Compagnie Générale des Établissements Michelin Société en commandite par actions

DB:MCHA Stock Report

Market Cap: €21.8b

Compagnie Générale des Établissements Michelin Société en commandite par actions Valuation

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

Below Fair Value: MCHA (€30.81) is trading below our estimate of fair value (€37.33)

Significantly Below Fair Value: MCHA is trading below fair value, but not by a significant amount.

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for MCHA. This is calculated by dividing MCHA's market cap by their current earnings.
What is MCHA's PE Ratio?
PE Ratio11.4x
Earnings€1.92b
Market Cap€21.81b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for MCHA vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average12.5x
CON Continental
12.4x23.4%€12.4b
HLE HELLA GmbH KGaA
29.2x17.1%€9.6b
VOW3 Volkswagen
3.3x9.6%€41.2b
BMW Bayerische Motoren Werke
5.3x3.9%€42.9b
MCHA Compagnie Générale des Établissements Michelin Société en commandite par actions
11.4x11.5%€21.8b

Price-To-Earnings vs Peers: MCHA is good value based on its Price-To-Earnings Ratio (11.4x) compared to the peer average (12.5x).

Price to Earnings Ratio vs Industry

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

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
MCHA 11.4xIndustry Avg. 8.9xNo. of Companies9PE0816243240+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: MCHA is expensive based on its Price-To-Earnings Ratio (11.4x) compared to the European Auto Components industry average (9x).

Price to Earnings Ratio vs Fair Ratio

What is MCHA'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.

MCHA PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio11.4x
Fair PE Ratio8.2x

Price-To-Earnings vs Fair Ratio: MCHA is expensive based on its Price-To-Earnings Ratio (11.4x) compared to the estimated Fair Price-To-Earnings Ratio (8.2x).

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 MCHA forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€30.81
€36.00
+16.8%
13.1%€43.00€25.00n/a16
Nov ’25€30.93
€36.00
+16.4%
13.1%€43.00€25.00n/a16
Oct ’25€36.23
€37.50
+3.5%
13.6%€43.00€26.00n/a16
Sep ’25€35.26
€37.38
+6.0%
13.4%€43.00€26.00n/a16
Aug ’25€36.53
€37.38
+2.3%
13.4%€43.00€26.00n/a16
Jul ’25€36.00
€36.94
+2.6%
14.1%€43.00€26.00n/a16
Jun ’25€37.07
€36.13
-2.5%
13.4%€42.00€26.00n/a15
May ’25€36.41
€35.23
-3.2%
12.3%€42.00€26.00n/a15
Apr ’25€35.63
€35.14
-1.4%
11.2%€40.00€26.00n/a14
Mar ’25€34.28
€34.93
+1.9%
10.6%€40.00€26.00n/a15
Feb ’25€30.61
€34.12
+11.5%
10.8%€40.00€27.00n/a15
Jan ’25€32.45
€34.05
+4.9%
11.0%€41.00€27.00n/a15
Dec ’24€30.98
€33.39
+7.8%
11.6%€40.00€25.00n/a15
Nov ’24€28.03
€32.99
+17.7%
13.3%€40.00€24.00€30.9316
Oct ’24€28.98
€33.20
+14.6%
13.7%€40.00€24.00€36.2315
Sep ’24€29.07
€33.20
+14.2%
13.7%€40.00€24.00€35.2615
Aug ’24€29.71
€33.20
+11.7%
13.7%€40.00€24.00€36.5315
Jul ’24€26.79
€33.10
+23.6%
13.9%€40.00€22.00€36.0015
Jun ’24€26.68
€32.32
+21.2%
16.6%€40.00€20.69€37.0716
May ’24€28.34
€32.32
+14.1%
16.3%€40.00€20.69€36.4116
Apr ’24€28.00
€32.29
+15.3%
16.3%€40.00€20.69€35.6316
Mar ’24€29.80
€32.67
+9.6%
17.5%€42.50€20.69€34.2816
Feb ’24€28.80
€31.86
+10.6%
18.6%€42.50€20.69€30.6116
Jan ’24€26.56
€30.98
+16.7%
18.9%€42.50€20.69€32.4517
Dec ’23€27.17
€30.86
+13.6%
19.6%€42.50€20.00€30.9817
Nov ’23€25.69
€30.58
+19.0%
20.0%€42.50€18.31€28.0317

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

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