Update shared on 28 Oct 2025
Fair value Decreased 8.13%Analysts have lowered their price target for RWS Holdings from £2.05 to £1.88. They cite a more cautious outlook on revenue growth and profit margins, while discount rates and projected P/E ratios remain largely stable.
What's in the News
- RWS Holdings issued earnings guidance for the full year ended 30 September 2025, expecting organic revenue to remain broadly flat and reported revenues to decline by about 4% to £690 million compared to the previous year (£718.2 million) (Company Guidance).
- Stephen Lamb has been appointed as the incoming Chief Financial Officer. He is anticipated to start in the first quarter of 2026 and brings 25 years of experience from high-growth, listed international business services companies (Company Announcement).
- Current CFO Candida Davies will step down as Chief Financial Officer and Executive Director by the end of 2025. She will stay on to support the transition and the reporting of full year results (Company Announcement).
Valuation Changes
- The consensus analyst price target has decreased from £2.05 to £1.88, reflecting a more cautious outlook.
- The discount rate remains effectively unchanged, moving marginally from 7.77% to 7.76%.
- Revenue growth projections have fallen significantly, from 2.44% to 1.14%.
- Net profit margin estimates have dipped slightly, down from 4.01% to 3.81%.
- The future P/E ratio is largely stable, with a minimal increase from 31.02x to 31.07x.
Disclaimer
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