Marks and Spencer Group plc

DB:MA6 Stock Report

Market Cap: €9.2b

Marks and Spencer Group Valuation

Is MA6 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 MA6 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MA6 (€4.6) is trading below our estimate of fair value (€7.63)

Significantly Below Fair Value: MA6 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for MA6?

Key metric: As MA6 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for MA6. This is calculated by dividing MA6's market cap by their current earnings.
What is MA6's PE Ratio?
PE Ratio15.2x
EarningsUK£505.30m
Market CapUK£7.66b

Price to Earnings Ratio vs Peers

How does MA6's PE Ratio compare to its peers?

The above table shows the PE ratio for MA6 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average20.4x
HAW Hawesko Holding
22.6x20.8%€235.4m
MSH WASGAU Produktions & Handels
13.8xn/a€57.4m
2912 President Chain Store
20.3x2.9%NT$272.4b
SHP Shoprite Holdings
25x12.8%R164.4b
MA6 Marks and Spencer Group
15.2x9.3%€7.7b

Price-To-Earnings vs Peers: MA6 is good value based on its Price-To-Earnings Ratio (15.2x) compared to the peer average (20.4x).

Price to Earnings Ratio vs Industry

How does MA6's PE Ratio compare vs other companies in the European Consumer Retailing Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
MA6 15.2xIndustry Avg. 14.9xNo. of Companies10PE01020304050+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: MA6 is expensive based on its Price-To-Earnings Ratio (15.2x) compared to the European Consumer Retailing industry average (14.9x).

Price to Earnings Ratio vs Fair Ratio

What is MA6'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.

MA6 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio15.2x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate MA6's Price-To-Earnings Fair Ratio for valuation analysis.

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 MA6 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€4.60
€5.25
+14.3%
6.8%€5.73€4.13n/a17
Dec ’25€4.64
€5.13
+10.5%
12.6%€5.72€2.77n/a17
Nov ’25€4.48
€4.79
+7.0%
12.4%€5.31€2.76n/a16
Oct ’25€4.51
€4.44
-1.4%
12.3%€5.22€2.76n/a16
Sep ’25€4.06
€3.97
-2.2%
11.8%€4.44€2.69n/a16
Aug ’25€3.90
€4.00
+2.6%
11.9%€4.52€2.73n/a16
Jul ’25€3.38
€3.95
+16.8%
11.9%€4.49€2.72n/a16
Jun ’25€3.55
€3.78
+6.4%
11.8%€4.41€2.70n/a16
May ’25€3.04
€3.56
+17.1%
10.2%€4.10€2.69n/a16
Apr ’25€3.10
€3.49
+12.7%
10.2%€4.04€2.69n/a16
Mar ’25€2.75
€3.44
+25.2%
10.5%€4.04€2.69n/a17
Feb ’25€2.87
€3.41
+18.8%
10.5%€4.02€2.68n/a17
Jan ’25€3.15
€3.12
-0.9%
15.9%€3.80€2.07n/a17
Dec ’24€2.92
€2.98
+1.9%
19.9%€3.83€1.86€4.6417
Nov ’24€2.49
€2.68
+7.9%
18.3%€3.45€1.84€4.4818
Oct ’24€2.78
€2.68
-3.6%
18.3%€3.46€1.85€4.5119
Sep ’24€2.54
€2.57
+1.4%
18.1%€3.49€1.74€4.0620
Aug ’24€2.31
€2.30
-0.2%
15.1%€3.02€1.67€3.9020
Jul ’24€2.12
€2.28
+7.2%
13.7%€2.91€1.68€3.3820
Jun ’24€2.02
€2.15
+6.8%
15.9%€2.72€1.39€3.5519
May ’24€1.78
€1.87
+4.9%
14.2%€2.38€1.36€3.0420
Apr ’24€1.82
€1.85
+1.8%
13.4%€2.39€1.37€3.1020
Mar ’24€1.76
€1.76
+0.02%
14.8%€2.38€1.30€2.7521
Feb ’24€1.59
€1.69
+6.3%
13.7%€2.26€1.31€2.8721
Jan ’24€1.34
€1.58
+17.5%
19.3%€2.30€1.05€3.1521
Dec ’23€1.35
€1.56
+15.8%
19.4%€2.28€1.04€2.9221

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 Analysis2024/12/23 10:39
End of Day Share Price 2024/12/20 00:00
Earnings2024/09/30
Annual Earnings2024/03/30

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 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

Marks and Spencer Group plc is covered by 51 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
Virginie BlinAlphaValue
Philip DorganAltium Capital Limited
Nicholas BubbArden Partners Plc.