RELX Valuation

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

Below Fair Value: REL (£35.72) is trading above our estimate of fair value (£34.46)

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


Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

REL 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/Revenue7.9x
Enterprise Value/EBITDA24.4x
PEG Ratio4.3x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for REL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average33.5x
EXPN Experian
39x10.7%UK£35.8b
ITRK Intertek Group
26.3x10.4%UK£8.1b
DATA GlobalData
48.1x27.7%UK£1.6b
WIL Wilmington
20.7x4.5%UK£356.9m
REL RELX
35.1x8.1%UK£66.4b

Price-To-Earnings vs Peers: REL is expensive based on its Price-To-Earnings Ratio (35.1x) compared to the peer average (33.5x).


Price to Earnings Ratio vs Industry

How does REL's PE Ratio compare vs other companies in the GB Professional Services Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a11.1%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a11.1%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: REL is expensive based on its Price-To-Earnings Ratio (35.1x) compared to the UK Professional Services industry average (22.9x).


Price to Earnings Ratio vs Fair Ratio

What is REL'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.

REL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio35.1x
Fair PE Ratio34.8x

Price-To-Earnings vs Fair Ratio: REL is expensive based on its Price-To-Earnings Ratio (35.1x) compared to the estimated Fair Price-To-Earnings Ratio (34.8x).


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 REL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£35.72
UK£39.20
+9.7%
7.1%UK£43.12UK£35.00n/a14
Oct ’25UK£35.46
UK£39.18
+10.5%
6.9%UK£43.12UK£35.00n/a14
Sep ’25UK£35.39
UK£38.88
+9.9%
6.6%UK£42.50UK£35.00n/a13
Aug ’25UK£35.90
UK£38.88
+8.3%
6.6%UK£42.50UK£35.00n/a13
Jul ’25UK£35.77
UK£38.07
+6.4%
7.3%UK£42.00UK£33.00n/a13
Jun ’25UK£34.16
UK£37.81
+10.7%
7.3%UK£42.00UK£33.00n/a14
May ’25UK£33.00
UK£37.17
+12.6%
7.4%UK£42.00UK£32.50n/a14
Apr ’25UK£34.24
UK£36.88
+7.7%
7.0%UK£41.00UK£32.50n/a14
Mar ’25UK£34.11
UK£36.69
+7.6%
6.7%UK£41.00UK£32.50n/a13
Feb ’25UK£32.89
UK£34.91
+6.1%
10.3%UK£38.85UK£24.80n/a13
Jan ’25UK£31.10
UK£31.68
+1.9%
9.1%UK£37.70UK£24.80n/a13
Dec ’24UK£30.48
UK£31.10
+2.0%
7.7%UK£34.05UK£24.80n/a13
Nov ’24UK£28.62
UK£31.10
+8.7%
7.7%UK£34.05UK£24.80n/a13
Oct ’24UK£27.75
UK£29.15
+5.0%
9.9%UK£32.70UK£22.00UK£35.4614
Sep ’24UK£25.79
UK£28.43
+10.2%
9.6%UK£31.00UK£22.00UK£35.3914
Aug ’24UK£26.03
UK£28.43
+9.2%
9.6%UK£31.00UK£22.00UK£35.9014
Jul ’24UK£26.21
UK£27.79
+6.0%
10.7%UK£31.00UK£20.00UK£35.7714
Jun ’24UK£25.42
UK£27.72
+9.0%
11.0%UK£31.00UK£20.00UK£34.1614
May ’24UK£26.46
UK£27.31
+3.2%
10.7%UK£31.00UK£20.00UK£33.0014
Apr ’24UK£26.18
UK£26.88
+2.7%
11.4%UK£31.00UK£20.00UK£34.2414
Mar ’24UK£25.28
UK£26.53
+4.9%
11.2%UK£29.70UK£20.00UK£34.1115
Feb ’24UK£24.04
UK£26.01
+8.2%
10.8%UK£29.50UK£20.00UK£32.8916
Jan ’24UK£22.88
UK£25.89
+13.2%
10.8%UK£29.50UK£20.00UK£31.1017
Dec ’23UK£23.34
UK£25.92
+11.1%
11.0%UK£30.20UK£20.00UK£30.4817
Nov ’23UK£22.88
UK£25.83
+12.9%
11.0%UK£30.20UK£20.00UK£28.6218
Oct ’23UK£22.02
UK£25.34
+15.1%
11.9%UK£29.86UK£17.60UK£27.7519

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


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