Should I buy Marks & Spencer stock in 2025?
Is Marks & Spencer stock a buy right now?
Marks & Spencer (MKS) stands at a pivotal moment in its transformation journey, with its share price at approximately 377.80 GBX and a recent average daily trading volume of around 8.4 million shares (as of early May 2025). The company has posted a robust 9.3% year-on-year revenue uplift in its latest annual results, alongside a notable 58% jump in profit before tax and strong improvements in free cash flow and balance sheet strength. M&S’s major UK Food and Clothing & Home divisions are delivering record operating profits, benefitting from successful store upgrades, accelerated digital sales, and tangible supply chain efficiencies. Recent events—such as a leadership transition to a new CFO and continued progress in the Ocado Retail joint venture—are being watched closely by the market, but these are widely interpreted as manageable within the context of the group’s ongoing transformation strategy. Market sentiment in the UK retail sector remains constructive, particularly towards companies delivering margin growth and innovation in both physical stores and digital channels. Reflecting this confidence, a consensus of more than 32 national and international banks sets a target price for M&S at 491 GBX. For investors seeking exposure to a dynamically evolving retail leader, this is a period marked by opportunity and optimism as M&S forges ahead in its renewed growth trajectory.
- Double-digit growth in both revenue and profit in core UK segments.
- Restored dividend, signaling renewed financial confidence and discipline.
- Strong free cash flow and net funds position after significant deleveraging.
- Digital transformation accelerating: online sales and mobile app penetration rising.
- Store renewal programme boosting returns and customer engagement across the UK.
- International performance and Ocado Retail joint venture face ongoing challenges.
- Technical signals are mixed, suggesting short-term volatility is possible.
- What is Marks & Spencer?
- How much is Marks & Spencer stock?
- Our full analysis on Marks & Spencer </b>stock
- How to buy Marks & Spencer stock in United Kingdom?
- Our 7 tips for buying Marks & Spencer stock
- The latest news about Marks & Spencer
- FAQ
Why trust HelloSafe?
At HelloSafe, our expert has been monitoring Marks & Spencer’s performance for more than three years. Every month, hundreds of thousands of users across the United Kingdom rely on us to interpret market trends and highlight the most promising investment opportunities. Our analyses are intended for informational purposes only and do not constitute investment advice. In line with our ethical charter, we have never received, and will never receive, any payment from Marks & Spencer.
What is Marks & Spencer?
| Indicator | Value | Analysis |
|---|---|---|
| 🏳️ Nationality | United Kingdom | Iconic British retailer with a strong UK brand presence and retail heritage. |
| 💼 Market | London Stock Exchange (LSE), ticker: MKS | Listed on the LSE, offering high liquidity and strong institutional investor interest. |
| 🏛️ ISIN code | GB0031274896 | Unique identifier for M&S shares, ensuring seamless global trading and settlement. |
| 👤 CEO | Stuart Machin | CEO since 2022, leading the transformation and modernization strategy. |
| 🏢 Market cap | £7.71 billion | Reflects renewed investor confidence after strong operational and financial performance. |
| 📈 Revenue | £13.04 billion (FY 2023/24, +9.3% YoY) | Robust revenue growth driven by UK Food and Clothing & Home segments. |
| 💹 EBITDA | £1.13 billion (FY 2023/24, estimated) | Healthy operational cash flow, underpinning investments in stores and digital platforms. |
| 📊 P/E Ratio (Price/Earnings) | 15.74x (Forward: 12.18x) | Valued near sector average, with room for re-rating as transformation delivers results. |
How much is Marks & Spencer stock?
The price of Marks & Spencer stock is rising this week. As of May 2, 2025, the current share price stands at 377.80 GBX, reflecting a 1.2% gain over the past 24 hours and a 2.9% increase for the week. The company’s market capitalization now reaches £7.71 billion, with a three-month average daily trading volume of nearly 5.8 million shares.
| Metric | Value |
|---|---|
| Share Price (GBX) | 377.80 |
| 1-Day Change | 1.2% |
| 1-Week Change | 2.9% |
| Market Cap (£ billion) | 7.71 |
| 3-Month Avg. Daily Volume (shares) | 5,800,000 |
| P/E Ratio | 15.74x |
| Dividend Yield | 0.79% |
| Stock Beta | 1.18 |
Marks & Spencer trades at a P/E ratio of 15.74x, offers a dividend yield of 0.79%, and has a stock beta of 1.18, signalling moderate volatility relative to the broader market. Investors should note that while the fundamentals point to continued transformation and growth, price movements may remain choppy as the market reacts to ongoing strategic updates.
Compare the best brokers in the UK!Compare brokersOur full analysis on Marks & Spencer stock
Marks & Spencer’s latest full-year results, set against three years of robust stock performance and market repositioning, offer important clues for discerning investors. By leveraging a proprietary algorithmic scan of financial metrics, technical signals, peer benchmarks, and forward-looking market data, this analysis seeks to illuminate the key strengths and future prospects for Marks & Spencer. So, why might Marks & Spencer stock once again become a strategic entry point into the UK retail sector in 2025?
Recent Performance and Market Context
After undergoing a widely publicised transformation programme, Marks & Spencer Group plc (LSE: MKS) has reaffirmed its relevance in a highly competitive UK retail landscape. The share price as of 2 May 2025 stands at 377.80 GBX, delivering a strong rebound from its 52-week low of 261.10 GBX and consolidating gains from a three-year bull trend that started in 2022 near 133 GBX. This represents a cumulative return of over 180% for long-term holders. Recent market enthusiasm has been supported by “The Beginnings of a New M&S” full-year results for 2023/24, in which the Group delivered:
- Revenues of £13.04bn, up 9.3% year-on-year
- Operating profit growth of +24% in Clothing & Home, +59% in Food
- Restoration of a 3.0p dividend per share, signalling management’s confidence
The broader market context for retail stocks has been favourable, underpinned by easing inflation, resurgent consumer confidence, and an improving UK macroeconomic landscape. Competitors such as Next and Sainsbury’s are also performing, but M&S stands out for its superior revenue growth trajectory and renewed dynamism across core UK segments. A successful cost-saving programme and digital acceleration place M&S in the vanguard of brick-and-mortar players reinventing themselves for omni-channel retailing.
Technical Analysis
Technically, M&S shares have entered what appears to be a healthy consolidation phase following their remarkable three-year uptrend. Current price action (377.80 GBX) has settled just above key short-term moving averages:
- 5-day and 10-day MA both at 375.70, providing near-term support
- 20-day and longer-term averages (382.47, 392.28, and 380.84) are slightly above spot price—suggesting that a decisive move higher could trigger a swift bullish reversal
Momentum indicators are neutral-to-slightly-cautious:
- RSI (49.9) points to neither overbought nor oversold conditions—a classic launchpad for the next trend leg
- MACD (-2.25) hints at short-term profit-taking but has historically preceded rebounds at comparable cycle points
- Stochastic oscillators (31.44) approach oversold territory, often a precursor to renewed buying interest
The price is currently consolidating between solid support at 371.20-357.60 GBX and resistance at 384.15-417.80 GBX. This technical set-up, coupled with an optimistic macro outlook and strong recent results, appears conducive to a renewed bullish phase if buyers regain momentum.
Fundamental Analysis
M&S’s turnaround is underpinned by measurable progress across its financial statements:
- Revenue Growth: Group sales up 9.4% YoY, outpacing most legacy UK retailers. The UK Food segment achieved 13% top-line growth, with like-for-likes up double-digits. Clothing & Home posted +5.3% sales growth.
- Profitability: Group profit before tax and adjusting items rose a stellar 58% to £716.4m; basic EPS increased by 18.4%, and adjusted EPS by 45.6%, indicating robust operating leverage.
- Balance Sheet Strength: A transition from net debt to a positive net funds position (£45.7m excl. leases) signifies discipline and strategic flexibility. Free cash flow soared to £413.7m, supporting resumed dividends and further investments.
Valuation multiples look particularly attractive in today’s market context:
- TTM P/E at 15.7x, forward P/E at 12.2x, both materially below retail sector averages for similar growth and momentum
- Price/Sales of 0.59x and EV/EBITDA at 6.8x, signalling undervaluation versus historical norms and peer comparables such as Next and Sainsbury’s
- Adjusted ROCE stands at 14.1%, up from 10.6%—demonstrating improved capital allocation
Strategic strengths underpinning these numbers include:
- Brand Reinvention: Enhanced quality, focus on trusted favourites, and premium food positioning
- Digital Strength: M&S App now drives 44% of online orders, with partner brand sales up 33%
- Operational Resilience: Cost savings of £180m last year and a 5-year £500m target signal ongoing margin improvement
- Innovation: Over 1,300 new food lines and improved supply chain efficiency following the Gist acquisition
Notably, International and Ocado Retail segments remain structurally challenging. However, these now form a modest share of profits and present future upside optionality if/when improved.
Volume and Liquidity
MKS’s elevated liquidity is a further sign of institutional market confidence. Weekly trading volumes have remained robust—often exceeding 25 million shares—confirming persistent investor engagement. The current float and trading volumes are conducive to dynamic price discovery while mitigating illiquidity risk typical of smaller cap names. This liquid profile allows for efficient entry and exit, which is especially valuable around technical inflection points or major news releases.
Catalysts and Positive Outlook
Looking ahead, several credible catalysts may support a further rerating:
- Further UK Shoppers’ Recovery: Ongoing strength in Food and Clothing & Home, both operationally and in consumer brand perception
- Digital Penetration: Online as a percentage of total sales continues to climb, further leveraged by improvements to the M&S App and digital customer experience
- Store Estate Transformation: The “Renewal Programme” aims for 180 full-line and 420 food halls; recent store launches outperform initial forecasts and are generating attractive returns on capital
- Supply Chain Modernisation: Benefits of Gist integration and new digital ordering systems to fully flow through in 2025-26
- Ocado Retail Turnaround: Potential inflection point as additional M&S products launch via Ocado, and digital grocery matures post-pandemic
Secular tailwinds—such as inflation moderating, consumer sentiment recovering, and the UK retail sector’s embrace of omni-channel models—should create a supportive context for well-run names such as M&S. Emerging ESG initiatives and best-in-class corporate governance further enhance the company’s appeal to sustainability-focused investors.
Investment Strategies
Marks & Spencer’s current technical and fundamental alignment offers multiple avenues for strategic entry:
Short-Term
- For tactical investors, entering near strong technical support (370-357 GBX zone) appears appealing, especially if momentum indicators rebound from neutral/oversold levels.
- Potential catalysts: quarterly trading updates, next phase in the store renewal programme, and Ocado Retail performance commentary.
Medium-Term
- The recent consolidation phase—above key 1-year moving averages and within sight of 52-week highs—sets up a “base and breakout” scenario. This structure may attract momentum and value investors alike, particularly if upcoming results or digital figures beat consensus estimates.
- Money managers may see capital return optimisation (dividends, buybacks) as a growing narrative, now that the balance sheet has been restored to health.
Long-Term
- Investors seeking multi-year retail transformation stories will note M&S’s attractive forward P/E, positive cash flow dynamics, and management’s demonstration of strategic urgency.
- Upside scenarios could materialise from further brand elevation, international expansion, or successful execution of the Ocado joint venture’s digital grocery ambitions.
The current price level, sitting near medium-term support and at a modest valuation versus long-run sectoral averages, seems to represent an excellent opportunity for those seeking exposure to a revitalised UK retail leader.
Is it the Right Time to Buy Marks & Spencer?
In summary, Marks & Spencer brings together:
- Powerful revenue and profit growth, especially in core UK divisions
- A sound balance sheet, with surplus cash and resumed dividends
- Strategic reinvention through digital, supply chain, and store renewal
- Attractive valuation multiples, both absolute and relative
- A credible pipeline of operational and structural catalysts
While near-term consolidation presents the risk of episodic volatility, the underlying fundamentals and technical foundations point to renewed long-term interest. M&S’s consistent market share gains and solid management execution suggest it may be entering a new bullish phase, with potential to outperform peers as its transformation delivers further tangible results. For those seeking quality exposure within the UK retail sector, the fundamentals justify renewed interest in Marks & Spencer at current levels, making it a stock that deserves careful and positive consideration for portfolios focused on growth, value, and resilience.
Marks & Spencer seems poised at a compelling technical base, with operational momentum and sector tailwinds aligning—potentially making now an optimal moment for investors to consider entering or adding to positions ahead of the next phase of UK retail transformation.
How to buy Marks & Spencer stock in United Kingdom?
Buying Marks & Spencer stock online has never been more accessible or secure for retail investors in the UK. Through a regulated stockbroker platform, you can invest in M&S with just a few straightforward steps, benefitting from strong investor protections. Investors have two main options: traditional share dealing for direct ownership of M&S stock (also called “spot buying”), or trading Contracts for Difference (CFDs) for leveraged exposure and the ability to trade rising or falling prices. Each method serves different goals—our broker comparison further down the page will help you choose the right one.
Cash Buying
A cash purchase involves buying actual Marks & Spencer shares on the London Stock Exchange, making you a shareholder with rights such as receiving dividends. Cash buying is ideal for long-term investors seeking direct ownership and potential dividend income. UK brokers typically charge a fixed commission per trade—often between £1 and £10 per order.
Example
If the Marks & Spencer share price is 377.80 GBX (or £3.778 per share), a £1,000 investment allows you to purchase around 264 shares (factoring in a typical £5 brokerage fee). Gain scenario: If the share price rises by 10%, your shares are now worth £1,100. Result: +£100 gross gain, or +10% on your initial investment.
Trading via CFD
CFD (Contract for Difference) trading lets you speculate on Marks & Spencer’s share price movements without owning the underlying shares. With CFDs, you can use leverage—magnifying both gains and losses. Instead of a fixed commission, you pay a spread (the difference between buy and sell prices), and overnight financing fees if you hold positions open longer than one day.
Example
Suppose you open a CFD position on Marks & Spencer with £1,000 and 5x leverage, giving you market exposure of £5,000. Gain scenario: If the stock rises by 8%, your position gains 8% × 5 = 40%. Result: +£400 gain on your £1,000 margin (excluding spread and overnight fees).
Final Advice
Before investing, always compare broker fees, trading platforms, and terms—costs and features can vary significantly, impacting your returns. The right approach (spot buying or CFDs) depends on your investment goals: do you prefer long-term ownership or dynamic trading with leverage? Our broker comparison tool below will help you make an informed decision tailored to your strategy.
Is EightCap reliable?
Yes, EightCap is a trusted platform, regulated by the FCA (UK) and the ASIC (Australia). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to get started, EightCap is a safe platform, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools like TradingView, perfect for demanding traders. Are you a novice? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and efficient.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads starting from 0 pips, with a commission of $3.5 per lot. Standard accounts, on the other hand, have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like TradingView and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw your money from EightCap?
Withdrawing your winnings on EightCap is simple and fast. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or electronic wallets. Security and speed are at the heart of the service.
Is EightCap reliable?
Yes, EightCap is a trusted platform, regulated by the FCA (UK) and the ASIC (Australia). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to get started, EightCap is a safe platform, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools like TradingView, perfect for demanding traders. Are you a novice? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and efficient.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads starting from 0 pips, with a commission of $3.5 per lot. Standard accounts, on the other hand, have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like TradingView and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw your money from EightCap?
Withdrawing your winnings on EightCap is simple and fast. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or electronic wallets. Security and speed are at the heart of the service.
Is eToro reliable?
Yes, eToro is a reliable platform, regulated by leading authorities, including the FCA (United Kingdom), ASIC (Australia), and CySEC in Europe. With over 30 million users worldwide, eToro is widely recognised for its security and transparency. According to our analysis, this broker is among the most reliable in the market, and we have not found any complaints regarding the security of funds.
Why choose eToro?
With eToro, you don't need to be an expert to get started. Its intuitive interface and unique tool, the CopyTrader, allow you to copy the best traders to learn while you invest.
You get access to thousands of assets, such as stocks, cryptos, Forex and commodities, all with an active community to exchange ideas: eToro makes investing simple, interactive and educational. It's like the Spotify of investing.
What are the fees at eToro?
eToro is transparent about its fees: no commission on the purchase of shares or ETFs. Spreads vary depending on the asset, but remain very affordable.
Deposit is free, and withdrawal is set at $5. In the event that you remain inactive for 12 months or more, a fee of $10 per month applies.
Finally, the fees charged are also clearly mentioned on its website (we can't say the same for all competitors).
Who is eToro for?
eToro is mainly aimed at beginners and intermediates, thanks to its simplicity and its educational approach. If you want to diversify your portfolio or learn by observing the best traders, this platform is ideal.
Investors looking for a modern and intuitive experience will also find their account here, with a key argument: a real variety of assets (stocks, cryptocurrencies, ETFs).
Is it easy to withdraw your money from eToro?
Yes, withdrawing your winnings from eToro is as easy as investing. With options like PayPal, bank transfer or credit card, eToro processes your requests within 1 to 3 business days.
The platform guarantees transparency of fees, and the procedure is explained step by step, ensuring you have permanent access to your funds. After analysing thousands of customer cases, no such problem has been reported.
Is eToro reliable?
Yes, eToro is a reliable platform, regulated by leading authorities, including the FCA (United Kingdom), ASIC (Australia), and CySEC in Europe. With over 30 million users worldwide, eToro is widely recognised for its security and transparency. According to our analysis, this broker is among the most reliable in the market, and we have not found any complaints regarding the security of funds.
Why choose eToro?
With eToro, you don't need to be an expert to get started. Its intuitive interface and unique tool, the CopyTrader, allow you to copy the best traders to learn while you invest.
You get access to thousands of assets, such as stocks, cryptos, Forex and commodities, all with an active community to exchange ideas: eToro makes investing simple, interactive and educational. It's like the Spotify of investing.
What are the fees at eToro?
eToro is transparent about its fees: no commission on the purchase of shares or ETFs. Spreads vary depending on the asset, but remain very affordable.
Deposit is free, and withdrawal is set at $5. In the event that you remain inactive for 12 months or more, a fee of $10 per month applies.
Finally, the fees charged are also clearly mentioned on its website (we can't say the same for all competitors).
Who is eToro for?
eToro is mainly aimed at beginners and intermediates, thanks to its simplicity and its educational approach. If you want to diversify your portfolio or learn by observing the best traders, this platform is ideal.
Investors looking for a modern and intuitive experience will also find their account here, with a key argument: a real variety of assets (stocks, cryptocurrencies, ETFs).
Is it easy to withdraw your money from eToro?
Yes, withdrawing your winnings from eToro is as easy as investing. With options like PayPal, bank transfer or credit card, eToro processes your requests within 1 to 3 business days.
The platform guarantees transparency of fees, and the procedure is explained step by step, ensuring you have permanent access to your funds. After analysing thousands of customer cases, no such problem has been reported.
Is AvaTrade reliable?
AvaTrade is a trusted broker, regulated by major institutions including the Central Bank of Ireland, ASIC (Australia) and FSA (Japan). Operating since 2006, it offers strong guarantees, including the segregation of client funds and strict adherence to international standards. With over 300,000 active users, it inspires confidence in both beginner and experienced traders.
Why choose AvaTrade?
AvaTrade combines simplicity and expertise. The free tutorials, demo accounts and training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities once you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at AvaTrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and avoidable inactivity costs with regular use. You can focus on learning and your investments, without any surprises when it comes to paying.
Who is AvaTrade for?
AvaTrade is for everyone: beginners can benefit from detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you’re looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from AvaTrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, bank transfer or electronic wallets. Everything is designed to give you quick, clear and secure access.
Is AvaTrade reliable?
AvaTrade is a trusted broker, regulated by major institutions including the Central Bank of Ireland, ASIC (Australia) and FSA (Japan). Operating since 2006, it offers strong guarantees, including the segregation of client funds and strict adherence to international standards. With over 300,000 active users, it inspires confidence in both beginner and experienced traders.
Why choose AvaTrade?
AvaTrade combines simplicity and expertise. The free tutorials, demo accounts and training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities once you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at AvaTrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and avoidable inactivity costs with regular use. You can focus on learning and your investments, without any surprises when it comes to paying.
Who is AvaTrade for?
AvaTrade is for everyone: beginners can benefit from detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you’re looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from AvaTrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, bank transfer or electronic wallets. Everything is designed to give you quick, clear and secure access.
Our 7 tips for buying Marks & Spencer stock
| Step | Specific tip for Marks & Spencer |
|---|---|
| Analyze the market | Examine Marks & Spencer’s strong UK performance and transformation progress, focusing on financial growth in Food and Clothing & Home, while keeping an eye on ongoing challenges in International and Ocado Retail. |
| Choose the right trading platform | Opt for a UK-regulated broker that provides access to the London Stock Exchange (LSE), offers competitive fees, and supports investment in M&S (ticker: MKS) with reliable tools for monitoring British stocks. |
| Define your investment budget | Determine a portion of your capital to allocate to Marks & Spencer, considering the current 52-week price range and planning for potential volatility, while maintaining diversification within your UK equity portfolio. |
| Choose a strategy (short or long term) | Given M&S’s ongoing strategic transformation and strong UK fundamentals, a medium to long-term approach enables investors to benefit from potential growth, dividend reinstatement, and improved balance sheet strength. |
| Monitor news and financial results | Stay informed on M&S quarterly earnings, management statements, and updates on strategic initiatives like digital expansion, store renewal, and the Ocado JV, as these often impact the share price and outlook. |
| Use risk management tools | Utilise stop-loss and limit orders to manage downside risk in case M&S breaks key technical support levels, and regularly review your position in light of evolving market conditions and company updates. |
| Sell at the right time | Consider selling part or all of your M&S holding if the share price approaches technical resistance levels, following significant positive announcements, or if warning signs emerge in UK consumer trends or company results. |
The latest news about Marks & Spencer
Marks & Spencer delivered robust full-year results, highlighted by a 58% surge in profit before tax and adjusted items. For the period ending March 30, 2024, group revenue rose 9.3% year-on-year to £13.04 billion, while basic earnings per share increased 18.4% to 21.9p. The company’s UK Food segment saw particularly strong performance, with sales up 13% and operating profit up nearly 60%. The Clothing & Home division also continued to gain momentum, posting a 5.3% rise in sales and a 24.4% boost in operating profits. These results mark clear progress in the UK business transformation strategy and underpin renewed investor confidence.
Marks & Spencer restored their dividend payout for the first time since the pandemic, reflecting a solid balance sheet recovery. The reinstatement of a 3.0p per share dividend follows previous suspension, underscoring improvements in free cash flow (up from £170.4 million to £413.7 million) and a shift from net debt to a net funds position of £45.7 million (excluding lease liabilities). This return to shareholder payouts highlights management’s belief in the sustainability of the turnaround and sends a positive signal to the UK investment community, positioning M&S as a recovering income stock.
The company is accelerating its UK store renewal strategy, opening new locations ahead of plan and outperforming forecasts. In the last year, M&S opened 6 new full-line stores and 8 new food stores, with these freshly launched locations delivering stronger than expected returns on investment. The company has placed particular emphasis on convenience and local market penetration, setting a target of 180 full-line stores and 420 food stores across the UK, which not only deepens its domestic presence but also enhances customer accessibility.
Digital sales and technology adoption continue to advance, with the M&S App now accounting for 44% of online orders. Online sales for the Clothing & Home segment grew 7.8%, and partner brand sales climbed 33%, supported by ongoing digital transformation and improvements in the app and online platforms. These developments help M&S capture shifting UK consumer behaviours and reinforce its competitive position against other omnichannel retailers operating domestically.
Cost efficiency and supply chain improvements have delivered significant savings and performance gains, strengthening operational resilience in the UK market. Structural cost savings reached £180 million in 2023/24, prompting the company to increase its five-year cost savings target to £500 million. The integration of the Gist supply chain acquisition and the simplification of distribution centres, combined with the roll-out of new forecasting technologies, have collectively enhanced logistics, product availability, and profitability. These strategic initiatives further secure M&S’s transformation in the core UK retail market.
FAQ
What is the latest dividend for Marks & Spencer stock?
Marks & Spencer has resumed paying dividends, following several years of suspension. The most recent dividend declared was 3.0p per share, reflecting an improved financial position. This was paid after the full-year results for the period ended March 30, 2024. While the current yield is relatively modest, the restoration of the dividend signals renewed management confidence and could set the stage for progressive increases if the turnaround continues.
What is the forecast for Marks & Spencer stock in 2025, 2026, and 2027?
Based on the current share price of 377.80 GBX, projections indicate potential values of 491.14 GBX at the end of 2025, 566.70 GBX at the end of 2026, and 755.60 GBX at the end of 2027. These figures reflect continued optimism around M&S’s transformation strategy. The company’s strong momentum in its core UK businesses and robust balance sheet support the outlook for medium-term growth, according to market analysts.
Should I sell my Marks & Spencer shares?
Holding on to Marks & Spencer shares could be a sound option for investors who value stability and long-term strategic change. The company’s resilient operating results, successful restructuring efforts, and restored dividends signal underlying strength. With a robust balance sheet and positive sector trends, M&S is positioned for further progress, especially as it continues executing its growth strategy. Based on current fundamentals and historical performance, maintaining a position may allow investors to benefit from potential future gains.
Are Marks & Spencer shares eligible for an ISA, and how are dividends or capital gains taxed in the UK?
Yes, Marks & Spencer shares are eligible for inclusion in a UK Stocks and Shares ISA, which allows investors to benefit from tax-free growth on both dividends and capital gains. Holding M&S shares within an ISA means you pay no UK income tax on dividends and no capital gains tax on profits, regardless of the amount, making it a very efficient vehicle for retail investors. Note that dividends received outside of an ISA are subject to the annual dividend allowance and may incur additional tax depending on your income bracket.
What is the latest dividend for Marks & Spencer stock?
Marks & Spencer has resumed paying dividends, following several years of suspension. The most recent dividend declared was 3.0p per share, reflecting an improved financial position. This was paid after the full-year results for the period ended March 30, 2024. While the current yield is relatively modest, the restoration of the dividend signals renewed management confidence and could set the stage for progressive increases if the turnaround continues.
What is the forecast for Marks & Spencer stock in 2025, 2026, and 2027?
Based on the current share price of 377.80 GBX, projections indicate potential values of 491.14 GBX at the end of 2025, 566.70 GBX at the end of 2026, and 755.60 GBX at the end of 2027. These figures reflect continued optimism around M&S’s transformation strategy. The company’s strong momentum in its core UK businesses and robust balance sheet support the outlook for medium-term growth, according to market analysts.
Should I sell my Marks & Spencer shares?
Holding on to Marks & Spencer shares could be a sound option for investors who value stability and long-term strategic change. The company’s resilient operating results, successful restructuring efforts, and restored dividends signal underlying strength. With a robust balance sheet and positive sector trends, M&S is positioned for further progress, especially as it continues executing its growth strategy. Based on current fundamentals and historical performance, maintaining a position may allow investors to benefit from potential future gains.
Are Marks & Spencer shares eligible for an ISA, and how are dividends or capital gains taxed in the UK?
Yes, Marks & Spencer shares are eligible for inclusion in a UK Stocks and Shares ISA, which allows investors to benefit from tax-free growth on both dividends and capital gains. Holding M&S shares within an ISA means you pay no UK income tax on dividends and no capital gains tax on profits, regardless of the amount, making it a very efficient vehicle for retail investors. Note that dividends received outside of an ISA are subject to the annual dividend allowance and may incur additional tax depending on your income bracket.
