Loading...
Back to narrative

GEN: Productivity Gains And Pricing Actions Will Expand Margins Through 2025

New UK Regulations Will Expand Sustainable Building Markets

GEN logo
GEN
AnalystConsensusTarget
Not Invested
Published 16 Mar 2025

Update shared on 16 Dec 2025

Fair value Decreased 1.55%
Previous
n/a
n/a
AnalystConsensusTarget's Fair Value
n/a
Loading
1Y
-15.8%
7D
-0.6%

Analysts have slightly reduced their price target for Genuit Group to reflect a modest decrease in fair value. This is driven by a marginally higher discount rate and a slightly lower implied future price to earnings multiple, while revenue growth and profit margin assumptions remain broadly unchanged.

What's in the News

  • Issued new full year 2025 guidance, projecting underlying operating profit in the range of £92 million to £95 million (company guidance)
  • Reaffirmed expectations for sequential improvement in underlying operating margins in the second half of 2025, supported by price increases (company guidance)
  • Highlighted productivity gains from the Genuit Business System and other cost efficiencies as key drivers of margin expansion in 2025 (company guidance)

Valuation Changes

  • The fair value estimate has fallen slightly, edging down from 4.58x to 4.51x. This reflects a modest reassessment of intrinsic value.
  • The discount rate has risen slightly, increasing from 9.17 percent to 9.22 percent. This contributes to the lower fair value estimate.
  • Revenue growth assumptions are effectively unchanged, remaining around 7.17 percent. This indicates no material shift in top line expectations.
  • Net profit margin assumptions are also effectively unchanged, holding close to 9.51 percent. This suggests stable profitability expectations.
  • The future P/E multiple has fallen slightly, moving from 21.52x to 21.21x. This indicates a marginally lower valuation multiple applied to future earnings.

Have other thoughts on Genuit Group?

Create your own narrative on this stock, and estimate its Fair Value using our Valuator tool.

Create Narrative

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.