Marks & Spencer Share Price in Focus – Shore Capital Says Retailer ‘Back in Control’

Marks & Spencer (LON: MKS) shares are back under the spotlight after Shore Capital told clients in a recent note that the retailer is “back in control of its own destiny” heading into a crucial spring and summer trading period.

The brokerage noted that MKS is a House Stock, meaning it acts in an advisory capacity to the company.

The firm reiterated confidence in current-year and FY27 forecasts, saying it believes M&S will end FY26 “in good shape,” noting that Food is “back to a level of profitable and sustained market outperformance,” while Fashion, Home & Beauty has cleared surplus seasonal inventory following the cyberattack disruption.

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The firm kept its FY26 pre-tax profit estimate unchanged at £655 million.

The analysts added that M&S has seen Q4 strength in both Food and full-price FHB sales. Food trading “very quickly returned to strong sales and volume growth,” supported by NielsenNIQ data showing 6.5% growth in the 12 weeks to Feb. 21.

Shore Capital also said management has been “encouraged by the strength of full-price sales and the customer response to ‘newness.’”

On FY27, Shore Capital reaffirmed its £960 million pre-tax profit forecast and said valuation metrics, including a price-to-earnings ratio near 10x, “look too low relative to both UK FTSE100 Apparel and Grocery peers.”

The firm noted that despite Middle East uncertainty and lingering stock elevations, M&S exits a turbulent year with renewed momentum.

“Critically we see M&S as leaving the year back in control of its own destiny,” Shore Capital wrote, adding that long-term execution could support meaningful earnings and a potential re-rating of the stock.

Shares closed Friday’s session at 330.6p, down 2.62%. The stock is down 0.1% year-to-date.