Why did the Guzman y Gomez share price fall today?

Shares fell about 10% after the half-year update missed market expectations and signalled larger US losses. While sales rose 18% to A$682m and EBITDA reached A$33m, investors wanted stronger profitability and cash flow. Management asked for patience on expansion, but the market repriced the stock toward record lows.

Is GYG ASX stock cheap after the drop?

On trailing numbers, not yet. The stock still trades near 145x P/E, ~24x EV/EBITDA, ~4.8x sales, and ~5.4x book. Free-cash-flow yield is thin. A lower multiple may require clearer evidence of store-level profit momentum, better cash conversion, and narrowing US losses. Growth delivery could change the picture.

What should investors watch in upcoming GYG earnings?

Focus on same-store sales, store-level EBITDA, and the path to breakeven in the US. Watch cost lines like wages and food, build costs for new stores, and the pace of the 32 planned Australian openings. Any update to FY guidance and capex discipline will also shape market sentiment.

How do US losses affect the GYG share price?

US losses drag group margins and cash flow, lifting perceived execution risk. That keeps valuation sensitive to any sign of progress or setbacks. Evidence of improving US unit economics, format tweaks, or tighter cost control would ease concerns and could support a re-rate. Worsening trends would do the opposite.

Global Market Insights

GYG.AX Stock Today: February 21 — 10% Slide on H1 Miss, US Losses

ByHuzaifa Zahoor February 20, 2026February 20, 2026

The Guzman y Gomez share price fell about 10% on 21 February after its half-year update missed market hopes and flagged bigger US losses. Revenue rose 18% to A$682 million and EBITDA reached A$33 million, but the gap to expectations hit confidence. The fall erased more than A$200 million in market value and pushed the stock toward record lows on the ASX. We break down today’s move, key numbers, valuation, and what Australian investors should watch next.