Methode Electronics, Inc.

DB:ME5A Stock Report

Market Cap: €408.0m

Methode Electronics Valuation

Is ME5A 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-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of ME5A when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ME5A (€11.6) is trading above our estimate of fair value (€8.21)

Significantly Below Fair Value: ME5A is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ME5A?

Key metric: As ME5A is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for ME5A. This is calculated by dividing ME5A's market cap by their current revenue.
What is ME5A's PS Ratio?
PS Ratio0.4x
SalesUS$1.09b
Market CapUS$424.67m

Price to Sales Ratio vs Peers

How does ME5A's PS Ratio compare to its peers?

The above table shows the PS ratio for ME5A vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average1.2x
KTEK KATEK
0.4xn/a€284.6m
DAM DATA MODUL Produktion und Vertrieb von elektronischen Systemen
0.4x6.0%€98.0m
S9I Stemmer Imaging
3.1x11.3%€351.0m
BSL Basler
1x10.0%€186.6m
ME5A Methode Electronics
0.4x6.2%€424.7m

Price-To-Sales vs Peers: ME5A is good value based on its Price-To-Sales Ratio (0.4x) compared to the peer average (1.2x).

Price to Sales Ratio vs Industry

How does ME5A's PS Ratio compare vs other companies in the DE Electronic Industry?

4 CompaniesPrice / SalesEstimated GrowthMarket Cap
SCE Schweizer Electronic
0.06x4.3%US$9.81m
UDC UniDevice
0.004x4.6%US$1.94m
7PF0 Syncro Group
0.01xn/aUS$245.42k
UDC UniDevice
0.0004xn/aUS$172.30k
No more companies available in this PS range
ME5A 0.4xIndustry Avg. 1.0xNo. of Companies4PS00.40.81.21.62+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: ME5A is good value based on its Price-To-Sales Ratio (0.4x) compared to the European Electronic industry average (1x).

Price to Sales Ratio vs Fair Ratio

What is ME5A's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ME5A PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.4x
Fair PS Ratio0.3x

Price-To-Sales vs Fair Ratio: ME5A is expensive based on its Price-To-Sales Ratio (0.4x) compared to the estimated Fair Price-To-Sales Ratio (0.3x).

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 ME5A forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€11.60
€13.93
+20.1%
6.4%€15.20€13.30n/a3
Dec ’25€9.95
€10.73
+7.8%
11.0%€12.30€9.47n/a3
Nov ’25€7.85
€10.36
+32.0%
11.0%€11.88€9.14n/a3
Oct ’25€10.60
€10.28
-3.0%
11.0%€11.79€9.07n/a3
Sep ’25€9.25
€12.89
+39.3%
5.8%€13.81€11.97n/a3
Aug ’25€11.60
€12.89
+11.1%
5.8%€13.81€11.97n/a3
Jul ’25€9.45
€12.44
+31.7%
9.4%€14.00€11.20n/a3
Jun ’25€10.80
€12.27
+13.6%
9.4%€13.80€11.04n/a3
May ’25€11.60
€12.53
+8.0%
9.4%€14.10€11.28n/a3
Apr ’25€10.70
€13.44
+25.6%
10.3%€14.83€12.05n/a2
Mar ’25€19.60
€26.22
+33.8%
12.3%€29.44€23.00n/a2
Feb ’25€19.10
€26.22
+37.3%
12.3%€29.44€23.00n/a2
Jan ’25€20.80
€26.01
+25.1%
14.3%€29.73€22.30n/a2
Dec ’24€21.60
€36.78
+70.3%
30.8%€48.09€25.46€9.952
Nov ’24€21.60
€36.78
+70.3%
30.8%€48.09€25.46€7.852
Oct ’24€21.00
€36.45
+73.6%
30.8%€47.67€25.24€10.602
Sep ’24€29.60
€41.66
+40.8%
16.5%€48.53€34.80€9.252
Aug ’24€30.40
€41.77
+37.4%
16.5%€48.66€34.89€11.602
Jul ’24€30.60
€41.77
+36.5%
16.5%€48.66€34.89€9.452
Jun ’24€40.20
€49.06
+22.0%
7.5%€52.76€45.35€10.802
May ’24€37.00
€48.25
+30.4%
7.5%€51.89€44.60€11.602
Apr ’24€39.40
€49.18
+24.8%
6.5%€53.57€46.05€10.703
Mar ’24€45.80
€51.08
+11.5%
5.4%€54.68€48.19€19.604
Feb ’24€43.80
€51.08
+16.6%
5.4%€54.68€48.19€19.104
Jan ’24€41.80
€52.10
+24.6%
5.9%€56.01€48.42€20.804
Dec ’23€43.60
€49.88
+14.4%
5.1%€54.15€47.50€21.604

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

Discover undervalued companies

7D

1Y

7D

1Y

7D

1Y

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/26 10:18
End of Day Share Price 2024/12/23 00:00
Earnings2024/11/02
Annual Earnings2024/04/27

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

Methode Electronics, Inc. is covered by 8 analysts. 4 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Luke JunkBaird
Gary PrestopinoBarrington Research Associates, Inc.
Christopher Van HornB. Riley Securities, Inc.