Neuren Pharmaceuticals Limited

ASX:NEU Stock Report

Market Cap: AU$1.7b

Neuren Pharmaceuticals Valuation

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

Valuation Score

5/6

Valuation Score 5/6

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

Below Fair Value: NEU (A$12.43) is trading below our estimate of fair value (A$20.56)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for NEU. This is calculated by dividing NEU's market cap by their current earnings.
What is NEU's PE Ratio?
PE Ratio13.5x
EarningsAU$117.29m
Market CapAU$1.75b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for NEU vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average47.7x
VLS Vita Life Sciences
12.3xn/aAU$117.7m
VIT Vitura Health
16.1xn/aAU$56.4m
ECS ECS Botanics Holdings
11.4xn/aAU$21.9m
TLX Telix Pharmaceuticals
151.1x38.3%AU$7.7b
NEU Neuren Pharmaceuticals
13.5x-9.9%AU$1.7b

Price-To-Earnings vs Peers: NEU is good value based on its Price-To-Earnings Ratio (13.5x) compared to the peer average (47.7x).

Price to Earnings Ratio vs Industry

How does NEU's PE Ratio compare vs other companies in the Global Pharmaceuticals Industry?

27 CompaniesPrice / EarningsEstimated GrowthMarket Cap
NEU 13.5xIndustry Avg. 22.8xNo. of Companies77PE01632486480+
27 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: NEU is good value based on its Price-To-Earnings Ratio (13.5x) compared to the Global Pharmaceuticals industry average (22.8x).

Price to Earnings Ratio vs Fair Ratio

What is NEU'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.

NEU PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio13.5x
Fair PE Ratio14x

Price-To-Earnings vs Fair Ratio: NEU is good value based on its Price-To-Earnings Ratio (13.5x) compared to the estimated Fair Price-To-Earnings Ratio (14x).

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 NEU forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentAU$12.43
AU$26.21
+110.9%
16.4%AU$30.94AU$19.00n/a6
Nov ’25AU$12.25
AU$26.56
+116.8%
11.4%AU$29.90AU$22.90n/a6
Oct ’25AU$15.13
AU$26.56
+75.5%
11.4%AU$29.90AU$22.90n/a6
Sep ’25AU$15.59
AU$26.56
+70.4%
11.4%AU$29.90AU$22.90n/a6
Aug ’25AU$19.19
AU$28.68
+49.5%
8.1%AU$31.40AU$25.00n/a6
Jul ’25AU$20.21
AU$28.56
+41.3%
7.7%AU$31.00AU$25.00n/a6
Jun ’25AU$21.64
AU$28.56
+32.0%
7.7%AU$31.00AU$25.00n/a6
May ’25AU$19.06
AU$26.74
+40.3%
9.7%AU$31.00AU$22.80n/a5
Apr ’25AU$21.22
AU$26.74
+26.0%
9.7%AU$31.00AU$22.80n/a5
Mar ’25AU$19.71
AU$26.74
+35.6%
9.7%AU$31.00AU$22.80n/a5
Feb ’25AU$23.04
AU$26.68
+15.8%
5.2%AU$28.10AU$24.40n/a4
Jan ’25AU$24.97
AU$26.43
+5.9%
4.5%AU$27.23AU$24.40n/a4
Dec ’24AU$16.09
AU$20.15
+25.2%
9.3%AU$22.79AU$17.50n/a4
Nov ’24AU$10.94
AU$19.14
+75.0%
9.5%AU$22.21AU$17.50AU$12.254
Oct ’24AU$11.06
AU$16.66
+50.6%
31.4%AU$22.21AU$6.72AU$15.135
Sep ’24AU$11.76
AU$16.66
+41.6%
31.4%AU$22.21AU$6.72AU$15.595
Aug ’24AU$13.10
AU$16.16
+23.3%
31.7%AU$22.32AU$6.72AU$19.195
Jul ’24AU$12.25
AU$13.96
+14.0%
31.2%AU$18.29AU$6.72AU$20.215
Jun ’24AU$14.15
AU$13.92
-1.6%
31.5%AU$18.29AU$6.72AU$21.645
May ’24AU$13.80
AU$13.36
-3.2%
31.4%AU$18.29AU$6.72AU$19.065
Apr ’24AU$13.50
AU$13.36
-1.1%
31.4%AU$18.29AU$6.72AU$21.225
Mar ’24AU$7.50
AU$8.23
+9.8%
7.2%AU$8.70AU$7.40AU$19.713
Feb ’24AU$7.65
AU$8.03
+5.0%
6.1%AU$8.60AU$7.40AU$23.043
Jan ’24AU$7.95
AU$7.83
-1.5%
9.7%AU$8.60AU$6.80AU$24.973
Dec ’23AU$7.71
AU$7.83
+1.6%
9.7%AU$8.60AU$6.80AU$16.093
Nov ’23AU$7.55
AU$7.83
+3.8%
9.7%AU$8.60AU$6.80AU$10.943

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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