Retail Estates Valuation

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

Valuation Score

4/6

Valuation Score 4/6

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

Below Fair Value: RET (€58.3) is trading below our estimate of fair value (€98.93)

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for RET. This is calculated by dividing RET's market cap by their current earnings.
What is RET's PE Ratio?
PE Ratio11x
Earnings€78.21m
Market Cap€857.44m

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for RET vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average9.7x
WEHB Wereldhave Belgium
5.4xn/a€411.4m
ASCE Ascencio
13.8x18.1%€297.8m
VASTB Vastned Belgium
12.3xn/a€149.8m
QRF Qrf Comm. VA
7.2x-10.4%€80.7m
RET Retail Estates
11xn/a€857.4m

Price-To-Earnings vs Peers: RET is expensive based on its Price-To-Earnings Ratio (11x) compared to the peer average (9.7x).


Price to Earnings Ratio vs Industry

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

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
RET 11.0xIndustry Avg. 22.5xNo. of Companies4PE01632486480+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: RET is good value based on its Price-To-Earnings Ratio (11x) compared to the European Retail REITs industry average (22.1x).


Price to Earnings Ratio vs Fair Ratio

What is RET'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.

RET PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio11x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate RET's Price-To-Earnings Fair Ratio for valuation analysis.


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 RET forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€58.30
€74.00
+26.9%
3.8%€76.00€70.00n/a3
Nov ’25€62.00
€75.33
+21.5%
1.3%€76.00€74.00n/a3
Oct ’25€66.10
€74.50
+12.7%
1.4%€76.00€73.50n/a3
Sep ’25€64.80
€74.50
+15.0%
1.4%€76.00€73.50n/a3
Aug ’25€62.30
€74.50
+19.6%
1.4%€76.00€73.50n/a3
Jul ’25€61.70
€74.50
+20.7%
1.4%€76.00€73.50n/a3
Jun ’25€65.10
€74.50
+14.4%
1.4%€76.00€73.50n/a3
May ’25€65.60
€73.83
+12.6%
2.2%€76.00€72.00n/a3
Apr ’25€65.00
€73.83
+13.6%
2.2%€76.00€72.00n/a3
Mar ’25€58.80
€73.83
+25.6%
2.2%€76.00€72.00n/a3
Feb ’25€59.90
€73.83
+23.3%
2.2%€76.00€72.00n/a3
Jan ’25€64.60
€72.50
+12.2%
4.6%€76.00€68.00n/a3
Dec ’24€64.00
€71.67
+12.0%
4.6%€76.00€68.00n/a3
Nov ’24€57.20
€71.67
+25.3%
4.6%€76.00€68.00€62.003
Oct ’24€56.70
€71.67
+26.4%
4.6%€76.00€68.00€66.103
Sep ’24€57.00
€71.67
+25.7%
4.6%€76.00€68.00€64.803
Aug ’24€59.00
€71.67
+21.5%
4.6%€76.00€68.00€62.303
Jul ’24€59.30
€72.50
+22.3%
6.2%€77.00€68.00€61.702
Jun ’24€65.10
€72.50
+11.4%
6.2%€77.00€68.00€65.102
Dec ’23€60.20
€72.00
+19.6%
5.6%€76.00€68.00€64.002
Nov ’23€61.00
€72.00
+18.0%
5.6%€76.00€68.00€57.202

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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