How does QS2's PE Ratio compare to its peers?

QS2 is expensive based on its Price-To-Earnings Ratio (23.7x) compared to the peer average (16.4x).

How does QS2's PE Ratio compare vs other companies in the European Industrials Industry?

QS2 is expensive based on its Price-To-Earnings Ratio (23.7x) compared to the European Industrials industry average (16.2x).

What is QS2'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.

QS2 is expensive based on its Price-To-Earnings Ratio (23.7x) compared to the estimated Fair Price-To-Earnings Ratio (19x).

What is the Fair Price of QS2 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

QS2 (€20.6) is trading below our estimate of [[fair value]] (€31.81)

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Insufficient data to show price forecast.

QS2 Stock Overview

Operates as an industrial technology company in Americas, Europe, the Asia Pacific, and internationally. More details

QS2 fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	1/6
Past Performance	4/6
Financial Health	6/6
Dividends	4/6

Rewards

Trading at 35.2% below our estimate of its fair value

Earnings are forecast to grow 15.39% per year

Earnings grew by 11.1% over the past year

Risk Analysis

Unstable dividend track record

My Notes

Capture your thoughts, links and company narrative

Smiths Group plc Competitors

MBB

XTRA:MBB

€530.6m

INDUS Holding

XTRA:INH

€506.8m

Siemens

XTRA:SIE

€148.5b

GEA Group

XTRA:G1A

€8.0b

Price History & Performance

Summary of share price highs, lows and changes for Smiths Group
Historical stock prices
Current Share Price	UK£20.60
52 Week High	UK£21.80
52 Week Low	UK£17.80
Beta	0.67
1 Month Change	-0.96%
3 Month Change	-2.83%
1 Year Change	n/a
3 Year Change	n/a
5 Year Change	n/a
Change since IPO	1.98%

Recent updates

Shareholder Returns

	QS2	DE Industrials	DE Market
7D	-4.6%	-1.1%	-2.6%
1Y	n/a	12.4%	6.9%

Return vs Industry: Insufficient data to determine how QS2 performed against the German Industrials industry.

Return vs Market: Insufficient data to determine how QS2 performed against the German Market.

Price Volatility

Is QS2's price volatile compared to industry and market?
QS2 volatility
QS2 Average Weekly Movement	4.9%
Industrials Industry Average Movement	4.0%
Market Average Movement	4.8%
10% most volatile stocks in DE Market	11.2%
10% least volatile stocks in DE Market	2.4%

Stable Share Price: QS2 has not had significant price volatility in the past 3 months compared to the German market.

Volatility Over Time: QS2's weekly volatility (5%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1851	15,750	Roland Carter	www.smiths.com

Smiths Group plc operates as an industrial technology company in Americas, Europe, the Asia Pacific, and internationally. It operates through four segments: John Crane, Smiths Detection, Flex-Tek, and Smiths Interconnect. The John Crane business offers mechanical seals, seal support systems, power transmission couplings, and specialized filtration systems.

Smiths Group plc Fundamentals Summary

How do Smiths Group's earnings and revenue compare to its market cap?
QS2 fundamental statistics
Market cap	€7.13b
Earnings (TTM)	€301.29m
Revenue (TTM)	€3.77b

23.7x

P/E Ratio

1.9x

P/S Ratio

Is QS2 overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report (TTM)
QS2 income statement (TTM)
Revenue	UK£3.13b
Cost of Revenue	UK£1.96b
Gross Profit	UK£1.17b
Other Expenses	UK£918.00m
Earnings	UK£250.00m

Last Reported Earnings

Jul 31, 2024

Next Earnings Date

Mar 25, 2025

Earnings per share (EPS)	0.73
Gross Margin	37.29%
Net Profit Margin	7.98%
Debt/Equity Ratio	24.4%

How did QS2 perform over the long term?

See historical performance and comparison

Dividends

2.5%

Current Dividend Yield

61%

Payout Ratio

Company Analysis and Financial Data Status

Data	Last Updated (UTC time)
Company Analysis	2024/12/22 12:42
End of Day Share Price	2024/12/20 00:00
Earnings	2024/07/31
Annual Earnings	2024/07/31

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.

Package	Data	Timeframe	Example US Source ^*
Company Financials	10 years	Income statement Cash flow statement Balance sheet	SEC Form 10-K SEC Form 10-Q
Analyst Consensus Estimates	+3 years	Forecast financials Analyst price targets	Analyst Research Reports Blue Matrix
Market Prices	30 years	Stock prices Dividends, Splits and Actions	ICE Market Data SEC Form S-1
Ownership	10 years	Top shareholders Insider trading	SEC Form 4 SEC Form 13D
Management	10 years	Leadership team Board of directors	SEC Form 10-K SEC Form DEF 14A
Key Developments	10 years	Company announcements	SEC Form 8-K

^* 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 here.

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 .

Analyst Sources

Smiths Group plc is covered by 38 analysts. 10 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

Analyst	Institution
David Larkam	Arden Partners Plc.
Jonathan Hurn	Barclays
Joseph Campbell	Barclays