XP Power Limited

LSE:XPP Stock Report

Market Cap: UK£311.1m

XP Power Valuation

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

Below Fair Value: XPP (£13.16) is trading above our estimate of fair value (£8.27)

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

Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for XPP. This is calculated by dividing XPP's market cap by their current revenue.
What is XPP's PS Ratio?
PS Ratio1.1x
SalesUK£283.30m
Market CapUK£311.09m

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for XPP vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average3.1x
CWR Ceres Power Holdings
7.9x21.5%UK£311.3m
TFW FW Thorpe
2.1xn/aUK£375.5m
DSCV discoverIE Group
1.4x2.8%UK£614.0m
LUCE Luceco
0.9x8.2%UK£195.9m
XPP XP Power
1.1x3.4%UK£311.1m

Price-To-Sales vs Peers: XPP is good value based on its Price-To-Sales Ratio (1.1x) compared to the peer average (3.1x).

Price to Sales Ratio vs Industry

How does XPP's PS Ratio compare vs other companies in the GB Electrical Industry?

12 CompaniesPrice / SalesEstimated GrowthMarket Cap
Industry Avg.1.9x14.4%
XPP XP Power
 1.1x3.4%US$391.83m
DSCV discoverIE Group
1.4x2.8%US$773.40m
VLX Volex
0.7x6.7%US$674.88m
XPP 1.1xIndustry Avg. 1.9xNo. of Companies12PS0612182430+
12 CompaniesEstimated GrowthMarket Cap
Industry Avg.1.9x31.6%
XPP XP Power
 1.1x93.9%US$391.83m
No more companies

Price-To-Sales vs Industry: XPP is good value based on its Price-To-Sales Ratio (1.1x) compared to the UK Electrical industry average (2x).

Price to Sales Ratio vs Fair Ratio

What is XPP'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.

XPP PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio1.1x
Fair PS Ratio0.8x

Price-To-Sales vs Fair Ratio: XPP is expensive based on its Price-To-Sales Ratio (1.1x) compared to the estimated Fair Price-To-Sales Ratio (0.8x).

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 XPP forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£13.16
UK£19.37
+47.2%
20.2%UK£25.30UK£13.40n/a6
Nov ’25UK£12.46
UK£19.37
+55.4%
20.2%UK£25.30UK£13.40n/a6
Oct ’25UK£13.20
UK£19.37
+46.7%
20.2%UK£25.30UK£13.40n/a6
Sep ’25UK£14.74
UK£19.37
+31.4%
20.2%UK£25.30UK£13.40n/a6
Aug ’25UK£13.24
UK£19.37
+46.3%
20.2%UK£25.30UK£13.40n/a6
Jul ’25UK£14.24
UK£18.83
+32.3%
23.3%UK£25.30UK£13.40n/a6
Jun ’25UK£15.20
UK£17.75
+16.8%
22.6%UK£25.30UK£13.40n/a6
May ’25UK£11.00
UK£15.73
+43.0%
28.6%UK£25.30UK£12.30n/a6
Apr ’25UK£10.90
UK£16.00
+46.8%
28.6%UK£25.30UK£11.30n/a6
Mar ’25UK£10.66
UK£16.25
+52.4%
27.1%UK£25.30UK£11.30n/a6
Feb ’25UK£14.36
UK£17.53
+22.1%
21.1%UK£25.50UK£14.00n/a7
Jan ’25UK£13.56
UK£17.86
+31.7%
24.8%UK£25.50UK£12.50n/a7
Dec ’24UK£12.00
UK£17.86
+48.8%
24.8%UK£25.50UK£12.50n/a7
Nov ’24UK£11.42
UK£16.10
+41.0%
22.0%UK£22.10UK£12.00UK£12.467
Oct ’24UK£23.60
UK£25.64
+8.7%
15.8%UK£30.00UK£18.20UK£13.207
Sep ’24UK£21.10
UK£25.64
+21.5%
15.8%UK£30.00UK£18.20UK£14.747
Aug ’24UK£20.10
UK£25.54
+27.1%
15.4%UK£30.00UK£18.20UK£13.247
Jul ’24UK£19.68
UK£25.67
+30.4%
13.7%UK£30.00UK£18.20UK£14.247
Jun ’24UK£21.20
UK£25.67
+21.1%
13.7%UK£30.00UK£18.20UK£15.207
May ’24UK£22.15
UK£25.67
+15.9%
13.7%UK£30.00UK£18.20UK£11.007
Apr ’24UK£20.35
UK£25.67
+26.1%
13.7%UK£30.00UK£18.20UK£10.907
Mar ’24UK£23.45
UK£26.29
+12.1%
14.2%UK£30.00UK£18.20UK£10.667
Feb ’24UK£24.35
UK£26.29
+7.9%
14.2%UK£30.00UK£18.20UK£14.367
Jan ’24UK£20.35
UK£25.44
+25.0%
29.5%UK£40.00UK£18.00UK£13.567
Dec ’23UK£20.80
UK£25.19
+21.1%
30.9%UK£40.00UK£16.20UK£12.007
Nov ’23UK£18.12
UK£24.69
+36.2%
32.2%UK£40.00UK£16.20UK£11.427

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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