Update shared on05 Oct 2025
Fair value Increased 3.10%Analysts have revised their price target for Grupo México S.A.B. de C.V. upwards from MXN 130.60 to MXN 134.64. They cite updated revenue and margin forecasts, though they also note concerns over project delays and recent stock revaluation.
Analyst Commentary
Market experts have weighed in on Grupo México following recent updates, offering a spectrum of views on the company's prospects and valuation. Here are the highlights from their analysis:
Bullish Takeaways- Bullish analysts point to upward revisions in revenue and margin forecasts, supporting the case for sustained earnings growth in the near term.
- Improved operational efficiency and cost management are recognized as positive factors that could help preserve profitability.
- The company's strategic positioning in key markets continues to be regarded as a driver for long-term expansion.
- Some see recent revaluation as a sign of renewed investor confidence, which could potentially boost shareholder returns if performance targets are met.
- Goldman Sachs has downgraded the company to Neutral from Buy, highlighting concerns over delays at the Tia Maria project and the potential impact on 2027 and 2028 earnings.
- Bears argue that the recent sharp stock re-rating has brought valuations to less attractive levels, limiting further upside.
- Ongoing project execution risks and regulatory uncertainties are cited as factors that could dampen growth momentum.
- Some analysts caution that margin improvements may be vulnerable to macroeconomic headwinds and commodity price fluctuations.
Valuation Changes
- Consensus Analyst Price Target has risen slightly from MX$130.60 to MX$134.64, reflecting an improved outlook.
- Discount Rate increased modestly from 15.55% to 15.61%.
- Revenue Growth expectation is marginally higher, moving from 4.08% to 4.09%.
- Net Profit Margin edged down slightly from 26.18% to 26.17%.
- Future P/E declined sharply from 324x to 18.19x, indicating a substantial change in earnings valuation.
Disclaimer
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