SSP Group - up 50% in last month, Q1 Trading Update due next month, shares 206.20p, brokers TP 300p

Mark Watson-Mitchell - 18.12.2025

Just nine days ago I featured the shares of the SSP Group (LON:SSPG) following its latest corporate announcement.

The shares were then 178p - this afternoon they are 206.20p, a near 16% rise in just over a week.

However, a month ago the shares were 137.50p - so the subsequent rise has shown over a 50% gain.

The Business

SSP is a global leader in the operation of food and beverage outlets in travel locations, employing around 49,000 colleagues in around 3,000 units across 38 countries.

It specialises in designing, creating and operating a diverse range of food and drink outlets in airports, train stations and other travel hubs across six formats: sit-down and quick service restaurants, bars, cafés, lounges, and food-led convenience stores.

Its extensive portfolio of brands features a mix of international, national, and local brands, tailored to meet the diverse needs of its clients and customers.

Broker's View

At Shore Capital Markets, analysts Greg Johnson and Clive Black, noted that the key takeaways from the recent results were an improvement in trading at the start of the new financial year, quantifying realised synergies of c£30m, further increase in ROCE, deeper granularity over European margin delivery and now targeting at least £100m of annual cash flow.

The analysts have current year estimates for revenues of £3,813m (£3,639m) with adjusted pre-tax profits rising to £212.6m (£192.7m), lifting earnings up to 13.6p (11.9p) and paying out a higher dividend of 4.8p (4.2p) per share.

For the year to end-September 2027, they predict £4,042m in sales, £235.8m profits, 15.4p earnings and a 5.4p dividend.

My View

This group has seen a truly excellent performance in its share price over the last month.

I have been asked whether the current strength will be continued.

My response is positive, with the shares now at 206.20p, they are now just 7% short of my Target Price, which looks easily achieved.

In fact, I see the shares rising even

further than my TP - which could well be scored ahead of the SSP Q1 Trading Update next month.

(Profile 09.12.25 @ 178p set a Target Price of 220p)