Update shared on 15 Dec 2025
Fair value Increased 2.56%Analysts have raised their price target on ERG by 0.50 to 20.00, citing slightly stronger expected revenue growth and a modestly lower discount rate, which more than offset a small reduction in projected profit margins.
Valuation Changes
- Fair Value: Raised slightly from €19.50 to €20.00 per share, reflecting a modest uplift in intrinsic valuation.
- Discount Rate: Fallen notably from 12.42 percent to 11.50 percent, lowering the hurdle rate applied to future cash flows.
- Revenue Growth: Risen marginally from 6.58 percent to 6.89 percent, indicating a slightly stronger top line outlook.
- Net Profit Margin: Eased slightly from 22.19 percent to 21.58 percent, incorporating more conservative profitability assumptions.
- Future P/E: Increased modestly from 19.94x to 20.23x, implying a small expansion in the valuation multiple applied to forward earnings.
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