DEO

BEARISH

$79.29 Live

Diageo plc · NYSE

Target $103.57 (+30.6%)

$72.45 52W Range $116.69

DEO Diageo plc - Fundamental Analysis

BEARISH

Console Chart News

DEO Stock | Fundamental Analysis & Investment Insights

NYSE • Consumer Defensive • Beverages - Wineries & Distilleries

Current Price Live

$79.29

Analyst Target

$103.57

+30.6% Upside

52W High

$116.69

52W Low

$72.45

Overview AI Snowflake Price Valuation Profitability Growth Health Statements Peers Insiders SEC Filings

At a glance

Key valuation, profitability, growth, and risk metrics.

Updated Apr 26, 2026

Market cap

$44.08B

P/E

18.31

ROE

19.7%

Profit margin

12.2%

Debt/Equity

1.77

Dividend yield

4.19%

AI Analysis

AI-powered fundamental assessment

Confidence

85%

Despite a strong Piotroski F-Score of 7/9 indicating operational stability, DEO is exhibiting severe fundamental decay and technical weakness. The stock is trading at a significant premium to both its Graham Number ($10.62) and Intrinsic Value ($49.15), while facing a catastrophic collapse in earnings growth (-62.3% YoY EPS). A dividend payout ratio of 95.64% is unsustainable given the negative revenue growth and crashing quarterly EPS, suggesting a high risk of a dividend cut. The technical trend is completely bearish (0/100), and long-term price performance is dismal (-49.1% over 5 years).

Key Strengths

Strong Piotroski F-Score (7/9) suggesting solid short-term financial health

High Gross Margins (60.00%) and Operating Margins (31.29%)

Robust Return on Equity (ROE) of 19.72%

Significant analyst target price upside ($103.57 vs $79.29)

Strong market position in the Consumer Defensive sector

Key Risks

Unsustainable dividend payout ratio (95.64%)

Severe earnings contraction (-78.6% Q/Q EPS growth)

Negative revenue growth (-4.00% YoY)

Extreme Price-to-Book ratio (68.43) indicating massive overvaluation relative to assets

Persistent long-term bearish price trend (5Y Change: -49.1%)

AI Fair Value Estimate

Based on comprehensive analysis

$52.4

-33.9% below current price

Performance Snowflake

Multi-dimensional analysis across 5 key categories

Overall

Weak

Value

Future

Past

Health

Dividend

AI Verdict

Underperform

Key drivers: Earnings collapse, Dividend sustainability risk, Technical breakdown, Valuation gap

Confidence

90%

Value

30/100

Ref P/E, PEG, Graham Number

Positives

Forward P/E (12.32) is lower than current P/E

Watchpoints

Price far exceeds Graham Number ($10.62)
Price exceeds Intrinsic Value ($49.15)
Extreme P/B ratio (68.43)

Future

20/100

Ref Growth rates

Positives

Low PEG ratio (0.73) suggests potential if growth recovers

Watchpoints

Negative YoY Revenue growth (-4%)
Severe YoY EPS decline (-62.3%)

Past

25/100

Ref Historical trends

Positives

Consistent historical profitability

Watchpoints

5-year price decline of 49.1%
Consistent failure to beat earnings estimates in recent quarters

Health

75/100

Ref Altman Z-Score, Piotroski F-Score

Positives

Piotroski F-Score of 7/9
Current Ratio of 1.60

Watchpoints

Debt/Equity of 1.77 is moderately high
Quick Ratio (0.57) suggests liquidity reliance on inventory

Dividend

20/100

Ref Yield, Payout

Positives

Attractive yield of 4.19%

Watchpoints

Dangerously high payout ratio (95.64%)
Earnings decline threatens dividend coverage

Stock Price & Analyst Targets

Real-time price movements and analyst price targets

Current Price

$79.29

Analyst Target

$103.57

Upside/Downside

+30.6%

Multi-Horizon Performance vs Peers

Price momentum across 5Y → 1W horizons for DEO and closest competitors.

Updated 2026-04-24

Company	5Y	3Y	1Y	6M	1M	1W
DEO Diageo plc Primary	-49.1%	-53.8%	-26.4%	-16.8%	+8.2%	-3.2%
ABEV Ambev S.A. Peer	+22.3%	+20.9%	+57.3%	+17.5%	+17.3%	+7.3%
HSY The Hershey Company Peer	+29.8%	-10.8%	+3.5%	+13.9%	-6.5%	+5.0%
KDP Keurig Dr Pepper Inc. Peer	-16.5%	-18.2%	-22.7%	-1.4%	+0.8%	+2.1%
KMB Kimberly-Clark Corporation Peer	-12.5%	-9.4%	-18.0%	-23.8%	-13.3%	+0.2%

DEO

Diageo plc

Primary

-49.1%

-53.8%

-26.4%

-16.8%

+8.2%

-3.2%

ABE

Ambev S.A.

Peer

+22.3%

+20.9%

+57.3%

+17.5%

+17.3%

+7.3%

HSY

The Hershey Company

Peer

+29.8%

-10.8%

+3.5%

+13.9%

-6.5%

+5.0%

KDP

Keurig Dr Pepper Inc.

Peer

-16.5%

-18.2%

-22.7%

-1.4%

+0.8%

+2.1%

KMB

Kimberly-Clark Corporation

Peer

-12.5%

-9.4%

-18.0%

-23.8%

-13.3%

+0.2%

Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.

Historical Performance Trends

Long-term financial metrics and growth patterns

Revenue & Net Income

Profit & Operating Margins

Return on Equity (ROE)

Quarterly Revenue Growth

Historical data shows last 12 quarters (3 years)

Valuation Metrics

Key valuation ratios and pricing indicators

18.31

12.32

0.73

68.44

2.23

10.12

32.41

$44.08B

Profitability

Profit margins and return metrics

Profit Margin 12.19%

Operating Margin 31.29%

Gross Margin 60.0%

ROE 19.72%

ROA 7.21%

Growth

Revenue and earnings growth rates

Revenue Growth -4.0%

Earnings Growth +2.9%

Q/Q Revenue Growth N/A

Q/Q Earnings Growth +3.1%

Financial Health

Balance sheet strength and liquidity metrics

Debt/Equity

1.77

High debt

Current Ratio

1.6

Good

Quick Ratio

0.57

Poor

Cash/Share

$0.99

Financial Statement Flow

Interactive flow visualization showing how money moves through the company Q4 2025

Total Assets

$50.3B

Liabilities

$36.6B

Equity

$11.6B

Debt/Equity

3.15x

Quarterly Earnings History

EPS performance vs analyst estimates

2026-08-06

$N/A

2023-01-25

$0.49

-38.2% surprise

2004-02-19

$2.29

+16.2% surprise

2003-02-20

$1.88

+6.8% surprise

Consumer Defensive Sector Comparison

Comparing DEO against 155 companies in the Consumer Defensive sector (9 bullish, 56 neutral, 90 bearish)

P/E Ratio

18.31

This Stock

36.74

Sector Avg

-50.2% (Discount)

Return on Equity (ROE)

19.72%

This Stock

-13.62%

Sector Avg

-244.8% (Below Avg)

Profit Margin

12.19%

This Stock

-8.54%

Sector Avg

-242.7% (Weaker)

Debt to Equity

1.77

This Stock

1.98

Sector Avg

-10.5% (Lower)

Revenue Growth

-4.0%

This Stock

121.62%

Sector Avg

-103.3% (Slower)

Current Ratio

1.6

This Stock

2.37

Sector Avg

-32.3% (Weaker)

Similar Companies

Peer comparison within the same industry

Company	AI Rating	Market Cap	P/E	ROE	Profit Margin	Price
DEO Diageo plc	BEARISH	$44.08B	18.31	19.7%	12.2%	$79.29
ABEV Ambev S.A.	NEUTRAL	$43.65B	13.9	17.2%	17.7%	$2.78	Compare
HSY The Hershey Company	NEUTRAL	$36.12B	26.83	31.0%	11.8%	$179.2	Compare
KDP Keurig Dr Pepper Inc.	BEARISH	$36.06B	17.35	8.4%	12.5%	$26.54	Compare
KMB Kimberly-Clark Corporation	NEUTRAL	$34.66B	17.6	136.9%	10.0%	$104.02	Compare

DEO Diageo plc

BEARISH

Mkt Cap

$44.1B

P/E

18.3

ROE

19.7%

Price

$79.29

Compare with DEO

HSY The Hershey Company

Compare with DEO

KDP Keurig Dr Pepper Inc.

Compare with DEO

KMB Kimberly-Clark...

Compare with DEO

Recent Insider Trading

Insider buy and sell transactions from the last 6 months

Date	Insider	Transaction	Shares	Value
2026-03-17	Grimes Sally	Purchase	1	$77
2026-03-17	Grimes Sally	Stock Award	1	-
2026-03-09	Brooks (Hannah)	Stock Award	773	-
2026-03-09	Brooks (Hannah)	Sale	321	$26,081
2026-01-20	Grimes Sally	Purchase	1	$88
2026-01-20	Grimes Sally	Stock Award	1	-

Grimes Sally

Buy

2026-03-17

1 shares · $77

Grimes Sally

Stock Award

2026-03-17

1 shares

Brooks (Hannah)

Stock Award

2026-03-09

773 shares

Brooks (Hannah)

Sell

2026-03-09

321 shares · $26,081

Grimes Sally

Buy

2026-01-20

1 shares · $88

Grimes Sally

Stock Award

2026-01-20

1 shares

Insider transactions can signal confidence or concerns about company prospects

SEC Filings

Recent regulatory filings from the SEC EDGAR database

20-F

2025-08-14

DEO filed its annual report on Form 20-F on August 14, 2025. Due to the absence of provided excerpts, specific financial highlights and risk factors are unavailable for summary.

20-F

2024-08-01

DEO filed its annual 20-F report on August 1, 2024, providing a comprehensive overview of its fiscal performance and operational status. Specific financial highlights and risk factors are detailed within the full filing.

Data sourced from SEC EDGAR. AI summaries generated automatically.

Wall Street Analysts

Professional analyst ratings and price targets

Consensus

BUY

7 analysts

UBS

2025-12-03

down

Buy Neutral

Past News Coverage

Recent headlines mentioning DEO from our newsroom.

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DEO

DEO Diageo plc - Fundamental Analysis

At a glance

AI Analysis

Key Strengths

Key Risks

Performance Snowflake

Stock Price & Analyst Targets

Multi-Horizon Performance vs Peers

Historical Performance Trends

Revenue & Net Income

Profit & Operating Margins

Return on Equity (ROE)

Quarterly Revenue Growth

Valuation Metrics

Profitability

Growth

Financial Health

Financial Statement Flow

Quarterly Earnings History

Consumer Defensive Sector Comparison

Similar Companies

Recent Insider Trading

SEC Filings

Wall Street Analysts

Past News Coverage

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