Mersen S.A.

ENXTPA:MRN Stock Report

Market Cap: €515.2m

Mersen Valuation

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

Below Fair Value: MRN (€21.2) is trading below our estimate of fair value (€81.59)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for MRN. This is calculated by dividing MRN's market cap by their current earnings.
What is MRN's PE Ratio?
PE Ratio6.7x
Earnings€76.60m
Market Cap€515.20m

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for MRN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average13.9x
PERR Gérard Perrier Industrie
17x5.0%€334.1m
NEX Nexans
18.7x13.1%€4.9b
ALOKW Groupe OKwind Société anonyme
9.5x28.0%€43.0m
ALCUR Arcure
10.3x26.6%€29.6m
MRN Mersen
6.7x15.1%€516.4m

Price-To-Earnings vs Peers: MRN is good value based on its Price-To-Earnings Ratio (6.7x) compared to the peer average (13.9x).

Price to Earnings Ratio vs Industry

How does MRN's PE Ratio compare vs other companies in the European Electrical Industry?

3 CompaniesPrice / EarningsEstimated GrowthMarket Cap
MRN 6.7xIndustry Avg. 17.0xNo. of Companies9PE01224364860+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: MRN is good value based on its Price-To-Earnings Ratio (6.7x) compared to the European Electrical industry average (17x).

Price to Earnings Ratio vs Fair Ratio

What is MRN'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.

MRN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio6.7x
Fair PE Ratio13.4x

Price-To-Earnings vs Fair Ratio: MRN is good value based on its Price-To-Earnings Ratio (6.7x) compared to the estimated Fair Price-To-Earnings Ratio (13.4x).

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 MRN forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€21.20
€36.01
+69.9%
22.8%€49.00€25.00n/a7
Nov ’25€21.80
€36.01
+65.2%
22.8%€49.00€25.00n/a7
Oct ’25€28.50
€49.29
+72.9%
8.4%€54.00€41.00n/a7
Sep ’25€30.95
€49.86
+61.1%
6.2%€54.00€45.00n/a7
Aug ’25€31.50
€49.86
+58.3%
6.2%€54.00€45.00n/a7
Jul ’25€32.65
€50.09
+53.4%
5.8%€54.00€45.00n/a7
Jun ’25€38.25
€50.10
+31.0%
6.3%€54.00€45.00n/a6
May ’25€34.80
€50.10
+44.0%
6.3%€54.00€45.00n/a6
Apr ’25€36.45
€50.03
+37.3%
7.1%€55.00€45.00n/a6
Mar ’25€35.15
€49.52
+40.9%
6.3%€54.00€45.00n/a6
Feb ’25€33.70
€50.35
+49.4%
4.8%€54.00€46.10n/a6
Jan ’25€35.20
€49.68
+41.1%
7.4%€54.00€42.10n/a6
Dec ’24€33.50
€50.52
+50.8%
9.1%€57.00€42.10n/a6
Nov ’24€31.00
€50.52
+63.0%
9.1%€57.00€42.10€21.806
Oct ’24€37.80
€51.10
+35.2%
5.0%€55.00€47.60€28.506
Sep ’24€41.75
€51.10
+22.4%
5.0%€55.00€47.60€30.956
Aug ’24€42.30
€50.43
+19.2%
6.4%€55.00€46.00€31.506
Jul ’24€41.50
€49.18
+18.5%
9.5%€57.00€45.00€32.656
Jun ’24€35.95
€50.00
+39.1%
9.4%€57.00€45.00€38.255
May ’24€36.60
€50.33
+37.5%
5.2%€54.00€48.00€34.803
Apr ’24€41.05
€48.92
+19.2%
5.7%€54.00€45.60€36.455
Mar ’24€45.40
€47.36
+4.3%
4.9%€50.00€44.50€35.155
Feb ’24€41.00
€47.36
+15.5%
4.9%€50.00€44.50€33.705
Jan ’24€37.75
€42.70
+13.1%
5.2%€46.00€40.00€35.205
Dec ’23€37.00
€42.70
+15.4%
5.2%€46.00€40.00€33.505
Nov ’23€32.70
€42.80
+30.9%
5.4%€46.00€40.00€31.005

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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