ARB Corporation Limited

DB:A7W Stock Report

Market Cap: €1.9b

ARB Valuation

Is A7W undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • 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 A7W when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
€19.55
Fair Value
13.2% overvalued intrinsic discount
14
Number of Analysts

Below Fair Value: A7W (€22.14) is trading above our estimate of fair value (€19.55)

Significantly Below Fair Value: A7W is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for A7W?

Key metric: As A7W is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for A7W. This is calculated by dividing A7W's market cap by their current earnings.
What is A7W's PE Ratio?
PE Ratio30x
EarningsAU$102.68m
Market CapAU$3.08b

Price to Earnings Ratio vs Peers

How does A7W's PE Ratio compare to its peers?

The above table shows the PE ratio for A7W vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average20.3x
SHA0 Schaeffler
27.7x65.0%€4.0b
SFQ SAF-Holland
9.5x12.1%€736.3m
HLE HELLA GmbH KGaA
30.7x12.7%€10.1b
CON Continental
13.2x22.7%€13.2b
A7W ARB
30x8.5%€3.1b

Price-To-Earnings vs Peers: A7W is expensive based on its Price-To-Earnings Ratio (30x) compared to the peer average (20.3x).

Price to Earnings Ratio vs Industry

How does A7W's PE Ratio compare vs other companies in the European Auto Components Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
A7W 30.0xIndustry Avg. 10.6xNo. of Companies9PE01020304050+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: A7W is expensive based on its Price-To-Earnings Ratio (30x) compared to the European Auto Components industry average (10.5x).

Price to Earnings Ratio vs Fair Ratio

What is A7W'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.

A7W PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio30x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate A7W'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 A7W forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€22.14
€24.36
+10.0%
17.6%€30.37€16.31n/a14
Feb ’26€23.09
€24.55
+6.3%
17.1%€30.41€16.33n/a14
Jan ’26€23.99
€24.94
+4.0%
17.2%€30.85€16.57n/a14
Dec ’25€25.60
€24.94
-2.6%
17.2%€30.85€16.57n/a14
Nov ’25€24.45
€24.89
+1.8%
17.2%€30.75€16.52n/a14
Oct ’25n/a
€24.30
0%
16.5%€29.69€16.08n/a13
Sep ’25n/a
€23.13
0%
16.4%€29.02€15.72n/a14
Aug ’25n/a
€22.21
0%
14.0%€26.86€15.73n/a14
Jul ’25n/a
€22.60
0%
14.5%€27.43€16.07n/a13
Jun ’25n/a
€22.66
0%
14.9%€27.34€16.01n/a12
May ’25n/a
€21.81
0%
16.1%€27.57€15.69n/a11
Apr ’25n/a
€21.83
0%
16.5%€27.63€15.72n/a10
Mar ’25n/a
€21.51
0%
17.3%€27.56€15.68n/a10
Feb ’25n/a
€18.74
0%
12.0%€21.76€14.81€23.099
Jan ’25n/a
€18.61
0%
12.0%€21.61€14.71€23.999
Dec ’24n/a
€18.61
0%
12.0%€21.61€14.71€25.609
Nov ’24n/a
€18.61
0%
12.0%€21.61€14.71€24.459
Oct ’24n/a
€17.88
0%
13.6%€21.69€14.70n/a9
Sep ’24n/a
€17.62
0%
12.9%€21.37€14.48n/a10
Aug ’24n/a
€17.50
0%
11.7%€20.64€14.57n/a10
Jul ’24n/a
€18.43
0%
11.3%€21.04€14.85n/a9
Jun ’24n/a
€18.64
0%
8.8%€20.66€14.89n/a9
May ’24n/a
€20.03
0%
10.2%€22.57€15.62n/a8
Apr ’24n/a
€20.03
0%
10.2%€22.57€15.62n/a8
Mar ’24n/a
€20.03
0%
10.2%€22.57€15.62n/a8
Feb ’24n/a
€20.27
0%
14.4%€25.42€15.22n/a8
Analyst Price Target
Consensus Narrative from 14 Analysts
€24.03
Fair Value
7.9% undervalued intrinsic discount
14
Number of Analysts

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

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/02/11 11:45
End of Day Share Price 2025/02/11 00:00
Earnings2024/06/30
Annual Earnings2024/06/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

ARB Corporation Limited is covered by 23 analysts. 14 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Andrew HodgeCanaccord Genuity
Matthew NicholasCGS International
Sam TeegerCitigroup Inc