GROWTH
Top line contracting.
−0.1% YoY versus −1.4% prior. 3y CAGR +2.5%.
−0.1%
Diageo plc DEO
Consumer Staples · Market Cap: $45.5B
$80.45▲ 1.61 (2.04%)
Fundamentals as of 2025-12-31
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Consumer Staples · Market Cap: $45.5B
Fundamentals as of 2025-12-31
All analysis on this page is for educational purposes only and does not constitute financial advice. Fair values are model-based estimates. Always do your own research.
2 of 3 legendary models say BUY DEO — but Joel Greenblatt disagrees.
What would legendary investors pay for DEO?
These figures are not quotes or opinions from Buffett, Graham, Lynch or the other investors. They are our own estimates, computed by applying the intrinsic-value formulas each investor is known for to this company’s financials.
For educational purposes only. Not a recommendation to buy or sell securities.
−0.1% YoY versus −1.4% prior. 3y CAGR +2.5%.
−0.1%Net margin 11.6% versus 19.1% prior (−7.5pp). Operating 21.4%.
11.6%P/E 7.4x — 18% below the 5y median of 9.1x. Forward 17.1x signals EPS contraction next year.
7.4xBottom line: DEO is rated BUY by 2 of 3 legendary models, with 1 holding and 0 flagging it overvalued, but earns a C sector grade (49/100) in Consumer Staples. Whether the premium is justified depends on which lens you trust. Drill into the valuation breakdown and sector ranking for the full picture.
The Question
Mixed — Diageo plc has 51.8% ROE but D/E 3.15.
Financial story
Mixed — Diageo plc's 51.8% ROE is strong, but its 3.15 debt-to-equity is elevated.
How does DEO compare?
DEO and ABEV differ on P/E, ROE, and revenue growth. See the full DEO vs ABEV compare matrix.
Buffett, Greenblatt, and Munger evaluate DEO against their respective frameworks. Per-model fair value and reasoning are in the valuation tab.
DEO's P/E ratio is 6.5x. 5-year P/E history is in the financials tab.
2 of 3 legendary models say BUY. Full breakdown by investor and signal is in the valuation tab.
DEO's earnings calendar and history are tracked in the financials tab. Specific dates depend on company-published guidance.
DEO is in the Consumer Staples sector. Sector ranking and peer comparison are in the sector tab.
See exactly where DEO ranks
Sign in to unlock the full sector ranking — free.
Sign in to see the rankingDEO sits at #36 in Consumer Staples with a C grade (49/100).
