Analysts have raised their price target for Rexel from approximately EUR 28.79 to EUR 29.96. They cite modest improvements in fair value and projected financial metrics, despite ongoing concerns about limited pricing momentum and market recovery already reflected in the share price.

Analyst Commentary

Recent perspectives from major research firms reflect a balanced outlook on Rexel, with both optimism about its valuation and operational progress, as well as caution regarding its future growth and pricing environment.

• Bullish analysts have highlighted incremental improvements in fair value and have raised price targets, citing Rexel’s progress in financial metrics and execution.
• Positive adjustments to price targets suggest ongoing confidence in the company’s ability to deliver on profitability and maintain a steady performance.
• Continued Overweight ratings from select research firms signal that some expect further upside potential, particularly if the market environment becomes more favorable.
• Raising forecasts on Rexel’s stock price indicates an appreciation for resilient fundamentals and management’s strategic actions, despite current market challenges.

• Bearish analysts express concerns about the lack of meaningful incremental pricing traction in recent quarters, which could limit upside potential in the short term.
• Several research notes suggest that recovery expectations, particularly for the European residential market, may already be fully reflected in Rexel’s current share price.
• Some firms have initiated or downgraded to more cautious stances, viewing valuation as fair and seeing limited near-term catalysts for outsized growth.
• Persistent uncertainty around market momentum and modest price adjustments have contributed to mixed analyst sentiment regarding Rexel’s outlook.

What's in the News

• Rexel S.A. confirmed its earnings guidance for fiscal year 2025, with expectations for slightly positive same-day sales growth. This is an adjustment from the earlier outlook of stable to slightly positive growth (Key Developments).
• The Board of Directors will consider and approve the appointment of Robert Schuchna as a nonindependent member of the Board, effective October 15, 2025. This decision is based on the recommendation of the Nomination, Governance and CSR Committee (Key Developments).

Valuation Changes

• Fair Value: Increased slightly from €28.79 to €29.96, reflecting a modest rise in analysts' assessments.
• Discount Rate: Declined marginally from 8.68% to 8.50%, indicating reduced perceived risk or lower expected return requirements.
• Revenue Growth: Moved up slightly from 2.54% to 2.65%, showing a small uptick in projected top-line expansion.
• Net Profit Margin: Inched up from 3.93% to 3.95%, suggesting a minimal improvement in profitability forecasts.
• Future P/E: Increased from 13.23x to 13.62x, indicating a minor rise in the future earnings multiple.