Roper Technologies Valuation

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

Below Fair Value: ROP (€495.4) is trading below our estimate of fair value (€741.45)

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


Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

ROP key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue10.2x
Enterprise Value/EBITDA25.2x
PEG Ratio3.3x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for ROP vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average53.1x
SAP SAP
78.4x33.2%€201.9b
NEM Nemetschek
59.3x15.8%€9.6b
TMV TeamViewer
17.9x11.7%€2.0b
AOF ATOSS Software
56.9x11.8%€2.0b
ROP Roper Technologies
38.5x11.7%€57.8b

Price-To-Earnings vs Peers: ROP is good value based on its Price-To-Earnings Ratio (38.5x) compared to the peer average (53.1x).


Price to Earnings Ratio vs Industry

How does ROP's PE Ratio compare vs other companies in the European Software Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a32.9%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a32.9%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: ROP is expensive based on its Price-To-Earnings Ratio (38.5x) compared to the European Software industry average (32x).


Price to Earnings Ratio vs Fair Ratio

What is ROP'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.

ROP PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio38.5x
Fair PE Ratio35.2x

Price-To-Earnings vs Fair Ratio: ROP is expensive based on its Price-To-Earnings Ratio (38.5x) compared to the estimated Fair Price-To-Earnings Ratio (35.2x).


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 ROP forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€495.40
€566.59
+14.4%
8.8%€650.62€481.42n/a16
Apr ’25€518.00
€554.47
+7.0%
7.8%€628.35€476.58n/a16
Mar ’25€499.80
€556.53
+11.3%
7.4%€634.05€480.91n/a17
Feb ’25€499.70
€539.52
+8.0%
9.3%€624.68€417.68n/a16
Jan ’25€488.50
€509.41
+4.3%
6.6%€550.52€415.86n/a16
Dec ’24€488.40
€504.54
+3.3%
6.8%€550.76€416.05n/a16
Nov ’24€462.10
€519.09
+12.3%
6.9%€569.27€430.03n/a17
Oct ’24€458.30
€493.58
+7.7%
7.7%€550.18€396.89n/a17
Sep ’24€456.20
€493.58
+8.2%
7.7%€550.18€396.89n/a17
Aug ’24€448.10
€490.18
+9.4%
7.6%€546.98€394.59n/a17
Jul ’24€437.30
€471.66
+7.9%
6.8%€539.11€396.81n/a17
Jun ’24€417.70
€481.73
+15.3%
6.8%€550.93€405.51n/a17
May ’24€409.70
€468.17
+14.3%
7.4%€538.70€396.50n/a16
Apr ’24€401.80
€465.16
+15.8%
7.9%€544.84€387.20€518.0016
Mar ’24€402.50
€474.02
+17.8%
9.6%€557.55€363.21€499.8013
Feb ’24€391.65
€464.94
+18.7%
9.9%€544.84€354.93€499.7012
Jan ’24€405.30
€463.68
+14.4%
9.0%€518.87€363.21€488.5012
Dec ’23€422.85
€472.39
+11.7%
9.8%€532.68€372.87€488.4012
Nov ’23€418.10
€503.16
+20.3%
7.7%€556.71€428.16€462.1011
Oct ’23€373.15
€478.44
+28.2%
11.4%€548.74€329.24€458.3013
Sep ’23€403.85
€484.53
+20.0%
11.4%€551.27€330.76€456.2012
Aug ’23€422.60
€476.03
+12.6%
11.8%€543.29€325.97€448.1011
Jul ’23€381.85
€479.43
+25.6%
11.9%€572.85€370.50€437.3012
Jun ’23€406.20
€490.62
+20.8%
9.6%€565.98€366.05€417.7014
May ’23€452.05
€501.45
+10.9%
9.0%€571.28€369.49€409.7014
Apr ’23€427.90
€478.24
+11.8%
9.2%€550.72€356.19€401.8014

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


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