Monro, Inc.

DB:MR2 Stock Report

Market Cap: €808.1m

Monro Valuation

Is MR2 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • 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 MR2 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MR2 (€26.6) is trading below our estimate of fair value (€26.94)

Significantly Below Fair Value: MR2 is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for MR2?

Key metric: As MR2 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for MR2. This is calculated by dividing MR2's market cap by their current earnings.
What is MR2's PE Ratio?
PE Ratio31.9x
EarningsUS$26.03m
Market CapUS$846.67m

Price to Earnings Ratio vs Peers

How does MR2's PE Ratio compare to its peers?

The above table shows the PE ratio for MR2 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average12.1x
DEX Delticom
4.8x18.8%€31.4m
HBH HORNBACH Holding KGaA
7.5x6.8%€1.3b
CEC Ceconomy
10.8x22.4%€1.5b
HBM HORNBACH Baumarkt
25.4xn/a€1.9b
MR2 Monro
31.9x17.6%€846.7m

Price-To-Earnings vs Peers: MR2 is expensive based on its Price-To-Earnings Ratio (31.9x) compared to the peer average (12.1x).

Price to Earnings Ratio vs Industry

How does MR2's PE Ratio compare vs other companies in the European Specialty Retail Industry?

3 CompaniesPrice / EarningsEstimated GrowthMarket Cap
MR2 31.9xIndustry Avg. 16.2xNo. of Companies12PE01020304050+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: MR2 is expensive based on its Price-To-Earnings Ratio (31.9x) compared to the European Specialty Retail industry average (16.1x).

Price to Earnings Ratio vs Fair Ratio

What is MR2'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.

MR2 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio31.9x
Fair PE Ratio12.4x

Price-To-Earnings vs Fair Ratio: MR2 is expensive based on its Price-To-Earnings Ratio (31.9x) compared to the estimated Fair Price-To-Earnings Ratio (12.4x).

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 MR2 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€26.60
€26.97
+1.4%
5.8%€28.50€24.82n/a3
Nov ’25€24.80
€26.97
+8.7%
5.8%€28.50€24.82n/a3
Oct ’25€25.60
€26.32
+2.8%
5.3%€27.71€24.93n/a2
Sep ’25€23.60
€26.32
+11.5%
5.3%€27.71€24.93n/a2
Aug ’25€28.20
€26.32
-6.7%
5.3%€27.71€24.93n/a2
May ’25€25.80
€27.30
+5.8%
3.4%€28.25€26.36n/a2
Apr ’25€28.80
€26.76
-7.1%
3.4%€27.68€25.84n/a2
Mar ’25€30.60
€26.76
-12.5%
3.4%€27.68€25.84n/a2
Feb ’25€29.60
€27.99
-5.5%
6.8%€30.45€25.83n/a3
Jan ’25€26.60
€26.52
-0.3%
5.8%€28.42€24.63n/a3
Dec ’24€26.20
€26.52
+1.2%
5.8%€28.42€24.63n/a3
Nov ’24€23.20
€26.52
+14.3%
5.8%€28.42€24.63€24.803
Oct ’24€26.00
€34.28
+31.8%
6.4%€37.40€32.72€25.603
Sep ’24€30.60
€34.19
+11.7%
6.7%€36.47€31.91€23.602
Aug ’24€33.00
€34.19
+3.6%
6.7%€36.47€31.91€28.202
Jul ’24€37.20
€39.30
+5.6%
5.9%€41.61€36.99€21.802
Jun ’24€38.40
€39.30
+2.3%
5.9%€41.61€36.99€21.402
May ’24€44.40
€39.95
-10.0%
3.4%€41.32€38.57€25.802
Apr ’24€45.60
€39.95
-12.4%
3.4%€41.32€38.57€28.802
Mar ’24€47.20
€39.95
-15.4%
3.4%€41.32€38.57€30.602
Feb ’24€46.40
€39.95
-13.9%
3.4%€41.32€38.57€29.602
Jan ’24€43.00
€43.66
+1.5%
3.4%€45.16€42.15€26.602
Dec ’23€43.80
€43.66
-0.3%
3.4%€45.16€42.15€26.202
Nov ’23€47.60
€43.66
-8.3%
3.4%€45.16€42.15€23.202

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

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