DCC plc

DB:DCC Stock Report

Market Cap: €6.4b

DCC Valuation

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

Valuation Score

6/6

Valuation Score 6/6

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

Below Fair Value: DCC (€64.5) is trading below our estimate of fair value (€127.15)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for DCC. This is calculated by dividing DCC's market cap by their current earnings.
What is DCC's PE Ratio?
PE Ratio16.2x
EarningsUK£329.78m
Market CapUK£5.34b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for DCC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average16.5x
INH INDUS Holding
8.5x16.1%€526.2m
MBB MBB
21.2x21.6%€571.1m
SIE Siemens
17.8x5.7%€146.0b
G1A GEA Group
18.4x8.3%€7.5b
DCC DCC
16.2x10.9%€5.3b

Price-To-Earnings vs Peers: DCC is good value based on its Price-To-Earnings Ratio (16.2x) compared to the peer average (16.5x).

Price to Earnings Ratio vs Industry

How does DCC's PE Ratio compare vs other companies in the European Industrials Industry?

3 CompaniesPrice / EarningsEstimated GrowthMarket Cap
DCC 16.2xIndustry Avg. 16.5xNo. of Companies5PE01224364860+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: DCC is good value based on its Price-To-Earnings Ratio (16.2x) compared to the European Industrials industry average (16.5x).

Price to Earnings Ratio vs Fair Ratio

What is DCC'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.

DCC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio16.2x
Fair PE Ratio17x

Price-To-Earnings vs Fair Ratio: DCC is good value based on its Price-To-Earnings Ratio (16.2x) compared to the estimated Fair Price-To-Earnings Ratio (17x).

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 DCC forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€64.50
€84.07
+30.3%
12.0%€107.78€67.66n/a13
Nov ’25€58.00
€83.40
+43.8%
12.4%€106.68€66.97n/a12
Oct ’25€60.50
€83.73
+38.4%
12.3%€106.85€68.27n/a12
Sep ’25€62.50
€83.80
+34.1%
12.3%€106.94€68.32n/a12
Aug ’25€62.50
€84.74
+35.6%
12.4%€107.15€67.86n/a13
Jul ’25€65.50
€84.03
+28.3%
12.7%€105.98€67.71n/a12
Jun ’25€66.00
€83.18
+26.0%
14.2%€105.77€67.22n/a11
May ’25€63.50
€80.99
+27.5%
14.7%€105.15€64.26n/a11
Apr ’25€66.50
€80.30
+20.7%
15.7%€104.90€61.10n/a11
Mar ’25€65.00
€80.44
+23.8%
15.7%€105.08€61.20n/a11
Feb ’25€69.50
€79.53
+14.4%
15.8%€104.72€60.99n/a11
Jan ’25€65.50
€77.88
+18.9%
17.5%€103.73€55.90n/a11
Dec ’24€62.50
€77.88
+24.6%
17.5%€103.73€55.90n/a11
Nov ’24€51.50
€78.41
+52.2%
18.1%€105.45€56.82€58.0011
Oct ’24€52.50
€78.41
+49.3%
18.1%€105.45€56.82€60.5011
Sep ’24€49.80
€78.96
+58.6%
18.1%€105.15€56.66€62.5011
Aug ’24€51.50
€78.00
+51.5%
17.4%€105.29€56.74€62.5011
Jul ’24€50.00
€77.59
+55.2%
17.4%€104.74€56.44€65.5011
Jun ’24€55.50
€77.29
+39.3%
17.9%€104.10€53.78€66.0011
May ’24€54.50
€72.49
+33.0%
19.6%€91.42€46.85€63.5012
Apr ’24€51.50
€73.97
+43.6%
18.3%€91.08€46.68€66.5011
Mar ’24€51.50
€73.97
+43.6%
18.3%€91.08€46.68€65.0011
Feb ’24€51.50
€73.97
+43.6%
18.3%€91.08€46.68€69.5011
Jan ’24€45.60
€75.00
+64.5%
19.6%€91.79€47.04€65.5010
Dec ’23€51.50
€76.17
+47.9%
18.4%€91.69€51.58€62.5010
Nov ’23€56.50
€82.93
+46.8%
10.8%€93.00€64.52€51.5010

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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