Baby Bunting Group Limited

ASX:BBN Stock Report

Market Cap: AU$228.6m

Baby Bunting Group Valuation

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

Below Fair Value: BBN (A$1.7) is trading below our estimate of fair value (A$6.51)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for BBN. This is calculated by dividing BBN's market cap by their current earnings.
What is BBN's PE Ratio?
PE Ratio45.7x
EarningsAU$5.00m
Market CapAU$228.57m

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for BBN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average21.5x
SSG Shaver Shop Group
11.6x7.6%AU$174.2m
ABY Adore Beauty Group
43.2xn/aAU$92.1m
DSK Dusk Group
17.5x29.7%AU$78.5m
SUL Super Retail Group
13.8x2.9%AU$3.4b
BBN Baby Bunting Group
45.7x45.4%AU$228.6m

Price-To-Earnings vs Peers: BBN is expensive based on its Price-To-Earnings Ratio (45.7x) compared to the peer average (21.5x).

Price to Earnings Ratio vs Industry

How does BBN's PE Ratio compare vs other companies in the AU Specialty Retail Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
BBN 45.7xIndustry Avg. 18.4xNo. of Companies3PE01020304050+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: BBN is expensive based on its Price-To-Earnings Ratio (45.7x) compared to the Australian Specialty Retail industry average (18.4x).

Price to Earnings Ratio vs Fair Ratio

What is BBN'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.

BBN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio45.7x
Fair PE Ratio28.6x

Price-To-Earnings vs Fair Ratio: BBN is expensive based on its Price-To-Earnings Ratio (45.7x) compared to the estimated Fair Price-To-Earnings Ratio (28.6x).

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 BBN forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentAU$1.70
AU$1.91
+12.4%
11.4%AU$2.20AU$1.60n/a7
Nov ’25AU$1.78
AU$1.91
+7.7%
11.4%AU$2.20AU$1.60n/a7
Oct ’25AU$1.81
AU$1.89
+4.6%
17.8%AU$2.65AU$1.60n/a8
Sep ’25AU$1.64
AU$1.89
+15.1%
17.8%AU$2.65AU$1.60n/a8
Aug ’25AU$1.35
AU$1.82
+35.1%
19.2%AU$2.65AU$1.40n/a8
Jul ’25AU$1.53
AU$1.85
+20.8%
18.4%AU$2.65AU$1.40n/a8
Jun ’25AU$1.38
AU$1.72
+24.5%
21.8%AU$2.65AU$1.40n/a8
May ’25AU$1.80
AU$2.10
+16.7%
15.1%AU$2.65AU$1.70n/a7
Apr ’25AU$2.10
AU$2.04
-2.7%
14.4%AU$2.65AU$1.70n/a7
Mar ’25AU$1.62
AU$1.74
+7.6%
17.9%AU$2.00AU$1.06n/a7
Feb ’25AU$1.52
AU$1.96
+28.8%
8.0%AU$2.15AU$1.75n/a6
Jan ’25AU$2.00
AU$2.22
+11.1%
10.9%AU$2.50AU$1.88n/a6
Dec ’24AU$1.64
AU$2.43
+48.3%
23.2%AU$3.70AU$1.88n/a7
Nov ’24AU$1.69
AU$2.43
+44.0%
23.2%AU$3.70AU$1.88AU$1.787
Oct ’24AU$2.12
AU$2.45
+15.4%
22.3%AU$3.70AU$1.88AU$1.817
Sep ’24AU$2.20
AU$2.45
+11.2%
22.3%AU$3.70AU$1.88AU$1.647
Aug ’24AU$2.02
AU$1.94
-3.8%
39.8%AU$3.70AU$1.10AU$1.357
Jul ’24AU$1.38
AU$1.87
+36.1%
41.6%AU$3.70AU$1.10AU$1.537
Jun ’24AU$1.80
AU$2.81
+56.3%
18.0%AU$3.70AU$2.40AU$1.387
May ’24AU$2.20
AU$2.67
+21.2%
14.4%AU$3.50AU$2.40AU$1.806
Apr ’24AU$2.00
AU$2.66
+33.0%
15.8%AU$3.50AU$2.40AU$2.105
Mar ’24AU$2.15
AU$2.96
+37.5%
25.9%AU$4.44AU$2.40AU$1.626
Feb ’24AU$2.74
AU$3.38
+23.4%
18.6%AU$4.44AU$2.80AU$1.526
Jan ’24AU$2.71
AU$3.92
+44.6%
18.5%AU$4.75AU$2.80AU$2.006
Dec ’23AU$2.60
AU$3.92
+50.7%
18.5%AU$4.75AU$2.80AU$1.646
Nov ’23AU$2.82
AU$4.28
+51.7%
14.1%AU$4.95AU$3.32AU$1.696

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

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