Worley Limited

ASX:WOR Stock Report

Market Cap: AU$7.5b

Worley Valuation

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

Valuation Score

4/6

Valuation Score 4/6

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

Below Fair Value: WOR (A$13.99) is trading below our estimate of fair value (A$29.21)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for WOR. This is calculated by dividing WOR's market cap by their current earnings.
What is WOR's PE Ratio?
PE Ratio24.4x
EarningsAU$303.00m
Market CapAU$7.49b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for WOR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average20.3x
VNT Ventia Services Group
19.3x8.0%AU$3.9b
NWH NRW Holdings
17.1x11.0%AU$1.8b
MND Monadelphous Group
19.8x8.2%AU$1.2b
JLG Johns Lyng Group
25x11.9%AU$1.2b
WOR Worley
24.4x15.1%AU$7.5b

Price-To-Earnings vs Peers: WOR is expensive based on its Price-To-Earnings Ratio (24.4x) compared to the peer average (20.3x).

Price to Earnings Ratio vs Industry

How does WOR's PE Ratio compare vs other companies in the AU Construction Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
WOR 24.4xIndustry Avg. 15.0xNo. of Companies3PE0816243240+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: WOR is expensive based on its Price-To-Earnings Ratio (24.4x) compared to the Global Construction industry average (15x).

Price to Earnings Ratio vs Fair Ratio

What is WOR'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.

WOR PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio24.4x
Fair PE Ratio26.7x

Price-To-Earnings vs Fair Ratio: WOR is good value based on its Price-To-Earnings Ratio (24.4x) compared to the estimated Fair Price-To-Earnings Ratio (26.7x).

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 WOR forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentAU$13.99
AU$17.64
+26.1%
11.5%AU$22.00AU$13.50n/a11
Nov ’25AU$13.82
AU$17.64
+27.6%
11.5%AU$22.00AU$13.50n/a11
Oct ’25AU$14.62
AU$17.30
+18.3%
12.7%AU$22.00AU$13.50n/a12
Sep ’25AU$15.23
AU$17.30
+13.6%
12.7%AU$22.00AU$13.50n/a12
Aug ’25AU$15.29
AU$17.55
+14.8%
12.8%AU$22.00AU$13.50n/a12
Jul ’25AU$14.88
AU$17.49
+17.6%
13.3%AU$22.00AU$13.25n/a12
Jun ’25AU$14.65
AU$17.61
+20.2%
13.3%AU$22.00AU$13.25n/a12
May ’25AU$14.87
AU$17.67
+18.9%
13.9%AU$22.00AU$13.25n/a11
Apr ’25AU$16.75
AU$17.70
+5.6%
14.3%AU$22.00AU$13.25n/a11
Mar ’25AU$17.43
AU$17.70
+1.5%
14.3%AU$22.00AU$13.25n/a11
Feb ’25AU$14.44
AU$18.14
+25.6%
14.9%AU$22.50AU$13.25n/a10
Jan ’25AU$17.46
AU$18.53
+6.1%
16.4%AU$22.50AU$13.00n/a10
Dec ’24AU$16.95
AU$18.51
+9.2%
16.6%AU$22.50AU$13.00n/a10
Nov ’24AU$16.45
AU$18.31
+11.3%
15.7%AU$22.00AU$13.00AU$13.8210
Oct ’24AU$17.41
AU$18.33
+5.3%
15.5%AU$22.00AU$13.00AU$14.6210
Sep ’24AU$17.26
AU$17.53
+1.5%
16.1%AU$20.50AU$13.00AU$15.2310
Aug ’24AU$17.49
AU$16.54
-5.5%
14.2%AU$20.50AU$12.60AU$15.2910
Jul ’24AU$15.79
AU$16.16
+2.4%
13.1%AU$18.90AU$12.60AU$14.8811
Jun ’24AU$16.45
AU$15.98
-2.9%
14.3%AU$18.90AU$12.00AU$14.6510
May ’24AU$15.29
AU$15.13
-1.1%
11.7%AU$17.50AU$12.00AU$14.879
Apr ’24AU$14.41
AU$15.01
+4.1%
13.8%AU$17.50AU$11.43AU$16.7511
Mar ’24AU$15.48
AU$14.71
-5.0%
16.4%AU$17.50AU$10.70AU$17.4311
Feb ’24AU$15.54
AU$14.05
-9.6%
14.5%AU$17.00AU$10.70AU$14.4411
Jan ’24AU$15.00
AU$14.03
-6.5%
14.3%AU$17.00AU$10.70AU$17.4611
Dec ’23AU$14.78
AU$13.98
-5.4%
14.4%AU$17.00AU$10.70AU$16.9511
Nov ’23AU$14.66
AU$13.98
-4.6%
14.4%AU$17.00AU$10.70AU$16.4511

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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