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Diageo plc Quality Score

DGE.XLON

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Quality43

Business quality is the primary weakness (avg 0/100). Growth is the relative bright spot.

Broad-market heuristics · Not a buy/sell signal

Valuation and growth

Earnings Multiple
40/100
31.4x

Above 30x, priced for sustained outperformance

Cash Flow Multiple
90/100
17.0x

Under 20x cash flow, well covered

Revenue Growth
70/100
8.8%

5–10% CAGR, steady but not exceptional

Cash Flow Growth
100/100
24.8%

Above 10% CAGR, strong compounder

Business Quality & Capital Allocation

Share Dilution
0/100
32.5%

Heavy dilution above 5%

Margin Trend
0/100
-10.9pp

Contracted >2pp, margin pressure

Capital Structure
0/100
$20.41B

Net debt/FCF of 6.4x, high leverage

2023
$1.53B
$15.8B
2024
$1.41B
$22.1B
2025
$2.65B
$24.4B
2026
$1.78B
$22.2B
CashDebt
Return on Capital
0/100
6.6%

Below 8%, may not cover cost of capital

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Diageo (DGE.XLON) quality: score, margins and returns

Diageo (DGE.XLON) scores 43/100 on Intrinsiqq's quality score (a mixed business), a weighted blend of 8 metrics each scored 0 to 100, on 16.1% operating margins and 6.6% ROIC. Every metric is computed from company filings; this is analysis, not investment advice.

Frequently asked

Is Diageo (DGE.XLON) a high-quality business?+

Diageo scores 43 out of 100 on Intrinsiqq's quality score, a weighted blend of 8 metrics each scored 0 to 100, which rates it a mixed business on these measures. Recent figures include a 16.1% operating margin and a 6.6% return on invested capital. Quality and price are separate questions: even a great business can be a poor investment if you overpay, so read this score alongside the valuation. The metric-by-metric breakdown is on this scorecard.

What does Diageo's quality score measure?+

Intrinsiqq's quality score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, change in share count, and balance-sheet strength, each computed from DGE.XLON's company filings rather than opinion or sentiment. A higher score means a more durable, capital-efficient business; it is not a buy or sell signal. Open each metric on this page to see exactly where Diageo scores well and where it falls behind.

What is Diageo's return on invested capital (ROIC)?+

Diageo earns about 6.6% on its invested capital, which is modest. ROIC measures how much profit a company generates per dollar put to work; sustained ROIC above its cost of capital is one of the clearest signs of a real competitive moat. Compare it to DGE.XLON's margins and growth on this scorecard to judge durability.

How profitable is Diageo?+

Diageo runs an operating margin of about 16.1% and a net margin of about 10.0%. Revenue has grown at roughly -6.3% a year recently. High, stable margins usually point to pricing power and operating discipline. Margins are most telling next to growth and returns on capital, all of which feed this quality score. This is analysis from company filings, not investment advice.

How the market compares: US profitability statistics

Peers

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Held by ETFs

DGE.XLON is in 109 US ETFs. The largest of them, with DGE.XLON's weight in each:

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Data sourced from company filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.

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Intrinsiqq is a Netherlands-based company operating in Rotterdam, KvK 73238007.