Update shared on13 Sep 2025
Fair value Increased 0.94%Analysts have raised their price target for Compagnie de Saint-Gobain, citing successful margin repair, anticipated European residential construction recovery, and structural growth in Construction Chemicals, resulting in a modest fair value increase from €106.52 to €107.52.
Analyst Commentary
- Bullish analysts see momentum from Saint-Gobain's successful margin repair, expecting the company to now focus on sustainable topline growth.
- Anticipated acceleration in the European residential construction cycle is viewed as a key demand driver.
- Analysts expect higher revenue growth, underpinned by increased cross-selling opportunities across the group's portfolio.
- Structural growth in the Construction Chemicals division and ongoing European renovation trends are expected to provide multi-year tailwinds.
- Upward revisions in price targets reflect improved outlook following operational execution and stronger fundamentals.
What's in the News
- Saint-Gobain is restructuring its construction chemicals operations in Germany to drive growth and synergies.
- Saint-Gobain Weber GmbH's dry mortars business (revenue of ~€170 million in 2024) will be transferred to the Franken Maxit joint venture, making it a leading dry mortar manufacturer in Germany with 17 locations and over 1,200 employees.
- Remaining construction chemicals businesses (Weber, GCP, and Chryso brands) will be integrated to focus on technical applications and specialty products.
- The reorganization aims to leverage synergies, foster innovation, and concentrate on offerings for building protection systems, flooring solutions, and infrastructure.
- Closing of the transaction is expected by end-September 2025.
Valuation Changes
Summary of Valuation Changes for Compagnie de Saint-Gobain
- The Consensus Analyst Price Target remained effectively unchanged, moving only marginally from €106.52 to €107.52.
- The Consensus Revenue Growth forecasts for Compagnie de Saint-Gobain has fallen slightly from 3.5% per annum to 3.4% per annum.
- The Discount Rate for Compagnie de Saint-Gobain remained effectively unchanged, moving only marginally from 8.50% to 8.40%.
Disclaimer
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