Bunzl plc

DB:BUZ1 Stock Report

Market Cap: €13.9b

Bunzl Valuation

Is BUZ1 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 BUZ1 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: BUZ1 (€41.92) is trading below our estimate of fair value (€48.62)

Significantly Below Fair Value: BUZ1 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 BUZ1?

Key metric: As BUZ1 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for BUZ1. This is calculated by dividing BUZ1's market cap by their current earnings.
What is BUZ1's PE Ratio?
PE Ratio23.7x
EarningsUK£487.70m
Market CapUK£11.58b

Price to Earnings Ratio vs Peers

How does BUZ1's PE Ratio compare to its peers?

The above table shows the PE ratio for BUZ1 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average16.3x
BNR Brenntag
16.3x15.6%€8.8b
KBX Knorr-Bremse
19.7x10.8%€11.7b
8TRA Traton
5.6x8.4%€14.4b
MTX MTU Aero Engines
23.6x10.7%€17.1b
BUZ1 Bunzl
23.7x7.0%€11.6b

Price-To-Earnings vs Peers: BUZ1 is expensive based on its Price-To-Earnings Ratio (23.7x) compared to the peer average (16.3x).

Price to Earnings Ratio vs Industry

How does BUZ1's PE Ratio compare vs other companies in the European Trade Distributors Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
BUZ1 23.7xIndustry Avg. 14.5xNo. of Companies10PE01020304050+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: BUZ1 is expensive based on its Price-To-Earnings Ratio (23.7x) compared to the European Trade Distributors industry average (14.5x).

Price to Earnings Ratio vs Fair Ratio

What is BUZ1'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.

BUZ1 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio23.7x
Fair PE Ratio16.7x

Price-To-Earnings vs Fair Ratio: BUZ1 is expensive based on its Price-To-Earnings Ratio (23.7x) compared to the estimated Fair Price-To-Earnings Ratio (16.7x).

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 BUZ1 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€41.92
€42.09
+0.4%
10.2%€48.06€33.65n/a16
Nov ’25€40.50
€41.76
+3.1%
10.2%€47.69€33.39n/a16
Oct ’25€42.30
€40.73
-3.7%
9.7%€47.37€33.16n/a16
Sep ’25€42.00
€40.31
-4.0%
10.6%€47.53€30.89n/a16
Aug ’25€38.42
€38.33
-0.2%
11.4%€45.10€30.86n/a17
Jul ’25€35.56
€37.62
+5.8%
11.4%€43.57€30.62n/a17
Jun ’25€35.10
€36.84
+5.0%
11.3%€43.03€30.24n/a17
May ’25€36.20
€36.87
+1.8%
11.4%€43.09€30.28n/a17
Apr ’25€35.68
€36.80
+3.1%
11.4%€43.22€30.37n/a17
Mar ’25€36.86
€36.74
-0.3%
12.0%€43.21€29.20n/a16
Feb ’25€37.66
€35.70
-5.2%
12.3%€43.23€29.21n/a15
Jan ’25€36.80
€34.83
-5.4%
12.0%€41.57€28.87n/a15
Dec ’24€34.95
€34.44
-1.5%
11.8%€41.34€28.71n/a15
Nov ’24€33.68
€34.44
+2.3%
11.8%€41.34€28.71€40.5015
Oct ’24€33.61
€34.34
+2.2%
12.3%€41.72€28.97€42.3016
Sep ’24€33.70
€34.72
+3.0%
12.2%€42.06€29.21€42.0017
Aug ’24€33.66
€35.19
+4.6%
12.3%€42.00€29.17€38.4218
Jul ’24€34.51
€35.42
+2.6%
11.7%€42.04€29.19€35.5618
Jun ’24€36.65
€34.82
-5.0%
11.5%€40.89€28.33€35.1019
May ’24€35.67
€34.29
-3.9%
11.5%€40.75€27.90€36.2018
Apr ’24€34.60
€34.06
-1.6%
11.1%€40.98€28.06€35.6817
Mar ’24€33.80
€33.58
-0.7%
12.0%€40.66€26.38€36.8618
Feb ’24€33.80
€33.39
-1.2%
11.9%€41.07€26.64€37.6618
Jan ’24€31.60
€33.44
+5.8%
12.4%€41.08€25.62€36.8019
Dec ’23€35.60
€34.01
-4.5%
12.7%€41.63€25.96€34.9519
Nov ’23€33.20
€34.13
+2.8%
12.4%€40.63€26.12€33.6819

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

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