Diageo (DEO) Stock: Buy, Sell, or Hold?
DEO - Diageo plc
$94.72
-1.25 (-1.30%)
▼
5d:
+1.32%
30d:
+8.23%
90d:
+6.55%
WAIT
LOW Confidence
Analysis Updated: Oct 26, 2026 12:00 AM ET
Earnings: Aug 04, 2026
0d
Get Alerted When DEO Hits Your Target Price
Join 10,000+ traders who never miss a move
You're in! Check your email to confirm and set your target price.
100% Free
No spam, ever
Unsubscribe anytime
Interactive Price Chart (1 Month)
Loading chart...
Loading historical data...
Bottom Line:
📊 MIXED SIGNALS: DEO shows conflicting indicators. Wait for confirmation before entering.
📊 MIXED SIGNALS: DEO shows conflicting indicators. Wait for confirmation before entering.
Long-Term Wealth Forecast (2031)
Based on Analyst Consensus Growth & Historical Valuation
0% (Stagnation)
50% (Hyper Growth)
EST. PRICE IN 2031
$85.64
Based on 0.5% avg growth
INTRINSIC VALUE TODAY
$53.18
Trading above historical range
How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 13.3x Exit PE.
In-depth Analysis How we analyze
Valuation Analysis: DEO is currently trading at $94.72, which is considered extended relative to its 30-day fair value range of $84.85 to $92.83. From a valuation perspective, the stock is trading at a premium (Forward PE: 15.3) compared to its historical average (13.3). At these levels, the market is pricing in 4.6% annual earnings growth. This is a high bar to clear, indicating the stock may be priced for perfection.
Technical Outlook: Technically, DEO is in a strong uptrend. The price is approaching resistance at $96.99. A breakout above this level would be a bullish signal, while rejection here could lead to consolidation.
Market Sentiment: DEO scores 5/100 on our bottoming-setup gauge. Note this measures entry quality, not trend direction — a low score can mean the chart is extended after a strong run (don't chase) or still falling without stabilization; better entries typically come after a pullback toward the 20-day average. Wall Street analysts see significant upside, with an average price target of $106.29 (+10.7%). Current signals suggest waiting for a better entry point before initiating new positions.
Technical Outlook: Technically, DEO is in a strong uptrend. The price is approaching resistance at $96.99. A breakout above this level would be a bullish signal, while rejection here could lead to consolidation.
Market Sentiment: DEO scores 5/100 on our bottoming-setup gauge. Note this measures entry quality, not trend direction — a low score can mean the chart is extended after a strong run (don't chase) or still falling without stabilization; better entries typically come after a pullback toward the 20-day average. Wall Street analysts see significant upside, with an average price target of $106.29 (+10.7%). Current signals suggest waiting for a better entry point before initiating new positions.
Quick Decision Summary
Current Position
EXTENDED
Historical Trading Range
$84.85 -
$92.83
Company Quality Score
31/100
(SELL)
Volume Confirmation
HIGH
Confidence Score
21.4%
All Signals
- BEARISH: Price extended above range
- BEARISH: Weak technical setup (5/100)
- BULLISH: High volume confirmation
- BULLISH: Trading below Wall St target ($106.29)
- BEARISH: Market expects 4.6% growth - appears too optimistic based on history
- WARNING: Composite score 31/100 in the bottom quintile — this cohort historically lags the market
Trading Range Analysis
30-Day Trading Range
$84.85 -
$92.83
Current vs Trading Range
EXTENDED
Support & Resistance Levels
Support Level
$87.40
Resistance Level
$96.99
Current Trend
Strong Uptrend
Technical data as of
Oct 23, 2026
Fundamental Context
Forward P/E (Next Year Est.)
15.26
Wall Street Target
$106.29
(+10.7%)
Revenue Growth (YoY)
-1.7%
Earnings Growth (YoY)
2.9%
Profit Margin
8.8%
Valuation Premium vs History
+4.6% premium
PE vs Historical
15.3 vs 13.3
FAIR
Market-Implied Price Targets
If current PE multiple persists
Implied Growth (YoY):
+4.6%
(market-implied from PE analysis)
1-Year Target
$100.38
(+5%)
2-Year Target
$105.00
(+9%)
3-Year Target
$109.83
(+14%)
3-Yr Target (if PE normalizes)
(PE: 15→13)
PE COMPRESSION
$95.75
(0%)
Earnings growth offset by PE compression
3-Year Scenarios
Using analyst projected EPS growth
Bull:
(PE: 19.9, Growth: -3.0%)
$113.85
(+19%)
Base:
(SPY PE: 15.3, Growth: -3.0%)
$87.46
(-9%)
Bear:
(PE: 13.0, Growth: -3.0%)
$74.34
(-23%)
📈
Valuation based on Current Earnings
RECOVERY PLAY: Stock looks expensive now (30x PE), but valuation improves significantly next year (15x PE) as earnings recover.
Trailing PE: 29.84 | Current EPS (TTM): $3.24
Bull Case
$206.49
(+115%)
Analyst growth 94.1%, PE expands to 32.8
Base Case
$187.72
(+96%)
Market implied 94.1%, PE stable at 29.8
Bear Case
$65.75
(-32%)
Severe decline -20.0%, PE contracts to 25.4
These are projections based on PE multiples and EPS growth scenarios, not predictions. Actual results may vary significantly.
Share & Embed Analysis
Last updated: October 26, 2026 12:56 PM ET
Data refreshes hourly during market hours. Next update: 1:56 PM
Data refreshes hourly during market hours. Next update: 1:56 PM
🔥 Top Stocks Breaking Out Now
| Ticker | Score | Recommendation | Change % |
|---|
Technical Signals Check
Is DEO showing a specific setup today?
Insider Activity (6 Months)
0
Buys
0
Sells
0
Net
NEUTRAL
Top Rated Beverages - Wineries & Distilleries Stocks
Top-rated stocks in Beverages - Wineries & Distilleries by analyst ratings.
| Stock | Analyst Consensus | Analyst Target | Tradestie Score |
|---|---|---|---|
|
MGPI
MGP Ingredients Inc |
STRONG BUY
5 analysts |
$26 | 24 SELL |
