Ibstock plc

LSE:IBST Stock Report

Market Cap: UK£735.0m

Ibstock Valuation

Is IBST undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of IBST when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: IBST (£1.87) is trading below our estimate of fair value (£4.58)

Significantly Below Fair Value: IBST is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for IBST?

Other financial metrics that can be useful for relative valuation.

IBST key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2.5x
Enterprise Value/EBITDA12.9x
PEG Ratio1.8x

Price to Earnings Ratio vs Peers

How does IBST's PE Ratio compare to its peers?

The above table shows the PE ratio for IBST vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average27.8x
MSLH Marshalls
39.1x28.1%UK£845.2m
FORT Forterra
46.1x42.7%UK£369.1m
BREE Breedon Group
15.4x14.0%UK£1.5b
RHIM RHI Magnesita
10.5x11.1%UK£1.6b
IBST Ibstock
101.4x56.9%UK£735.0m

Price-To-Earnings vs Peers: IBST is expensive based on its Price-To-Earnings Ratio (101.4x) compared to the peer average (27.8x).

Price to Earnings Ratio vs Industry

How does IBST's PE Ratio compare vs other companies in the European Basic Materials Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a29.5%
 n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a29.5%
 n/an/an/a
No more companies

Price-To-Earnings vs Industry: IBST is expensive based on its Price-To-Earnings Ratio (101.4x) compared to the European Basic Materials industry average (12.4x).

Price to Earnings Ratio vs Fair Ratio

What is IBST's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

IBST PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio101.4x
Fair PE Ratio37.9x

Price-To-Earnings vs Fair Ratio: IBST is expensive based on its Price-To-Earnings Ratio (101.4x) compared to the estimated Fair Price-To-Earnings Ratio (37.9x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst IBST forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£1.87
UK£1.98
+5.6%
6.2%UK£2.15UK£1.73n/a9
Sep ’25UK£1.84
UK£1.93
+4.9%
9.5%UK£2.15UK£1.55n/a9
Aug ’25UK£1.85
UK£1.80
-2.7%
12.8%UK£2.15UK£1.50n/a9
Jul ’25UK£1.55
UK£1.64
+6.3%
10.6%UK£2.00UK£1.50n/a8
Jun ’25UK£1.60
UK£1.62
+1.4%
12.0%UK£2.00UK£1.40n/a8
May ’25UK£1.47
UK£1.62
+9.7%
12.3%UK£2.00UK£1.40n/a8
Apr ’25UK£1.51
UK£1.62
+7.2%
12.3%UK£2.00UK£1.40n/a8
Mar ’25UK£1.64
UK£1.57
-4.6%
12.4%UK£2.00UK£1.35n/a8
Feb ’25UK£1.52
UK£1.57
+3.3%
12.4%UK£2.00UK£1.35n/a8
Jan ’25UK£1.52
UK£1.57
+3.8%
14.6%UK£2.00UK£1.30n/a8
Dec ’24UK£1.33
UK£1.53
+15.8%
16.8%UK£2.00UK£1.27n/a8
Nov ’24UK£1.22
UK£1.57
+28.0%
20.5%UK£2.25UK£1.27n/a8
Oct ’24UK£1.43
UK£1.83
+28.4%
14.7%UK£2.30UK£1.50n/a9
Sep ’24UK£1.48
UK£1.85
+25.1%
15.1%UK£2.30UK£1.50UK£1.849
Aug ’24UK£1.52
UK£1.82
+19.9%
16.9%UK£2.35UK£1.45UK£1.8510
Jul ’24UK£1.40
UK£1.87
+33.8%
17.2%UK£2.35UK£1.50UK£1.5510
Jun ’24UK£1.62
UK£1.90
+17.3%
15.4%UK£2.35UK£1.55UK£1.6010
May ’24UK£1.70
UK£1.90
+11.8%
15.7%UK£2.35UK£1.50UK£1.4710
Apr ’24UK£1.73
UK£1.89
+9.3%
16.8%UK£2.35UK£1.50UK£1.519
Mar ’24UK£1.67
UK£1.77
+6.2%
14.5%UK£2.30UK£1.40UK£1.649
Feb ’24UK£1.71
UK£1.77
+3.8%
14.5%UK£2.30UK£1.40UK£1.529
Jan ’24UK£1.55
UK£1.83
+18.4%
15.1%UK£2.30UK£1.40UK£1.528
Dec ’23UK£1.61
UK£1.90
+18.0%
12.3%UK£2.30UK£1.58UK£1.337
Nov ’23UK£1.55
UK£1.94
+24.6%
12.4%UK£2.30UK£1.58UK£1.228
Oct ’23UK£1.64
UK£2.18
+32.6%
13.3%UK£2.65UK£1.80UK£1.438
Sep ’23UK£1.84
UK£2.21
+19.8%
12.0%UK£2.65UK£1.82UK£1.488

Analyst Forecast: Target price is less than 20% higher than the current share price.

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