Marks & Spencer shares hit a new 52-week high on Tuesday, 10 November 2026, rising 4.1% to 455.4p as investors backed the retailer's plans to double food sales and double its dividend.

The shares closed up 17.8p on the day, passing the previous 52-week peak of 453p reached on 5 November. Trading volume reached 10.3 million shares, well above the 50-day average of 7.3 million, in a session when the wider FTSE 100 fell 0.3% to 10,751.59.

Capital markets day sets out growth plans

The rise followed M&S's capital markets day, at which the retailer set out the next phase of its growth plan and issued new medium-term guidance. The company said it aims to double sales in its food division over time, having already grown annual food turnover by more than 50% since the 2022 financial year.

M&S also said its full-year dividend will double to 8.4p in the 2027 financial year, and that it intends to grow the payout at least in line with earnings over time. The group is on track to achieve its structural cost reduction target of £600 million by the 2028 financial year.

The plans build on a strong first half. Food sales rose 13.9% to £5,162.9 million in the 26 weeks to 26 September, with adjusted operating profit of £288.6 million at a margin of 5.6%. Fashion, Home & Beauty sales increased 17.5% to £1,995.4 million over the same period.

Profit recovery after last week's results

The market reaction continues the momentum from M&S's half-year results, published on 4 November, which showed a sharp rise in profit. Pretax profit rose to £355.1 million from £3.4 million a year earlier, as revenue increased 15% to £9.17 billion. Adjusted pretax profit more than doubled to £403.2 million from £184.1 million.

The retailer declared an interim dividend of 1.4p per share, up 17% year on year. It said it expects full-year adjusted pretax profit to be in line with market expectations, at around £941 million.

Analysts said the new guidance was towards the upper end of market expectations. The food business has been the standout performer, with volumes climbing 12% in the first half, while the Ocado Retail joint venture moved to an operating profit of £25.6 million as online sales rose 22.8%.

Food leads as fashion faces challenges

Trading conditions in Fashion, Home & Beauty remain challenging, the company said, although it expects second-half performance to improve on the first half. Margins in that division have fallen to 7.5%, down from 12% two years earlier, even as sales grew.

By contrast, M&S said it expects full-year food margins to be ahead of the 2024-25 financial year. The division has grown through a focus on quality and value, and the company believes there is room to keep expanding its share of the UK grocery market.

The shares have now risen about 10% over the past month and are up strongly on the year, reflecting the turnaround under chief executive Stuart Machin. M&S rejoined the FTSE 100 in 2023 after being rebuilt following its exit from the index in 2019.

The next test for the retailer will be its Christmas trading update, which will show whether the momentum in food can be sustained through the festive season and whether fashion can recover ground.