Restore Valuation

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

Below Fair Value: RST (£2.63) is trading below our estimate of fair value (£3.51)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for RST. This is calculated by dividing RST's market cap by their current earnings.
What is RST's PE Ratio?
PE Ratio	94.6x
Earnings	UK£3.80m
Market Cap	UK£359.43m

RST 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	2.1x
Enterprise Value/EBITDA	11.8x
PEG Ratio	1.9x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for RST 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	38.4x
MER Mears Group	8x	-15.6%	UK£336.1m
FRAN Franchise Brands	45x	n/a	UK£323.9m
JSG Johnson Service Group	19x	20.9%	UK£588.4m
SMS Smart Metering Systems	81.4x	15.2%	UK£1.3b
RST Restore	94.6x	48.8%	UK£359.4m

Price-To-Earnings vs Peers: RST is expensive based on its Price-To-Earnings Ratio (94.6x) compared to the peer average (38.4x).

Price to Earnings Ratio vs Industry

How does RST's PE Ratio compare vs other companies in the European Commercial Services Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap

0 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: RST is expensive based on its Price-To-Earnings Ratio (94.6x) compared to the European Commercial Services industry average (14.6x).

Price to Earnings Ratio vs Fair Ratio

What is RST'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.

RST PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	94.6x
Fair PE Ratio	34.7x

Price-To-Earnings vs Fair Ratio: RST is expensive based on its Price-To-Earnings Ratio (94.6x) compared to the estimated Fair Price-To-Earnings Ratio (34.7x).

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 RST forecast and predictions for the stock price in 12 month’s time.
Date	Share Price	Average 1Y Price Target	Dispersion	High	Low	1Y Actual price	Analysts
Current	UK£2.63	UK£3.46 +32.0%	12.8%	UK£4.30	UK£3.00	n/a	9
Nov ’25	UK£2.60	UK£3.42 +31.4%	14.7%	UK£4.30	UK£2.65	n/a	9
Oct ’25	UK£2.38	UK£3.42 +43.5%	14.7%	UK£4.30	UK£2.65	n/a	9
Sep ’25	UK£2.80	UK£3.37 +20.4%	15.7%	UK£4.30	UK£2.65	n/a	9
Aug ’25	UK£2.56	UK£3.23 +26.2%	14.2%	UK£4.00	UK£2.65	n/a	8
Jul ’25	UK£2.64	UK£3.12 +18.2%	12.1%	UK£3.80	UK£2.65	n/a	7
Jun ’25	UK£2.66	UK£3.12 +17.3%	12.1%	UK£3.80	UK£2.65	n/a	7
May ’25	UK£2.40	UK£3.07 +28.0%	12.6%	UK£3.80	UK£2.65	n/a	7
Apr ’25	UK£2.16	UK£3.07 +42.3%	12.6%	UK£3.80	UK£2.65	n/a	7
Mar ’25	UK£2.30	UK£2.91 +26.6%	15.6%	UK£3.50	UK£2.22	n/a	7
Feb ’25	UK£2.42	UK£2.78 +15.0%	17.5%	UK£3.50	UK£2.22	n/a	7
Jan ’25	UK£2.20	UK£2.71 +23.1%	22.1%	UK£3.50	UK£1.69	n/a	7
Dec ’24	UK£2.26	UK£2.71 +19.8%	22.1%	UK£3.50	UK£1.69	n/a	7
Nov ’24	UK£1.93	UK£2.71 +40.3%	22.1%	UK£3.50	UK£1.69	UK£2.60	7
Oct ’24	UK£2.35	UK£2.71 +15.2%	22.1%	UK£3.50	UK£1.69	UK£2.38	7
Sep ’24	UK£1.73	UK£2.67 +54.5%	22.3%	UK£3.50	UK£1.69	UK£2.80	7
Aug ’24	UK£1.63	UK£3.18 +95.6%	17.0%	UK£4.00	UK£2.50	UK£2.56	6
Jul ’24	UK£2.34	UK£4.35 +86.0%	17.0%	UK£5.50	UK£2.98	UK£2.64	7
Jun ’24	UK£2.47	UK£4.35 +76.2%	17.0%	UK£5.50	UK£2.98	UK£2.66	7
May ’24	UK£2.93	UK£5.01 +70.9%	12.3%	UK£6.00	UK£4.48	UK£2.40	7
Apr ’24	UK£2.70	UK£5.01 +85.5%	12.3%	UK£6.00	UK£4.48	UK£2.16	7
Mar ’24	UK£3.18	UK£5.04 +58.4%	12.1%	UK£6.00	UK£4.48	UK£2.30	7
Feb ’24	UK£3.40	UK£5.03 +47.9%	13.1%	UK£6.00	UK£4.48	UK£2.42	6
Jan ’24	UK£3.30	UK£5.03 +52.4%	13.1%	UK£6.00	UK£4.48	UK£2.20	6
Dec ’23	UK£3.27	UK£5.14 +57.1%	13.1%	UK£6.00	UK£4.48	UK£2.26	5
Nov ’23	UK£3.60	UK£5.75 +59.6%	9.2%	UK£6.45	UK£5.00	UK£1.93	5

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