J D Wetherspoon (LON:JDW) Posts Quarterly Earnings Results

J D Wetherspoon (LON:JDW) posted its earnings results on Friday. The company reported GBX 51.60 EPS for the quarter, Digital Look Earnings reports. J D Wetherspoon had a net margin of 2.52% and a return on equity of 15.81%.

J D Wetherspoon Price Performance

J D Wetherspoon stock opened at GBX 883.50 on Friday. J D Wetherspoon has a one year low of GBX 530.50 and a one year high of GBX 915. The company has a debt-to-equity ratio of 358.49, a current ratio of 0.30 and a quick ratio of 0.19. The firm has a market capitalization of £931.26 million, a P/E ratio of 15.55, a PEG ratio of 3.39 and a beta of 1.13. The business has a fifty day moving average price of GBX 811.86 and a 200-day moving average price of GBX 701.20.

Key J D Wetherspoon News

Here are the key news stories impacting J D Wetherspoon this week:

• Positive Sentiment: Annual revenue increased 5.2% to approximately £2.24 billion, with sales surpassing £2 billion. The company also reported positive like-for-like sales momentum over the latest nine-week period, indicating continued customer demand. Wetherspoon Revenue Rises 5.2% as Higher Costs Reduce Annual Profit
• Positive Sentiment: The stock reached a new 52-week high, reflecting strong recent momentum. It is trading above both its 50-day and 200-day moving averages, suggesting that investor sentiment remains supportive despite the weaker profit outlook. J D Wetherspoon Hits New 52-Week High
• Neutral Sentiment: J D Wetherspoon reported quarterly EPS of GBX 51.60, a net margin of 2.52% and return on equity of 15.81%. These figures show profitability remains positive, although margins are thin for a highly leveraged operator.
• Neutral Sentiment: Peel Hunt and Shore Capital both reaffirmed “hold” ratings, with price targets of GBX 800 and GBX 813 respectively. The recommendations suggest analysts see limited near-term upside after the recent share-price advance. J D Wetherspoon Given Hold Rating at Peel Hunt Shore Capital Reaffirms Hold Rating
• Negative Sentiment: Annual pre-tax profit fell 28% as wage, utility, business-rate and other operating costs increased. Chairman Tim Martin also highlighted the impact of higher taxes, meaning sales growth is not translating into comparable earnings growth. Wetherspoon Annual Pre-Tax Profit Falls 28%

Analyst Upgrades and Downgrades

A number of analysts recently weighed in on the company. Peel Hunt reaffirmed a “hold” rating and set a GBX 800 target price on shares of J D Wetherspoon in a research report on Friday. Shore Capital Group restated a “hold” rating and set a GBX 813 price target on shares of J D Wetherspoon in a report on Friday. One analyst has rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, J D Wetherspoon currently has an average rating of “Hold” and an average target price of GBX 728.25.

J D Wetherspoon Company Profile

J D Wetherspoon owns and operates pubs and hotels throughout the UK and Ireland. The company aims to provide customers with good-quality food and drinks, served by well-trained and friendly staff, at reasonable prices.

The pubs are individually designed, and the company aims to maintain them in excellent condition.