Added to YB: 2026-04-01
Pitch date: 2026-03-30
NXT.L [neutral]
NEXT plc
+1.85%
current return
Author Info
Sector Stories is an ex-JPM buyside, analysing stocks mostly through a broader sector lens, and using substack to sharpen, share and track investment ideas. Sign up for the newsletter.
Company Info
NEXT plc engages in the retail of clothing, homeware, and beauty products in the United Kingdom, rest of Europe, the Middle East, Asia, and internationally.
Market Cap
GBP 14.2B
Pitch Price
GBP 124.45
Price Target
N/A
Dividend
2.16%
EV/EBITDA
9.93
P/E
16.62
EV/Sales
2.32
Sector
Broadline Retail
Category
growth
Notes On Next PLC FY26 Results
NXT.L (holdings update): FY26 EPS +17%, FCF +11% on strong execution across all segments. UK retail solid cash cow despite wage/NIC headwinds; intl Next brand +29% (22% from marketing at £1.75 return per £1 spent); 3P margins up on higher commissions. PBT margin +50bps to 16.5%. Accelerating warehouse/marketing capex due to strong ROI. FY27 guide: +4.5% rev, +5.8% EPS (conservative). Fair at 16x P/E, 4.5% FCF yield; hold at medium size, add on weakness.
Read full article (7 min)