ABB Ltd

SWX:ABBN Stock Report

Market Cap: CHF92.2b

ABB Valuation

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

Valuation Score

1/6

Valuation Score 1/6

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

Below Fair Value: ABBN (CHF49.89) is trading above our estimate of fair value (CHF49.33)

Significantly Below Fair Value: ABBN is trading above our estimate of fair value.

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

ABBN key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue3.3x
Enterprise Value/EBITDA19.1x
PEG Ratio3.3x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for ABBN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average25.4x
HUBN Huber+Suhner
20.6x10.1%CHF1.3b
PMN Phoenix Mecano
10.7x-3.0%CHF462.2m
ROL Von Roll Holding
42.3xn/aCHF287.3m
SCHN Schindler Holding
28x5.4%CHF25.0b
ABBN ABB
28.5x8.8%CHF92.2b

Price-To-Earnings vs Peers: ABBN is expensive based on its Price-To-Earnings Ratio (28.5x) compared to the peer average (25.4x).

Price to Earnings Ratio vs Industry

How does ABBN's PE Ratio compare vs other companies in the European Electrical Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a16.6%
 n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a16.6%
 n/an/an/a
No more companies

Price-To-Earnings vs Industry: ABBN is expensive based on its Price-To-Earnings Ratio (28.5x) compared to the European Electrical industry average (18.8x).

Price to Earnings Ratio vs Fair Ratio

What is ABBN'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.

ABBN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio28.5x
Fair PE Ratio30.5x

Price-To-Earnings vs Fair Ratio: ABBN is good value based on its Price-To-Earnings Ratio (28.5x) compared to the estimated Fair Price-To-Earnings Ratio (30.5x).

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 ABBN forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCHF49.89
CHF42.40
-15.0%
9.8%CHF50.24CHF34.48n/a19
Jun ’25CHF49.40
CHF43.01
-12.9%
9.4%CHF51.19CHF35.13n/a19
May ’25CHF44.89
CHF41.86
-6.7%
10.3%CHF51.45CHF35.20n/a19
Apr ’25CHF41.89
CHF39.77
-5.1%
9.8%CHF46.75CHF32.36n/a19
Mar ’25CHF40.74
CHF37.68
-7.5%
12.7%CHF45.54CHF27.98n/a20
Feb ’25CHF37.30
CHF36.75
-1.5%
12.1%CHF44.96CHF27.97n/a20
Jan ’25CHF37.30
CHF34.71
-7.0%
12.7%CHF42.18CHF26.34n/a20
Dec ’24CHF35.18
CHF34.82
-1.0%
12.7%CHF43.59CHF27.22n/a20
Nov ’24CHF30.49
CHF35.28
+15.7%
13.9%CHF47.50CHF27.97n/a20
Oct ’24CHF32.80
CHF36.70
+11.9%
12.6%CHF51.08CHF29.63n/a21
Sep ’24CHF33.31
CHF35.43
+6.4%
12.7%CHF49.89CHF28.43n/a22
Aug ’24CHF34.86
CHF34.99
+0.4%
11.4%CHF45.97CHF28.33n/a22
Jul ’24CHF35.18
CHF33.92
-3.6%
13.0%CHF47.01CHF28.14n/a21
Jun ’24CHF33.52
CHF33.82
+0.9%
13.6%CHF48.02CHF28.60CHF49.4022
May ’24CHF32.12
CHF32.66
+1.7%
11.7%CHF40.53CHF26.88CHF44.8921
Apr ’24CHF31.37
CHF31.90
+1.7%
12.5%CHF40.23CHF26.63CHF41.8920
Mar ’24CHF31.47
CHF31.93
+1.5%
12.6%CHF39.00CHF25.47CHF40.7420
Feb ’24CHF31.97
CHF30.70
-4.0%
14.0%CHF40.32CHF23.45CHF37.3020
Jan ’24CHF28.06
CHF28.41
+1.2%
13.3%CHF39.72CHF23.64CHF37.3020
Dec ’23CHF29.54
CHF28.92
-2.1%
12.2%CHF37.98CHF24.09CHF35.1821
Nov ’23CHF27.99
CHF30.31
+8.3%
13.2%CHF40.19CHF25.94CHF30.4921
Oct ’23CHF25.80
CHF32.54
+26.1%
14.0%CHF41.59CHF26.69CHF32.8021
Sep ’23CHF26.48
CHF32.56
+23.0%
13.7%CHF41.39CHF26.55CHF33.3121
Aug ’23CHF28.77
CHF31.76
+10.4%
13.4%CHF40.05CHF25.70CHF34.8621
Jul ’23CHF25.25
CHF33.56
+32.9%
11.6%CHF40.46CHF26.15CHF35.1821
Jun ’23CHF29.57
CHF34.39
+16.3%
11.6%CHF40.61CHF26.25CHF33.5220

Analyst Forecast: Target price is lower than the current share price.

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