RTL Group Valuation

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

Valuation Score

5/6

Valuation Score 5/6

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

Below Fair Value: RRTU (€2.34) is trading below our estimate of fair value (€3.73)

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for RRTU. This is calculated by dividing RRTU's market cap by their current earnings.
What is RRTU's PE Ratio?
PE Ratio9.3x
Earnings€401.00m
Market Cap€3.71b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for RRTU vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average26x
SAX Ströer SE KGaA
23.1x29.2%€2.7b
G24 Scout24
35.2x14.8%€6.2b
KA8 Klassik Radio
30.7xn/a€17.8m
M8G Verve Group
15x22.0%€764.1m
RRTU RTL Group
9.3x-2.6%€3.7b

Price-To-Earnings vs Peers: RRTU is good value based on its Price-To-Earnings Ratio (9.3x) compared to the peer average (26x).


Price to Earnings Ratio vs Industry

How does RRTU's PE Ratio compare vs other companies in the European Media Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
RRTU 9.3xIndustry Avg. 12.1xNo. of Companies16PE01020304050+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: RRTU is good value based on its Price-To-Earnings Ratio (9.3x) compared to the European Media industry average (12.1x).


Price to Earnings Ratio vs Fair Ratio

What is RRTU'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.

RRTU PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio9.3x
Fair PE Ratio15.5x

Price-To-Earnings vs Fair Ratio: RRTU is good value based on its Price-To-Earnings Ratio (9.3x) compared to the estimated Fair Price-To-Earnings Ratio (15.5x).


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.


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