Weir Group Valuation

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

Valuation Score

0/6

Valuation Score 0/6

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

Below Fair Value: WEIR (£22.4) is trading above our estimate of fair value (£21.42)

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for WEIR. This is calculated by dividing WEIR's market cap by their current earnings.
What is WEIR's PE Ratio?
PE Ratio26.2x
EarningsUK£220.60m
Market CapUK£5.78b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for WEIR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average21.7x
SPX Spirax Group
27.1x8.6%UK£5.2b
IMI IMI
18.6x12.2%UK£4.7b
ROR Rotork
22.5x10.0%UK£2.7b
BOY Bodycote
18.7x23.5%UK£1.2b
WEIR Weir Group
26.2x18.5%UK£5.8b

Price-To-Earnings vs Peers: WEIR is expensive based on its Price-To-Earnings Ratio (26.2x) compared to the peer average (21.7x).


Price to Earnings Ratio vs Industry

How does WEIR's PE Ratio compare vs other companies in the European Machinery Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
WEIR 26.2xIndustry Avg. 17.7xNo. of Companies29PE01224364860+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: WEIR is expensive based on its Price-To-Earnings Ratio (26.2x) compared to the European Machinery industry average (17.7x).


Price to Earnings Ratio vs Fair Ratio

What is WEIR'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.

WEIR PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio26.2x
Fair PE Ratio24.2x

Price-To-Earnings vs Fair Ratio: WEIR is expensive based on its Price-To-Earnings Ratio (26.2x) compared to the estimated Fair Price-To-Earnings Ratio (24.2x).


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 WEIR forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£22.40
UK£24.14
+7.8%
6.3%UK£26.00UK£21.00n/a19
Dec ’25UK£22.24
UK£23.73
+6.7%
6.7%UK£25.90UK£20.80n/a19
Nov ’25UK£21.00
UK£22.99
+9.5%
7.3%UK£25.70UK£19.30n/a19
Oct ’25UK£21.42
UK£22.95
+7.1%
7.6%UK£25.70UK£19.30n/a19
Sep ’25UK£20.06
UK£23.06
+15.0%
7.3%UK£25.70UK£19.30n/a20
Aug ’25UK£19.80
UK£23.16
+17.0%
7.9%UK£26.00UK£19.30n/a20
Jul ’25UK£19.86
UK£23.06
+16.1%
9.3%UK£26.00UK£18.60n/a20
Jun ’25UK£21.24
UK£22.78
+7.3%
9.7%UK£26.00UK£18.60n/a20
May ’25UK£20.26
UK£22.51
+11.1%
10.0%UK£25.75UK£17.80n/a18
Apr ’25UK£20.22
UK£22.38
+10.7%
12.2%UK£25.75UK£15.75n/a17
Mar ’25UK£18.52
UK£22.55
+21.8%
12.5%UK£25.75UK£15.75n/a17
Feb ’25UK£18.13
UK£22.54
+24.3%
12.7%UK£25.75UK£16.00n/a17
Jan ’25UK£18.87
UK£22.41
+18.8%
12.6%UK£25.50UK£16.00n/a16
Dec ’24UK£19.00
UK£23.15
+21.9%
9.8%UK£25.50UK£17.20UK£22.2416
Nov ’24UK£16.99
UK£23.15
+36.2%
9.8%UK£25.50UK£17.20UK£21.0016
Oct ’24UK£19.02
UK£22.90
+20.4%
9.0%UK£25.30UK£17.90UK£21.4215
Sep ’24UK£18.42
UK£22.51
+22.2%
9.7%UK£25.30UK£17.90UK£20.0616
Aug ’24UK£18.75
UK£22.29
+18.9%
8.8%UK£24.20UK£17.90UK£19.8017
Jul ’24UK£17.56
UK£22.15
+26.2%
9.3%UK£25.00UK£17.60UK£19.8617
Jun ’24UK£17.16
UK£22.27
+29.8%
8.5%UK£25.00UK£17.60UK£21.2417
May ’24UK£18.40
UK£22.21
+20.7%
8.4%UK£25.00UK£17.60UK£20.2617
Apr ’24UK£18.59
UK£21.53
+15.8%
9.8%UK£25.00UK£17.60UK£20.2217
Mar ’24UK£20.18
UK£20.17
-0.06%
15.1%UK£24.00UK£11.50UK£18.5216
Feb ’24UK£17.90
UK£19.46
+8.7%
14.7%UK£23.00UK£11.50UK£18.1316
Jan ’24UK£16.69
UK£19.39
+16.2%
15.1%UK£23.00UK£11.00UK£18.8716
Dec ’23UK£17.70
UK£19.65
+11.0%
14.2%UK£23.00UK£11.00UK£19.0016

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


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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/18 02:53
End of Day Share Price 2024/12/18 00:00
Earnings2024/06/30
Annual Earnings2023/12/31

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

The Weir Group PLC is covered by 45 analysts. 17 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
David LarkamArden Partners Plc.
Nick WebsterBarclays
Jonathan HurnBarclays