Beacon Roofing Supply, Inc.

DB:OWY Stock Report

Market Cap: €5.9b

Beacon Roofing Supply Valuation

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

Valuation Score

3/6

Valuation Score 3/6

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

Below Fair Value: OWY (€92) is trading below our estimate of fair value (€136.88)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for OWY. This is calculated by dividing OWY's market cap by their current earnings.
What is OWY's PE Ratio?
PE Ratio16.4x
EarningsUS$373.40m
Market CapUS$6.25b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for OWY vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average11.4x
BNR Brenntag
15.8x15.9%€8.6b
HMU HMS Bergbau
10.4x8.0%€131.8m
NWX Nordwest Handel
5.8xn/a€67.3m
KGX KION GROUP
13.7x17.4%€4.6b
OWY Beacon Roofing Supply
16.4x13.0%€6.2b

Price-To-Earnings vs Peers: OWY is expensive based on its Price-To-Earnings Ratio (16.4x) compared to the peer average (11.4x).

Price to Earnings Ratio vs Industry

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

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
OWY 16.4xIndustry Avg. 14.7xNo. of Companies12PE01020304050+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: OWY is expensive based on its Price-To-Earnings Ratio (16.4x) compared to the European Trade Distributors industry average (14.7x).

Price to Earnings Ratio vs Fair Ratio

What is OWY'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.

OWY PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio16.4x
Fair PE Ratio18x

Price-To-Earnings vs Fair Ratio: OWY is good value based on its Price-To-Earnings Ratio (16.4x) compared to the estimated Fair Price-To-Earnings Ratio (18x).

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 OWY forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€92.00
€105.83
+15.0%
10.3%€129.67€87.99n/a12
Nov ’25€84.50
€104.82
+24.0%
10.5%€128.72€87.34n/a11
Oct ’25€77.50
€100.78
+30.0%
11.1%€126.06€85.54n/a12
Sep ’25€80.00
€100.78
+26.0%
11.1%€126.06€85.54n/a12
Aug ’25€95.00
€107.58
+13.2%
9.6%€129.74€88.04n/a12
Jul ’25€84.00
€106.93
+27.3%
9.6%€130.69€88.68n/a13
Jun ’25€88.50
€105.42
+19.1%
10.0%€128.90€87.47n/a12
May ’25€92.00
€102.33
+11.2%
11.5%€126.83€84.56n/a12
Apr ’25€87.50
€98.30
+12.3%
11.3%€120.10€83.79n/a12
Mar ’25€79.50
€96.28
+21.1%
10.3%€112.58€83.05n/a12
Feb ’25€76.50
€92.48
+20.9%
10.3%€111.98€78.02n/a12
Jan ’25€79.50
€90.34
+13.6%
11.2%€108.41€72.88n/a12
Dec ’24€73.50
€89.96
+22.4%
11.0%€107.39€74.70n/a12
Nov ’24€67.00
€90.77
+35.5%
8.1%€102.11€75.64€84.5012
Oct ’24€74.00
€88.43
+19.5%
6.4%€98.54€78.47€77.5012
Sep ’24€73.50
€88.43
+20.3%
6.4%€98.54€78.47€80.0012
Aug ’24€77.50
€82.97
+7.1%
9.7%€95.74€68.39€95.0012
Jul ’24€76.50
€71.60
-6.4%
14.3%€91.41€55.76€84.0012
Jun ’24€59.50
€68.91
+15.8%
14.3%€91.07€55.55€88.5012
May ’24€53.00
€68.76
+29.7%
15.1%€89.45€54.77€92.0012
Apr ’24€52.50
€71.44
+36.1%
14.8%€92.63€56.71€87.5012
Mar ’24€61.00
€71.44
+17.1%
14.8%€92.63€56.71€79.5012
Feb ’24€52.00
€63.62
+22.4%
16.4%€83.63€47.79€76.5013
Jan ’24€49.80
€65.48
+31.5%
16.4%€85.73€50.87€79.5012
Dec ’23€55.50
€68.75
+23.9%
14.2%€86.79€53.87€73.5012
Nov ’23€56.50
€69.86
+23.6%
12.1%€81.89€56.30€67.0012

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

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