Barratt Redrow plc

BATS-CHIXE:BTRWL Stock Report

Market Cap: UK£6.4b

Barratt Redrow Valuation

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

Valuation Score

1/6

Valuation Score 1/6

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

Discounted Cash Flow
Simply Wall St
UK£2.28
Fair Value
97.2% overvalued intrinsic discount
18
Number of Analysts

Below Fair Value: BTRWL (£4.49) is trading above our estimate of fair value (£2.28)

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for BTRWL. This is calculated by dividing BTRWL's market cap by their current earnings.
What is BTRWL's PE Ratio?
PE Ratio53.2x
EarningsUK£120.60m
Market CapUK£6.42b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for BTRWL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average16.2x
PSN Persimmon
14.9x14.0%UK£3.9b
TW. Taylor Wimpey
18.8x16.7%UK£4.0b
BKG Berkeley Group Holdings
10.4x-5.4%UK£3.9b
BWY Bellway
20.7x20.2%UK£3.0b
BTRWL Barratt Redrow
53.2x32.3%UK£6.4b

Price-To-Earnings vs Peers: BTRWL is expensive based on its Price-To-Earnings Ratio (53.2x) compared to the peer average (15.9x).


Price to Earnings Ratio vs Industry

How does BTRWL's PE Ratio compare vs other companies in the European Consumer Durables Industry?

3 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No. of Companies12PE0816243240+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: BTRWL is expensive based on its Price-To-Earnings Ratio (53.2x) compared to the European Consumer Durables industry average (13.6x).


Price to Earnings Ratio vs Fair Ratio

What is BTRWL'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.

BTRWL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio53.2x
Fair PE Ratio33.9x

Price-To-Earnings vs Fair Ratio: BTRWL is expensive based on its Price-To-Earnings Ratio (53.2x) compared to the estimated Fair Price-To-Earnings Ratio (33.9x).


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 BTRWL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£4.49
UK£5.62
+25.3%
10.1%UK£7.60UK£4.75n/a18
Apr ’26UK£4.24
UK£5.60
+32.2%
10.2%UK£7.60UK£4.75n/a18
Mar ’26UK£4.27
UK£5.60
+31.2%
10.2%UK£7.60UK£4.75n/a18
Feb ’26UK£4.57
UK£5.57
+22.0%
11.7%UK£7.60UK£4.75n/a18
Jan ’26UK£4.41
UK£5.73
+30.0%
11.1%UK£7.60UK£5.00n/a16
Dec ’25UK£4.26
UK£5.80
+36.0%
10.5%UK£7.60UK£5.00n/a16
Nov ’25UK£4.49
UK£5.83
+29.7%
10.0%UK£7.60UK£5.00n/a16
Oct ’25n/a
UK£5.80
0%
10.3%UK£7.60UK£5.00n/a16
Sep ’25n/a
UK£5.62
0%
13.2%UK£7.60UK£4.30n/a15
Aug ’25n/a
UK£5.41
0%
14.6%UK£7.60UK£4.30n/a14
Jul ’25n/a
UK£5.43
0%
13.9%UK£7.40UK£4.30n/a14
Jun ’25n/a
UK£5.44
0%
13.9%UK£7.40UK£4.30n/a13
May ’25n/a
UK£5.42
0%
14.2%UK£7.40UK£4.30n/a13
Apr ’25n/a
UK£5.28
0%
16.9%UK£7.40UK£3.70UK£4.2413
Mar ’25n/a
UK£5.46
0%
19.8%UK£7.53UK£3.70UK£4.2713
Feb ’25n/a
UK£5.51
0%
16.9%UK£7.53UK£3.70UK£4.5716
Jan ’25n/a
UK£5.19
0%
18.4%UK£7.53UK£3.70UK£4.4116
Dec ’24n/a
UK£5.09
0%
18.1%UK£7.53UK£3.70UK£4.2616
Nov ’24n/a
UK£5.13
0%
18.3%UK£7.53UK£3.70UK£4.4917
Oct ’24n/a
UK£5.08
0%
18.3%UK£7.53UK£3.70n/a19
Sep ’24n/a
UK£5.13
0%
18.7%UK£7.53UK£3.70n/a19
Aug ’24n/a
UK£5.13
0%
18.7%UK£7.53UK£3.70n/a19
Jul ’24n/a
UK£5.53
0%
15.7%UK£7.53UK£4.30n/a19
Jun ’24n/a
UK£5.59
0%
14.6%UK£7.53UK£4.30n/a18
May ’24n/a
UK£5.37
0%
14.0%UK£7.10UK£4.30n/a17
Apr ’24n/a
UK£5.12
0%
15.9%UK£7.10UK£3.90n/a16
AnalystConsensusTarget
Consensus Narrative from 18 Analysts
UK£5.62
Fair Value
20.2% undervalued intrinsic discount
18
Number of Analysts

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


Discover undervalued companies

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/04/22 17:30
End of Day Share Price 2025/04/22 00:00
Earnings2024/12/29
Annual Earnings2024/06/30

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.

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 Github.

Analyst Sources

Barratt Redrow plc is covered by 39 analysts. 16 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Rajesh PatkiBarclays
Emily BiddulphBarclays
Jonathan BellBarclays