Montea (ENXTBR:MONT): Assessing Valuation After Higher Sales and Lower Profits in Latest Earnings

Montea Comm. VA (ENXTBR:MONT) just announced its earnings for the first nine months of 2025, showing higher sales compared to last year, but both net income and earnings per share declined.

See our latest analysis for Montea Comm. VA.

Despite Montea Comm. VA’s mixed nine-month results, investor sentiment has shown resilience, with the share price rising 12.2% year-to-date and the one-year total shareholder return reaching a solid 14.3%. While long-term three-year returns remain positive, the five-year total return is still in negative territory. This suggests that momentum has improved lately, but the company is still working to recover from earlier declines.

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With higher sales but shrinking profits, the latest results raise an important question for investors: is Montea now trading below its true worth, or is the market already anticipating stronger future growth?

Price-to-Earnings of 9.9x: Is it justified?

Montea Comm. VA is trading at a price-to-earnings (P/E) ratio of 9.9x, which is notably low compared to both its industry and market peers. With the last close price at €70.7, investors should pay attention to how this valuation compares within the broader landscape.

The price-to-earnings ratio shows how much investors are willing to pay today for each euro of the company's earnings. For real estate investment trusts like Montea, a lower P/E can indicate the market is factoring in lower earnings or growth expectations, or that the stock offers a value opportunity relative to its profit potential.

In this case, Montea's P/E of 9.9x is significantly below the Global Industrial REITs industry average of 16.8x. It also trails the peer average of 10.6x and the Belgian market average of 14.6x. The estimated fair P/E for Montea is 13.1x, which suggests there may be potential for upward re-rating if the market reassesses the company’s prospects.

Explore the SWS fair ratio for Montea Comm. VA

Result: Price-to-Earnings of 9.9x (UNDERVALUED)

However, investors should remain mindful that any slowdown in revenue growth or unexpected earnings pressures could quickly dampen the current optimism.

Find out about the key risks to this Montea Comm. VA narrative.

Another View: What Does Our DCF Model Say?

Taking a different approach, our SWS DCF model suggests a more cautious picture. According to this method, Montea is trading above its estimated fair value of €61.55, which could indicate possible overvaluation. Could the market be ignoring risks, or will future growth justify the current price?

Look into how the SWS DCF model arrives at its fair value.

Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Montea Comm. VA for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 865 undervalued stocks based on their cash flows. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity.

Build Your Own Montea Comm. VA Narrative

If you want to interpret the numbers differently or dive into your own analysis, you can easily craft your own perspective in just minutes. Do it your way

A great starting point for your Montea Comm. VA research is our analysis highlighting 4 key rewards and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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