REA Group Limited

CHIA:REA Stock Report

Market Cap: AU$22.4b

REA Group Valuation

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

Valuation Score

1/6

Valuation Score 1/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Future Cash Flow Value

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

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: REA (A$170.22) is trading above our estimate of future cash flow value (A$146.19)

Significantly Below Future Cash Flow Value: REA is trading above our estimate of future cash flow value.

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for REA. This is calculated by dividing REA's market cap by their current earnings.
What is REA's PE Ratio?
PE Ratio39.2x
EarningsAU$572.90m
Market CapAU$22.44b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for REA vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average23.7x
CAR CAR Group
31.6x14.12%AU$9.3b
HPG hipages Group Holdings
22.3x20.66%AU$113.1m
4689 LY
13x1.93%JP¥2.7t
PINS Pinterest
27.8x21.08%US$12.4b
REA REA Group
39.2x13.32%AU$22.4b

Price-To-Earnings vs Peers: REA is expensive based on its Price-To-Earnings Ratio (39.2x) compared to the peer average (23.7x).

Historical Price to Earnings Ratio

Historical Price to Earnings Ratio compares a stock's price to its earnings over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data

Price to Earnings Ratio vs Industry

How does REA's PE Ratio compare vs other companies in the Global Interactive Media and Services Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
REA 39.2xIndustry Avg. 18.9xNo. of Companies24PE01224364860+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: REA is expensive based on its Price-To-Earnings Ratio (39.2x) compared to the Global Interactive Media and Services industry average (18.9x).

Price to Earnings Ratio vs Fair Ratio

What is REA'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.

REA PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio39.2x
Fair PE Ratio32.6x

Price-To-Earnings vs Fair Ratio: REA is expensive based on its Price-To-Earnings Ratio (39.2x) compared to the estimated Fair Price-To-Earnings Ratio (32.6x).

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 REA forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentAU$170.22
AU$211.35
+24.16%
14.24%AU$253.00AU$126.00n/a15
Mar ’27AU$167.24
AU$212.09
+26.82%
13.24%AU$253.00AU$137.00n/a15
Feb ’27AU$190.72
AU$229.52
+20.34%
14.24%AU$290.00AU$137.00n/a15
Jan ’27AU$183.94
AU$241.56
+31.32%
15.01%AU$290.00AU$137.00n/a15
Dec ’26AU$193.49
AU$243.58
+25.89%
14.77%AU$290.00AU$137.00n/a16
Nov ’26AU$214.32
AU$254.13
+18.58%
14.62%AU$300.00AU$134.00n/a16
Oct ’26AU$228.99
AU$256.11
+11.84%
15.17%AU$300.00AU$134.00n/a15
Sep ’26AU$243.30
AU$256.31
+5.35%
15.16%AU$300.00AU$134.00n/a15
Aug ’26AU$232.89
AU$250.41
+7.52%
15.02%AU$290.00AU$130.00n/a15
Jul ’26AU$237.64
AU$250.07
+5.23%
15.25%AU$290.00AU$130.00n/a15
Jun ’26AU$240.45
AU$252.07
+4.83%
15.57%AU$290.00AU$130.00n/a15
May ’26AU$249.23
AU$252.67
+1.38%
15.93%AU$294.00AU$126.00n/a15
Apr ’26AU$223.58
AU$252.87
+13.10%
15.96%AU$294.00AU$126.00n/a15
Mar ’26AU$236.03
AU$251.01
+6.35%
16.29%AU$294.00AU$126.00AU$167.2415
Feb ’26AU$249.81
AU$233.70
-6.45%
16.14%AU$275.00AU$123.00AU$190.7215
Jan ’26AU$233.90
AU$229.37
-1.94%
15.77%AU$275.00AU$123.00AU$183.9415
Dec ’25AU$251.32
AU$229.37
-8.74%
15.77%AU$275.00AU$123.00AU$193.4915
Nov ’25AU$226.84
AU$216.93
-4.37%
15.65%AU$263.00AU$123.00AU$214.3215
Oct ’25AU$210.01
AU$200.71
-4.43%
16.45%AU$232.20AU$123.00AU$228.9915
Sep ’25AU$219.00
AU$200.11
-8.63%
16.33%AU$232.20AU$121.00AU$243.3016
Aug ’25AU$204.61
AU$192.34
-6.00%
16.39%AU$233.60AU$117.00AU$232.8916
Jul ’25AU$190.52
AU$186.59
-2.06%
15.14%AU$221.00AU$117.00AU$237.6416
Jun ’25AU$186.50
AU$184.82
-0.90%
14.55%AU$220.00AU$117.00AU$240.4516
May ’25AU$177.52
AU$174.87
-1.49%
13.55%AU$210.00AU$112.50AU$249.2316
Apr ’25AU$186.30
AU$171.84
-7.76%
14.14%AU$210.00AU$112.50AU$223.5816
Mar ’25AU$189.31
AU$170.78
-9.79%
13.93%AU$210.00AU$112.50AU$236.0316
AU$211.35
Fair Value
19.5% undervalued intrinsic discount
15
Number of Analysts

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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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/03/13 17:35
End of Day Share Price 2026/03/13 00:00
Earnings2025/12/31
Annual Earnings2025/06/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

REA Group Limited is covered by 30 analysts. 15 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Aryan NoroziBarrenjoey Markets Pty Limited
Eric ChoiBarrenjoey Markets Pty Limited
Michael ArdreyBell Potter