Added to YB: 2026-01-27
Pitch date: 2026-01-25
BME.L [neutral]
B&M European Value Retail plc
+21.96%
current return
Author Info
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Company Info
B&M European Value Retail plc retails general merchandise products and groceries. The company operates a chain of stores under the B&M, Heron Foods, and B&M Express brand names in the United Kingdom, as well as stores under the B&M brand name in France.
Market Cap
GBP 2.1B
Pitch Price
GBP 1.58
Price Target
400.00 (+20690%)
Dividend
4.63%
EV/EBITDA
6.25
P/E
12.72
EV/Sales
0.73
Sector
Broadline Retail
Category
turnaround
B&M European Value Retail (Update): Deep Value or Value Trap.
BME.L (holding update): UK discount retailer down 70% as H1 FY26 adj EBITDA fell 30% due to 6.73% min wage hike, nat'l insurance rise to 15%, energy costs & underperforming Wilko stores. UK LFL sales flat despite inflation favoring discounters. New CEO's 'Back to Basics' plan needs 12-18 months. Trading at 7x P/E vs structural decline pricing, but gross margins still strong vs peers. Bear case £1.6, base £2.7-3.0, bull £4+.
Read full article (11 min)