Vicinity Centres

CHIA:VCX Stock Report

Market Cap: AU$9.8b

Vicinity Centres Valuation

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

Below Fair Value: VCX (A$2.17) is trading below our estimate of fair value (A$2.86)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for VCX. This is calculated by dividing VCX's market cap by their current earnings.
What is VCX's PE Ratio?
PE Ratio17.9x
EarningsAU$547.10m
Market CapAU$9.79b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for VCX vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average57.6x
SCG Scentre Group
42.3x20.7%AU$18.4b
BWP BWP Trust
13.5x-3.8%AU$2.5b
RGN Region Group
143.2x21.3%AU$2.5b
HDN HomeCo Daily Needs REIT
31.3x20.0%AU$2.6b
VCX Vicinity Centres
17.9x6.3%AU$9.8b

Price-To-Earnings vs Peers: VCX is good value based on its Price-To-Earnings Ratio (17.9x) compared to the peer average (58.6x).

Price to Earnings Ratio vs Industry

How does VCX's PE Ratio compare vs other companies in the Global Retail REITs Industry?

6 CompaniesPrice / EarningsEstimated GrowthMarket Cap
VCX 17.9xIndustry Avg. 20.7xNo. of Companies13PE01224364860+
6 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: VCX is good value based on its Price-To-Earnings Ratio (17.9x) compared to the Global Retail REITs industry average (20.1x).

Price to Earnings Ratio vs Fair Ratio

What is VCX'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.

VCX PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio17.9x
Fair PE Ratio22.3x

Price-To-Earnings vs Fair Ratio: VCX is good value based on its Price-To-Earnings Ratio (17.9x) compared to the estimated Fair Price-To-Earnings Ratio (22.3x).

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 VCX forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentAU$2.17
AU$2.28
+4.9%
5.7%AU$2.50AU$2.04n/a9
Nov ’25AU$2.16
AU$2.28
+5.3%
5.7%AU$2.50AU$2.04n/a9
Oct ’25AU$2.25
AU$2.26
+0.3%
5.4%AU$2.50AU$2.04n/a10
Sep ’25AU$2.20
AU$2.18
-1.1%
7.7%AU$2.45AU$1.86n/a12
Aug ’25AU$2.10
AU$2.09
-0.4%
6.9%AU$2.35AU$1.86n/a12
Jul ’25AU$1.88
AU$2.09
+11.1%
6.6%AU$2.35AU$1.86n/a13
Jun ’25AU$1.94
AU$2.09
+8.0%
7.0%AU$2.40AU$1.86n/a13
May ’25AU$1.88
AU$2.10
+11.5%
6.6%AU$2.40AU$1.86n/a14
Apr ’25AU$2.14
AU$2.08
-2.7%
6.6%AU$2.40AU$1.86n/a14
Mar ’25AU$1.95
AU$2.08
+6.5%
6.4%AU$2.40AU$1.86n/a14
Feb ’25AU$2.01
AU$2.00
-0.4%
7.2%AU$2.40AU$1.79n/a13
Jan ’25AU$2.05
AU$1.94
-5.5%
8.0%AU$2.25AU$1.62n/a13
Dec ’24AU$1.85
AU$1.94
+4.7%
8.0%AU$2.25AU$1.62n/a13
Nov ’24AU$1.72
AU$1.94
+13.0%
8.0%AU$2.25AU$1.62AU$2.1613
Oct ’24AU$1.70
AU$2.03
+19.2%
5.5%AU$2.25AU$1.82AU$2.2513
Sep ’24AU$1.86
AU$2.03
+9.6%
5.4%AU$2.25AU$1.82AU$2.2014
Aug ’24AU$1.98
AU$2.02
+2.1%
6.4%AU$2.26AU$1.78AU$2.1014
Jul ’24AU$1.85
AU$2.05
+10.9%
6.3%AU$2.30AU$1.78AU$1.8814
Jun ’24AU$1.88
AU$2.06
+9.7%
5.5%AU$2.30AU$1.88AU$1.9414
May ’24AU$2.09
AU$2.07
-1.1%
5.6%AU$2.30AU$1.88AU$1.8813
Apr ’24AU$1.95
AU$2.07
+6.3%
5.6%AU$2.30AU$1.88AU$2.1413
Mar ’24AU$2.05
AU$2.06
+0.6%
5.7%AU$2.30AU$1.88AU$1.9514
Feb ’24AU$2.08
AU$2.01
-3.5%
5.5%AU$2.26AU$1.89AU$2.0114
Jan ’24AU$2.02
AU$1.97
-2.3%
5.8%AU$2.20AU$1.73AU$2.0515
Dec ’23AU$2.04
AU$1.97
-3.2%
5.8%AU$2.20AU$1.73AU$1.8515
Nov ’23AU$1.96
AU$1.99
+1.5%
6.2%AU$2.20AU$1.73AU$1.7215

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

Discover undervalued companies

Rural Funds Group

AU$738.5m

An agricultural Real Estate Investment Trust (REIT) listed on the ASX under the code RFF.

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1Y

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Vicinity Centres

AU$9.8b

Vicinity Centres (Vicinity or the Group) is one of Australia's leading retail property groups with a fully integrated asset management platform, and $24 billion in retail assets under management across 60 shopping centres, making it the second largest listed manager of Australian retail property.

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MGR

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