Grifols Valuation

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

Valuation Score

2/6

Valuation Score 2/6

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

Below Fair Value: GRF.P (€8.94) is trading below our estimate of fair value (€19.66)

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

Key Valuation Metric

Which metric is best to use when looking at relative valuation for GRF.P?

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

The above table shows the Price to Earnings ratio for GRF.P. This is calculated by dividing GRF.P's market cap by their current earnings.
What is GRF.P's PE Ratio?
PE Ratio	45.9x
Earnings	€161.49m
Market Cap	€6.90b

GRF.P 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/Revenue	2.7x
Enterprise Value/EBITDA	14.8x
PEG Ratio	1.5x

Price to Earnings Ratio vs Peers

How does GRF.P's PE Ratio compare to its peers?

The above table shows the PE ratio for GRF.P vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	25.4x
ROVI Laboratorios Farmaceuticos Rovi	19.3x	19.6%	€3.2b
600161 Beijing Tiantan Biological Products	33.9x	19.7%	CN¥42.9b
EXEL Exelixis	21.1x	15.6%	US$9.8b
002252 Shanghai RAAS Blood Products	27.3x	17.0%	CN¥49.1b
GRF.P Grifols	45.9x	31.3%	€6.9b

Price-To-Earnings vs Peers: GRF.P is expensive based on its Price-To-Earnings Ratio (45.9x) compared to the peer average (25.2x).

Price to Earnings Ratio vs Industry

How does GRF.P's PE Ratio compare vs other companies in the European Biotechs Industry?

5 Companies	Price / Earnings	Estimated Growth	Market Cap

5 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: GRF.P is expensive based on its Price-To-Earnings Ratio (45.9x) compared to the European Biotechs industry average (26.8x).

Price to Earnings Ratio vs Fair Ratio

What is GRF.P'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.

GRF.P PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	45.9x
Fair PE Ratio	36.4x

Price-To-Earnings vs Fair Ratio: GRF.P is expensive based on its Price-To-Earnings Ratio (45.9x) compared to the estimated Fair Price-To-Earnings Ratio (36.4x).

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.