Update shared on12 Sep 2025
Fair value Increased 0.90%Ashtead Group's consensus price target saw a slight upward revision to £56.12 as analysts remain cautious due to muted near-term earnings momentum and macroeconomic uncertainties, despite some long-term optimism.
Analyst Commentary
- Bearish analysts cite muted near-term earnings momentum and limited prospects for an imminent recovery as reasons for cautious sentiment.
- There is a consensus that while the market shows some signs of stabilisation, it is premature to expect a sustained business recovery.
- Industry-wide factors, such as broader adjustments among the European staffer group, have contributed to the reevaluation of targets.
- Bullish analysts maintain positive long-term views, keeping Buy or Outperform ratings despite lowering price targets, reflecting tempered optimism amid current market headwinds.
- Lowered price targets across the board reflect ongoing macroeconomic uncertainties, impacting near-term outlook and earnings visibility for Ashtead Group.
What's in the News
- Ashtead Group reaffirmed earnings guidance for 2025-2026, expecting rental revenue growth of 0%–4%.
- The Board proposed a final dividend of 72¢ per share (down from 89.25¢), reflecting a new interim/final dividend split, absorbing $308 million.
- Ashtead completed a buyback program, repurchasing 6,000,000 shares (1.38%) for $352 million.
Valuation Changes
Summary of Valuation Changes for Ashtead Group
- The Consensus Analyst Price Target remained effectively unchanged, moving only marginally from £55.62 to £56.12.
- The Future P/E for Ashtead Group has significantly fallen from 18.20x to 13.67x.
- The Consensus Revenue Growth forecasts for Ashtead Group has risen from 5.2% per annum to 5.5% per annum.
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.