Recycling Initiatives And Vertical Integration Will Drive Future Profitability

AN

AnalystConsensusTarget

AnalystConsensusTarget

Not Invested

Based on Analyst Price Targets

Published

25 Jan 25

Updated

04 Dec 25

Views

29

n/a

n/a

AnalystConsensusTarget's Fair Value

n/a

1Y

1.3%

7D

-0.7%

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1Y

1.3%

7D

-0.7%

You can edit this narrative until Dec 5 8:10 PM. Then, changes will post as Updates.

Author's Valuation

UK£1.4325.0% undervalued

AnalystConsensusTarget Fair Value

Shared on 04 Dec 25

Fair value Increased 11%

AO.: Rising Margins And Buybacks Are Expected To Drive Stronger Returns

Analysts have raised their price target on AO World from approximately £1.30 to £1.43 per share. This reflects expectations for structurally higher profit margins that more than offset slightly slower projected revenue growth and a modestly higher discount rate.

Shared on 01 May 25

Fair value Decreased 4.78%

Shared on 23 Apr 25

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 17 Apr 25

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 09 Apr 25

AnalystConsensusTarget has increased revenue growth from 9.3% to 10.6%.

Shared on 02 Apr 25

Fair value Increased 3.03%

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 26 Mar 25

Fair value Increased 9.09%

AnalystConsensusTarget has increased revenue growth from 7.4% to 9.3%.

Shared on 19 Mar 25

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 12 Mar 25

Fair value Decreased 10%

AnalystConsensusTarget has decreased revenue growth from 9.5% to 7.4% and decreased future PE multiple from 22.4x to 19.1x.

AnalystConsensusTarget Fair Value

UK£1.43

25.0% undervalued

Future estimation in

Growth p.a.

Growth p.a.

%

Decrease

Increase

Current revenue growth rate

7.40%

Specialty Stores revenue growth rate

0.29%

Risk Level (Discount Rate)

Our default considers factors like the company's size, volatility, profitablity and country of operation.

%

0

Decrease

Increase

Current discount rate

8.97%

Calculation

UK£61.81m

Earnings '28

x

18.34x

PE Ratio '28

=

UK£1.13b

Market Cap '28

UK£1.13b

Market Cap '28

/

613.83m

No. shares '28

=

UK£1.85

Share Price '28

UK£1.85 Share Price '28

Discounted to 2025 @ 8.85% p.a.

=

UK£1.43

Fair Value '25