclosures
Nichols to Publish Interim Results and Host Investor Presentation
Positive
Jul 20, 2026
Nichols plc announced that it will publish its interim results for the half year ended 30 June 2026 on 29 July, providing investors with an update on trading and financial performance. The company will follow the release with a live online investo...
Business Operations and StrategyProduct-Related Announcements
Nichols Deepens THG Partnership With Launch of Myprotein Protein Water
Positive
Jul 13, 2026
Nichols plc is expanding its footprint in the fast-growing functional drinks market by leveraging its soft drinks expertise and established U.K. distribution network. The company, best known for Vimto and a portfolio of licensed brands, is using i...
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: Aug 06, 2026