Ten Entertainment Group plc

LSE:TEG Stock Report

Market Cap: UK£286.0m

Ten Entertainment Group Valuation

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

Below Fair Value: TEG (£4.11) is trading below our estimate of fair value (£4.83)

Significantly Below Fair Value: TEG is trading below fair value, but not by a significant amount.

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for TEG. This is calculated by dividing TEG's market cap by their current earnings.
What is TEG's PE Ratio?
PE Ratio13.9x
EarningsUK£20.60m
Market CapUK£285.96m

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for TEG vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average19.9x
BOWL Hollywood Bowl Group
16.5x6.2%UK£582.5m
NYR Newbury Racecourse
18.3xn/aUK£17.4m
OTB On the Beach Group
19.4x22.2%UK£391.6m
PPH PPHE Hotel Group
25.2x30.9%UK£553.7m
TEG Ten Entertainment Group
13.9x4.5%UK£286.0m

Price-To-Earnings vs Peers: TEG is good value based on its Price-To-Earnings Ratio (13.9x) compared to the peer average (24.2x).

Price to Earnings Ratio vs Industry

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

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
TAST Tasty
0.4x-75.9%US$2.39m
No more companies available in this PE range
TEG 13.9xIndustry Avg. 19.4xNo. of Companies5PE01224364860+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: TEG is good value based on its Price-To-Earnings Ratio (13.9x) compared to the UK Hospitality industry average (21.5x).

Price to Earnings Ratio vs Fair Ratio

What is TEG'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.

TEG PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio13.9x
Fair PE Ratio13.9x

Price-To-Earnings vs Fair Ratio: TEG is good value based on its Price-To-Earnings Ratio (13.9x) compared to the estimated Fair Price-To-Earnings Ratio (13.9x).

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 TEG forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Currentn/a
UK£4.04
0%
3.5%UK£4.13UK£3.80n/a4
Dec ’25n/a
UK£4.04
0%
3.5%UK£4.13UK£3.80n/a4
Nov ’25n/a
UK£4.04
0%
3.5%UK£4.13UK£3.80n/a4
Oct ’25n/a
UK£4.04
0%
3.5%UK£4.13UK£3.80n/a4
Sep ’25n/a
UK£4.04
0%
3.5%UK£4.13UK£3.80n/a4
Aug ’25n/a
UK£4.04
0%
3.5%UK£4.13UK£3.80n/a4
Jul ’25n/a
UK£4.04
0%
3.5%UK£4.13UK£3.80n/a4
Jun ’25n/a
UK£4.04
0%
3.5%UK£4.13UK£3.80n/a4
May ’25n/a
UK£4.04
0%
3.5%UK£4.13UK£3.80n/a4
Apr ’25n/a
UK£4.04
0%
3.5%UK£4.13UK£3.80n/a4
Mar ’25n/a
UK£4.04
0%
3.5%UK£4.13UK£3.80n/a4
Feb ’25n/a
UK£4.04
0%
3.5%UK£4.13UK£3.80n/a4
Jan ’25UK£4.13
UK£4.04
-2.1%
3.5%UK£4.13UK£3.80n/a4
Dec ’24UK£3.01
UK£3.97
+31.9%
7.3%UK£4.50UK£3.65n/a5
Nov ’24UK£2.86
UK£3.97
+38.8%
7.3%UK£4.50UK£3.65n/a5
Oct ’24UK£3.07
UK£3.97
+29.3%
7.3%UK£4.50UK£3.65n/a5
Sep ’24UK£2.84
UK£3.89
+37.0%
9.5%UK£4.50UK£3.40n/a5
Aug ’24UK£2.95
UK£3.89
+31.9%
9.5%UK£4.50UK£3.40n/a5
Jul ’24UK£2.80
UK£3.86
+37.8%
8.8%UK£4.50UK£3.40n/a6
Jun ’24UK£2.80
UK£3.86
+37.8%
8.8%UK£4.50UK£3.40n/a6
May ’24UK£2.69
UK£3.86
+43.4%
8.8%UK£4.50UK£3.40n/a6
Apr ’24UK£2.74
UK£3.81
+39.0%
9.6%UK£4.50UK£3.40n/a6
Mar ’24UK£2.65
UK£3.81
+43.7%
9.6%UK£4.50UK£3.40n/a6
Feb ’24UK£2.80
UK£3.81
+36.0%
9.6%UK£4.50UK£3.40n/a6
Jan ’24UK£2.54
UK£3.66
+44.0%
7.0%UK£4.00UK£3.39UK£4.136
Dec ’23UK£2.44
UK£3.66
+50.2%
7.0%UK£4.00UK£3.39UK£3.016

Analyst Forecast: Target price is lower than the current share price.

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