Greggs‘ (LSE:GRG) shares are on a roll again, so to speak. The baker was once one of the FTSE 250‘s strongest performers, delivering stratospheric sales growth that sent its valuation sky high. Then came a drop in consumer spending in 2024 that slowed underlying revenues to a trickle and devastated the share price.
As a shareholder, I’ve considered throwing in the towel several times and selling up. I’m pleased I didn’t — Greggs’ share price has surged since the start of 2026 and continues to pick up steam.
So what’s happened? And can the FTSE 250 baker continue surging?
Greggs’ shares rise again!
At £19.84 today, Greggs’ share price is still down 19% over a three-year period. But a sharp pickup in trading has seen it rise almost a third in value in just six months.
It’s surging again on Wednesday (30 September) after raising forecasts for the full year. It’s up almost 6% on the day after the announcement.
Improved trading performance in recent months and continued strong cost control now leads us to expect a modestly improved outcome for 2026.
Total sales were up 7.7% in the 13 weeks to 26 September, Greggs said. This pushed revenues growth over a 39-week horizon to 7.4%.
Meanwhile, like-for-like (LFL) sales from company-managed stores rose 3.4% last quarter. Over 39 weeks, corresponding takings were up 2.6%. And critically, sales momentum keeps improving (LFL sales growth was 2.1% in the first half).
Greggs said that its “improved trading reflects the success of continued menu innovation along with more settled weather.” Demand for iced drinks like matcha lattes, and healthier meals such as its relaunched salad lines, has been especially strong, the company noted.
Q&A time
One question has been haunting Greggs and its share price over the past couple of years. Analysts have been asking “has the UK reached ‘Peak’ Greggs”? and suggesting the public is tiring of its sweet and savoury goods.
Wednesday’s update goes a long way to answering this question, in my view. Decades-old favourites like sausage rolls, doughnuts and pies remain as popular as ever. But importantly, Greggs has its finger on the pulse when it comes to changing consumer tastes, with a steady flow of menu additions proving extremely popular.
Management also remains highly committed to its store expansion programme, another powerful statement of the firm’s growth potential. It’s opened 95 stores of its planned 100-110 for 2026, taking Greggs closer to its target of 3,500.
Can the share price keep rising?
It’s important to stress that Greggs isn’t out of the woods just yet. Inflation is spiking, meaning consumers are feeling the pinch again. This autumn is also forecast to be especially wet, which could further impact takings.
Yet looking longer term, I’m optimistic Greggs and its share price will steadily recover from last year’s lulls. Ongoing streamlining will boost earnings as store rollouts in high footfall travel hubs continue. The baker also has further to explore in the lucrative delivery and evening channels. And of course more blockbuster menu additions are in the pipeline.
One final thing. Greggs’ shares also remain dirt cheap, which could also support further price gains. Its forward price-to-earnings (P/E) ratio is just 14.9 times, well below the 10-year average of 22-23.
What growth stock do we like better than Greggs Plc right now?
One of our Share Advisor analysts has just released a brand new stock report that we think is a must-read for any investor looking to try and generate potential growth.
And the best bit is that you can see if for yourself, right now, absolutely free of charge!
No jargon. No hard sell. Just a clear look at a growth share idea we think is worth your time.
Royston Wild owns shares in Greggs.
Greggs‘ (LSE:GRG) shares are on a roll again, so to speak. The baker was once one of the FTSE 250‘s strongest performers, delivering stratospheric sales growth that sent its valuation sky high. Then came a drop in consumer spending in 2024 that slowed underlying revenues to a trickle and devastated the share price.
As a shareholder, I’ve considered throwing in the towel several times and selling up. I’m pleased I didn’t — Greggs’ share price has surged since the start of 2026 and continues to pick up steam.
So what’s happened? And can the FTSE 250 baker continue surging?
Greggs’ shares rise again!
At £19.84 today, Greggs’ share price is still down 19% over a three-year period. But a sharp pickup in trading has seen it rise almost a third in value in just six months.
It’s surging again on Wednesday (30 September) after raising forecasts for the full year. It’s up almost 6% on the day after the announcement.
Improved trading performance in recent months and continued strong cost control now leads us to expect a modestly improved outcome for 2026.
Total sales were up 7.7% in the 13 weeks to 26 September, Greggs said. This pushed revenues growth over a 39-week horizon to 7.4%.
Meanwhile, like-for-like (LFL) sales from company-managed stores rose 3.4% last quarter. Over 39 weeks, corresponding takings were up 2.6%. And critically, sales momentum keeps improving (LFL sales growth was 2.1% in the first half).
Greggs said that its “improved trading reflects the success of continued menu innovation along with more settled weather.” Demand for iced drinks like matcha lattes, and healthier meals such as its relaunched salad lines, has been especially strong, the company noted.
Q&A time
One question has been haunting Greggs and its share price over the past couple of years. Analysts have been asking “has the UK reached ‘Peak’ Greggs”? and suggesting the public is tiring of its sweet and savoury goods.
Wednesday’s update goes a long way to answering this question, in my view. Decades-old favourites like sausage rolls, doughnuts and pies remain as popular as ever. But importantly, Greggs has its finger on the pulse when it comes to changing consumer tastes, with a steady flow of menu additions proving extremely popular.
Management also remains highly committed to its store expansion programme, another powerful statement of the firm’s growth potential. It’s opened 95 stores of its planned 100-110 for 2026, taking Greggs closer to its target of 3,500.
Can the share price keep rising?
It’s important to stress that Greggs isn’t out of the woods just yet. Inflation is spiking, meaning consumers are feeling the pinch again. This autumn is also forecast to be especially wet, which could further impact takings.
Yet looking longer term, I’m optimistic Greggs and its share price will steadily recover from last year’s lulls. Ongoing streamlining will boost earnings as store rollouts in high footfall travel hubs continue. The baker also has further to explore in the lucrative delivery and evening channels. And of course more blockbuster menu additions are in the pipeline.
One final thing. Greggs’ shares also remain dirt cheap, which could also support further price gains. Its forward price-to-earnings (P/E) ratio is just 14.9 times, well below the 10-year average of 22-23.
What growth stock do we like better than Greggs Plc right now?
One of our Share Advisor analysts has just released a brand new stock report that we think is a must-read for any investor looking to try and generate potential growth.
And the best bit is that you can see if for yourself, right now, absolutely free of charge!
No jargon. No hard sell. Just a clear look at a growth share idea we think is worth your time.
Royston Wild owns shares in Greggs.
