Update shared on 09 Nov 2025
Fair value Increased 5.53%Ferrovial's analyst price target has been raised from approximately €50.21 to €52.99. Analysts cite improved profit margins and updated research reports supporting a modest valuation increase.
Analyst Commentary
Recent adjustments from major research houses reflect an increased confidence in Ferrovial's outlook. While price targets have been raised, analysts maintain a measured perspective on both positive drivers and persistent risks facing the company.
Bullish Takeaways
- Bullish analysts highlight the upward revisions in price targets, citing improved profit margins and stronger operational performance.
- There is growing optimism about Ferrovial’s ability to execute on its strategic initiatives. This supports expectations for continued earnings growth.
- The consistently positive ratings, such as "Buy" and "Overweight," suggest belief in the company’s resilience amid broader market challenges.
- Recent analysis points to enhanced revenue visibility in core segments, which supports the more optimistic valuation outlook.
Bearish Takeaways
- Bearish analysts remain cautious about the pace of Ferrovial’s expansion plans and potential headwinds in key international markets.
- Some concerns persist regarding cost pressures that could impact margins if inflationary trends continue.
- Uncertainty around regulatory changes in certain regions is noted as a factor that could limit future earnings growth.
What's in the News
- Ferrovial has announced a stock split. Shareholders are set to receive 2.09688 new shares for each existing share held, effective October 28, 2025 (Key Developments).
- The company will develop a new 250 MW solar photovoltaic facility in Milam County, Texas, representing a $355 million investment. The project will support local economic growth and create nearly 300 jobs during construction (Key Developments).
- Ferrovial's energy portfolio in Texas is expanding. The new Milam County site will complement existing facilities, including a 257 MWdc plant in Leon County and a soon-to-be-completed 72 MW PV plant in the Houston area for X-Elio (Key Developments).
Valuation Changes
- Consensus Analyst Price Target has risen from €50.21 to €52.99, reflecting an upward adjustment in expected fair value.
- Discount Rate has increased slightly, moving from 7.48% to 7.71%. This indicates a modest shift in risk assumptions.
- Revenue Growth forecasts have declined marginally, from 4.03% to 3.99%. This suggests slightly lower growth expectations.
- Net Profit Margin has risen modestly, increasing from 7.99% to 8.02%.
- Future P/E ratio has advanced from 52.77x to 55.91x, signifying higher future earnings expectations or a more optimistic valuation outlook.
Disclaimer
AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.