RS Group plc

DB:ECN Stock Report

Market Cap: €3.3b

RS Group Valuation

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

Valuation Score

1/6

Valuation Score 1/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Future Cash Flow Value

What is the Fair Price of ECN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: ECN (€7.05) is trading above our estimate of future cash flow value (€7)

Significantly Below Future Cash Flow Value: ECN is trading above our estimate of future cash flow value.


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for ECN. This is calculated by dividing ECN's market cap by their current earnings.
What is ECN's PE Ratio?
PE Ratio18.2x
EarningsUK£158.20m
Market CapUK£2.88b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for ECN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average24x
BNR Brenntag
32.7x21.82%€8.7b
HMU HMS Bergbau
14.5x1.64%€195.8m
WOLF Meta Wolf
20.7xn/a€61.3m
JUN3 Jungheinrich
28x34.52%€2.9b
ECN RS Group
18.2x12.27%€2.9b

Price-To-Earnings vs Peers: ECN is good value based on its Price-To-Earnings Ratio (18.2x) compared to the peer average (24x).


Historical Price to Earnings Ratio

Historical Price to Earnings Ratio compares a stock's price to its earnings over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data


Price to Earnings Ratio vs Industry

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

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
ECN 18.2xIndustry Avg. 17.8xNo. of Companies10PE01224364860+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: ECN is expensive based on its Price-To-Earnings Ratio (18.2x) compared to the European Trade Distributors industry average (17.7x).


Price to Earnings Ratio vs Fair Ratio

What is ECN'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.

ECN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio18.2x
Fair PE Ratio17.9x

Price-To-Earnings vs Fair Ratio: ECN is expensive based on its Price-To-Earnings Ratio (18.2x) compared to the estimated Fair Price-To-Earnings Ratio (17.9x).


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 ECN forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€7.05
€7.95
+12.82%
12.27%€9.54€5.80n/a15
Apr ’27€6.44
€8.05
+24.95%
11.90%€9.50€6.30n/a15
Mar ’27€7.89
€8.32
+5.54%
12.84%€9.98€6.31n/a16
Feb ’27€7.55
€8.34
+10.50%
12.68%€10.03€6.34n/a16
Jan ’27€7.11
€8.12
+14.14%
13.82%€9.91€5.64n/a15
Dec ’26€6.59
€8.02
+21.72%
14.50%€9.93€5.65n/a14
Nov ’26€6.29
€7.91
+25.75%
16.21%€9.91€5.47n/a14
Oct ’26€6.46
€8.02
+24.26%
16.28%€9.99€5.51n/a14
Sep ’26€6.50
€8.07
+24.23%
16.20%€10.02€5.53n/a14
Aug ’26€6.42
€8.07
+25.68%
16.20%€10.02€5.53n/a14
Jul ’26€6.68
€8.45
+26.54%
13.04%€10.14€6.53n/a14
Jun ’26€6.76
€8.75
+29.44%
12.06%€10.37€6.67n/a17
May ’26€6.02
€8.76
+45.56%
14.18%€10.55€6.45n/a17
Apr ’26€6.69
€9.17
+37.12%
10.67%€10.76€7.06€6.4417
Mar ’26€7.35
€9.67
+31.57%
8.85%€10.91€7.76€7.8917
Feb ’26€7.92
€9.65
+21.88%
8.48%€10.77€7.78€7.5515
Jan ’26€8.06
€10.15
+25.94%
7.86%€12.12€9.09€7.1115
Dec ’25€8.63
€10.10
+17.11%
8.15%€12.04€9.03€6.5915
Nov ’25€8.16
€10.12
+24.04%
7.85%€12.01€9.00€6.2914
Oct ’25€9.77
€10.21
+4.47%
8.57%€12.01€8.77€6.4614
Sep ’25€9.18
€9.86
+7.45%
7.53%€11.61€8.65€6.5014
Aug ’25€9.55
€9.86
+3.29%
7.53%€11.61€8.65€6.4214
Jul ’25€8.22
€9.97
+21.25%
8.66%€11.60€8.64€6.6814
Jun ’25€8.27
€10.09
+22.02%
8.52%€11.51€8.58€6.7613
May ’25€8.58
€10.07
+17.36%
10.58%€12.21€7.79€6.0213
Apr ’25€8.45
€10.37
+22.75%
10.96%€12.59€7.85€6.6913
€7.93
Fair Value
11.1% undervalued intrinsic discount
15
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 Analysis2026/04/23 05:23
End of Day Share Price 2026/04/23 00:00
Earnings2025/09/30
Annual Earnings2025/03/31

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

RS Group plc is covered by 26 analysts. 15 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Jane SparrowBarclays
James RosenthalBarclays
James BaylissBerenberg