Hollywood Bowl Group plc

LSE:BOWL Stock Report

Market Cap: UK£541.2m

Hollywood Bowl Group Valuation

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

Valuation Score

4/6

Valuation Score 4/6

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

Below Fair Value: BOWL (£3.17) is trading above our estimate of fair value (£3)

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for BOWL. This is calculated by dividing BOWL's market cap by their current earnings.
What is BOWL's PE Ratio?
PE Ratio15.5x
EarningsUK£35.20m
Market CapUK£541.20m

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for BOWL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average24.4x
TEG Ten Entertainment Group
13.9x4.5%UK£286.0m
PPH PPHE Hotel Group
22.5x31.6%UK£484.8m
NYR Newbury Racecourse
17.1xn/aUK£16.2m
YNGA Young's Brewery
44.1x30.9%UK£525.8m
BOWL Hollywood Bowl Group
15.5x6.6%UK£541.2m

Price-To-Earnings vs Peers: BOWL is good value based on its Price-To-Earnings Ratio (15.5x) compared to the peer average (24.4x).


Price to Earnings Ratio vs Industry

How does BOWL's PE Ratio compare vs other companies in the GB Hospitality Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
TAST Tasty
0.4x-75.9%US$2.75m
No more companies available in this PE range
BOWL 15.5xIndustry Avg. 20.4xNo. of Companies5PE01224364860+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: BOWL is good value based on its Price-To-Earnings Ratio (15.5x) compared to the UK Hospitality industry average (20.4x).


Price to Earnings Ratio vs Fair Ratio

What is BOWL'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.

BOWL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio15.5x
Fair PE Ratio18x

Price-To-Earnings vs Fair Ratio: BOWL is good value based on its Price-To-Earnings Ratio (15.5x) compared to the estimated Fair Price-To-Earnings Ratio (18x).


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 BOWL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£3.17
UK£4.02
+27.1%
6.7%UK£4.40UK£3.70n/a6
Nov ’25UK£3.21
UK£4.02
+25.3%
6.7%UK£4.40UK£3.70n/a6
Oct ’25UK£3.10
UK£3.96
+27.7%
6.6%UK£4.40UK£3.70n/a5
Sep ’25UK£3.35
UK£3.96
+18.3%
6.6%UK£4.40UK£3.70n/a5
Aug ’25UK£3.32
UK£3.96
+19.4%
6.6%UK£4.40UK£3.70n/a5
Jul ’25UK£3.06
UK£3.96
+29.6%
6.6%UK£4.40UK£3.70n/a5
Jun ’25UK£3.32
UK£3.91
+17.7%
6.8%UK£4.40UK£3.65n/a6
May ’25UK£3.44
UK£3.87
+12.6%
7.5%UK£4.40UK£3.60n/a6
Apr ’25UK£3.30
UK£3.73
+13.2%
10.1%UK£4.40UK£3.15n/a7
Mar ’25UK£3.36
UK£3.69
+9.9%
10.8%UK£4.40UK£3.15n/a7
Feb ’25UK£2.86
UK£3.65
+27.8%
11.4%UK£4.40UK£3.15n/a7
Jan ’25UK£3.06
UK£3.65
+19.3%
11.4%UK£4.40UK£3.15n/a7
Dec ’24UK£2.75
UK£3.62
+31.7%
10.4%UK£4.30UK£3.15n/a7
Nov ’24UK£2.51
UK£3.62
+44.3%
10.4%UK£4.30UK£3.15UK£3.217
Oct ’24UK£2.48
UK£3.51
+41.7%
8.2%UK£4.10UK£3.15UK£3.107
Sep ’24UK£2.34
UK£3.42
+46.5%
11.0%UK£4.10UK£2.90UK£3.357
Aug ’24UK£2.20
UK£3.38
+53.4%
11.1%UK£4.10UK£2.90UK£3.328
Jul ’24UK£2.50
UK£3.38
+35.3%
11.1%UK£4.10UK£2.90UK£3.068
Jun ’24UK£2.71
UK£3.33
+22.7%
12.0%UK£4.10UK£2.90UK£3.328
May ’24UK£2.41
UK£3.34
+39.0%
8.2%UK£3.80UK£2.95UK£3.448
Apr ’24UK£2.33
UK£3.25
+39.5%
6.4%UK£3.50UK£2.95UK£3.308
Mar ’24UK£2.43
UK£3.25
+34.0%
6.4%UK£3.50UK£2.95UK£3.368
Feb ’24UK£2.73
UK£3.24
+18.6%
6.1%UK£3.50UK£2.95UK£2.868
Jan ’24UK£2.49
UK£3.21
+29.0%
6.2%UK£3.50UK£2.95UK£3.068
Dec ’23UK£2.15
UK£3.21
+49.4%
6.2%UK£3.50UK£2.95UK£2.758
Nov ’23UK£2.03
UK£3.21
+58.3%
6.2%UK£3.50UK£2.95UK£2.518

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


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