Greggs stock: UBS cuts rating to Neutral at 2,200 pence target
Published on 11/05/2026 at 13:46 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSGreggs outlook and analyst stance
- UBS cut Greggs from Buy to Neutral after the shares gained 26 percent year to date.
- Greggs upgraded its profit outlook after stronger third-quarter like-for-like sales growth.
- The next trading update is scheduled for January 14, 2027.
UBS cut its rating on Greggs from Buy to Neutral on October 13, citing valuation concerns after the shares had gained 26 percent since the start of 2026. The bank kept its price target at 2,200 pence, according to Investing.com.
Valuation meets improving sales
UBS said Greggs was trading at about 17 times its estimated 2026 earnings, compared with a long-term average of 16 times excluding the pandemic period. The broker maintained its earnings estimates and described the shares as broadly neutral after the re-rating from about 14 times at the start of the year.
Greggs entered the debate with stronger operating momentum. Like-for-like sales growth accelerated in the third quarter, supported by higher volumes, while management raised its profit outlook. UBS also pointed to menu innovation, operational discipline and targeted cost savings of 11 million pounds in 2026, compared with 13 million pounds in 2025.
Expansion and savings remain in focus
The company continues to see a long-term opportunity for approximately 3,500 stores. Manufacturing consolidation is expected to generate approximately 20 million pounds in annualized savings across 2028 and 2029, adding a longer-term efficiency angle to the investment case.
Greggs stock traded at 28.96 euros on Lang & Schwarz at 13:38 CET on Thursday, November 5, 2026. Investors can follow the real-time quote of Greggs stock.
Greggs stock at a glance
- Company: Greggs plc
- ISIN: GB00B63QSB39
- Lang & Schwarz quote: 28.96 euros at 13:38 CET on November 5, 2026
- Next trading update: January 14, 2027
The FTSE 100 provides the relevant UK market context for investors.
Greggs' next scheduled trading update is set for January 14, 2027, while investors will weigh the improved sales trend against valuation and the timing of expected cost savings. More news and analyses on Greggs stock.
