Cencora, Inc.

WBAG:ABC Stock Report

Market Cap: €46.1b

Cencora Valuation

Is ABC 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 ABC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ABC (€237) is trading below our estimate of fair value (€667.85)

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

Key Valuation Metric

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

Key metric: As ABC is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for ABC. This is calculated by dividing ABC's market cap by their current earnings.
What is ABC's PE Ratio?
PE Ratio31.8x
EarningsUS$1.51b
Market CapUS$48.03b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for ABC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average23.3x
CAH Cardinal Health
23x7.7%US$29.5b
MCK McKesson
31.2x15.0%US$79.1b
601607 Shanghai Pharmaceuticals Holding
20x18.5%CN¥71.3b
000963 Huadong Medicine
19.1x13.2%CN¥61.4b
ABC Cencora
31.8x14.6%€48.0b

Price-To-Earnings vs Peers: ABC is expensive based on its Price-To-Earnings Ratio (31.8x) compared to the peer average (23.3x).

Price to Earnings Ratio vs Industry

How does ABC's PE Ratio compare vs other companies in the European Healthcare Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
ABC 31.8xIndustry Avg. 18.7xNo. of Companies10PE01020304050+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: ABC is expensive based on its Price-To-Earnings Ratio (31.8x) compared to the European Healthcare industry average (18.7x).

Price to Earnings Ratio vs Fair Ratio

What is ABC'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.

ABC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio31.8x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate ABC's Price-To-Earnings Fair Ratio for valuation analysis.

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 ABC forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€237.00
€252.41
+6.5%
7.9%€275.71€217.17n/a16
Nov ’25€216.85
€237.66
+9.6%
7.6%€265.07€198.57n/a16
Oct ’25€202.95
€234.01
+15.3%
7.5%€258.39€193.56n/a16
Sep ’25€214.80
€235.53
+9.6%
7.5%€257.96€193.24n/a16
Aug ’25€224.00
€241.85
+8.0%
7.7%€265.96€199.24n/a16
Jul ’25€208.95
€237.84
+13.8%
9.0%€260.15€180.25n/a16
Jun ’25€205.70
€236.41
+14.9%
9.3%€259.25€179.62n/a15
May ’25€223.85
€238.35
+6.5%
8.6%€261.88€181.45n/a16
Apr ’25€223.50
€227.64
+1.9%
10.4%€248.00€168.09n/a16
Mar ’25€219.05
€227.64
+3.9%
10.7%€248.83€168.65n/a15
Feb ’25€218.15
€215.95
-1.0%
12.6%€245.64€168.36n/a15
Jan ’25€184.02
€193.59
+5.2%
6.7%€214.88€160.93n/a14
Dec ’24€187.62
€195.09
+4.0%
6.3%€208.24€164.35n/a13
Nov ’24€178.70
€195.81
+9.6%
8.4%€212.60€153.07€216.8513
Oct ’24€171.96
€193.01
+12.2%
8.1%€210.58€151.62€202.9513
Sep ’24€162.38
€189.25
+16.5%
7.9%€206.35€148.57€214.8014
Aug ’24€171.48
€176.69
+3.0%
8.9%€193.21€135.16€224.0014
Jul ’24€175.66
€171.06
-2.6%
8.1%€190.13€136.20€208.9515
Jun ’24€160.88
€171.56
+6.6%
7.6%€190.73€137.29€205.7015
May ’24€151.00
€167.08
+10.6%
7.1%€188.74€137.18€223.8515
Apr ’24€146.90
€167.05
+13.7%
6.9%€185.30€137.36€223.5015
Mar ’24€146.28
€170.56
+16.6%
7.2%€188.76€139.93€219.0513
Feb ’24€151.82
€164.92
+8.6%
7.9%€182.97€135.63€218.1512
Jan ’24€152.06
€166.55
+9.5%
7.0%€183.67€139.40€184.0211
Dec ’23n/a
€171.74
0%
6.2%€188.72€150.01€187.6211
Nov ’23n/a
€175.02
0%
6.4%€193.79€157.26€178.7012

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

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