Pernod Ricard Valuation

Is PER0 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 PER0 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: PER0 (€20.8) is trading below our estimate of fair value (€47.22)

Significantly Below Fair Value: PER0 is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for PER0?

Key metric: As PER0 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for PER0. This is calculated by dividing PER0's market cap by their current earnings.
What is PER0's PE Ratio?
PE Ratio18x
Earnings€1.48b
Market Cap€26.63b

Price to Earnings Ratio vs Peers

How does PER0's PE Ratio compare to its peers?

The above table shows the PE ratio for PER0 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average17.4x
SWA Schloss Wachenheim
15.9x17.7%€116.4m
000568 Luzhou LaojiaoLtd
14x10.8%CN¥204.4b
600809 Shanxi Xinghuacun Fen Wine FactoryLtd
19.8x11.9%CN¥246.9b
BF.B Brown-Forman
19.9x3.2%US$19.5b
PER0 Pernod Ricard
18x9.3%€26.6b

Price-To-Earnings vs Peers: PER0 is expensive based on its Price-To-Earnings Ratio (18x) compared to the peer average (17.5x).


Price to Earnings Ratio vs Industry

How does PER0's PE Ratio compare vs other companies in the European Beverage Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
PER0 18.0xIndustry Avg. 17.1xNo. of Companies6PE01020304050+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: PER0 is expensive based on its Price-To-Earnings Ratio (18x) compared to the European Beverage industry average (17x).


Price to Earnings Ratio vs Fair Ratio

What is PER0'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.

PER0 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio18x
Fair PE Ratio23.8x

Price-To-Earnings vs Fair Ratio: PER0 is good value based on its Price-To-Earnings Ratio (18x) compared to the estimated Fair Price-To-Earnings Ratio (23.8x).


Analyst Price Targets

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

Analyst Forecast: Insufficient data to show price forecast.


Discover undervalued companies