Update shared on 28 Nov 2025
Fair value Increased 3.34%Rexel's analyst price target has increased modestly from €29.96 to €30.96, as analysts cite slightly improved growth and profitability outlooks. This comes despite muted pricing traction and a recovery for the residential market that is already reflected in the price.
Analyst Commentary
Analyst opinions on Rexel remain mixed after the recent adjustments to the price target and ratings. Their commentary reflects both optimism and caution, focusing on the company’s valuation, execution, and outlook for the residential market.
Bullish Takeaways
- Some bullish analysts highlight a modest improvement in Rexel's growth and profitability outlook, supporting a slightly higher price target.
- Resilience in the company’s core business and effective execution in challenging markets are viewed as positive signs for future performance.
- Analysts acknowledge Rexel's ability to navigate market volatility, with underlying demand considered a supporting factor for the current share price.
Bearish Takeaways
- A key concern among bearish analysts is the lack of meaningful incremental pricing traction, particularly in the most recent quarter compared to earlier periods.
- There is consensus that the recovery in the European residential market may already be fully reflected in the current valuation.
- Some analysts are cautious about future upside, noting that earlier optimistic expectations have largely played out and further gains may be limited unless new growth drivers emerge.
What's in the News
- Rexel S.A. confirmed its earnings guidance for the fiscal year 2025, projecting slightly positive same-day sales growth after it narrowed its previous guidance. (Key Developments)
- The board of Rexel S.A. will meet on October 14, 2025, to consider the appointment of Robert Schuchna as a nonindependent board member, with the appointment effective October 15, 2025. (Key Developments)
Valuation Changes
- Consensus Analyst Price Target has risen slightly from €29.96 to €30.96, reflecting improved expectations.
- Discount Rate has decreased marginally from 8.59% to 8.46%, suggesting lower perceived risk.
- Revenue Growth projections have edged up from 2.65% to 2.66% per year.
- Net Profit Margin is expected to improve modestly from 3.95% to 3.95%.
- Future P/E ratio has increased from 13.65x to 14.02x, indicating a slightly higher valuation multiple on forward earnings.
Disclaimer
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