Mortgage Advice Bureau (Holdings) plc

AIM:MAB1 Stock Report

Market Cap: UK£381.4m

Mortgage Advice Bureau (Holdings) Valuation

Is MAB1 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 MAB1 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MAB1 (£6.42) is trading above our estimate of fair value (£3.63)

Significantly Below Fair Value: MAB1 is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for MAB1?

Key metric: As MAB1 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for MAB1. This is calculated by dividing MAB1's market cap by their current earnings.
What is MAB1's PE Ratio?
PE Ratio34.6x
EarningsUK£10.74m
Market CapUK£381.36m

Price to Earnings Ratio vs Peers

How does MAB1's PE Ratio compare to its peers?

The above table shows the PE ratio for MAB1 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average9.1x
NBS Nationwide Building Society
1.2xn/aUK£1.2b
PAG Paragon Banking Group
8.6x3.3%UK£1.6b
OSB OSB Group
4x-3.8%UK£1.6b
DVNO Develop North
22.6xn/aUK£19.5m
MAB1 Mortgage Advice Bureau (Holdings)
34.6x26.4%UK£372.1m

Price-To-Earnings vs Peers: MAB1 is expensive based on its Price-To-Earnings Ratio (34.6x) compared to the peer average (9.1x).


Price to Earnings Ratio vs Industry

How does MAB1's PE Ratio compare vs other companies in the GB Diversified Financial Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
NBS Nationwide Building Society
1.2xn/aUS$1.53b
No more companies available in this PE range
MAB1 34.6xIndustry Avg. 13.4xNo. of Companies3PE01020304050+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: MAB1 is expensive based on its Price-To-Earnings Ratio (34.6x) compared to the UK Diversified Financial industry average (13.4x).


Price to Earnings Ratio vs Fair Ratio

What is MAB1'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.

MAB1 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio34.6x
Fair PE Ratio18.5x

Price-To-Earnings vs Fair Ratio: MAB1 is expensive based on its Price-To-Earnings Ratio (34.6x) compared to the estimated Fair Price-To-Earnings Ratio (18.5x).


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 MAB1 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£6.42
UK£9.50
+48.0%
5.3%UK£10.00UK£9.00n/a2
Nov ’25UK£7.84
UK£10.25
+30.7%
2.4%UK£10.50UK£10.00n/a2
Oct ’25UK£6.64
UK£10.25
+54.4%
2.4%UK£10.50UK£10.00n/a2
Sep ’25UK£7.80
UK£10.25
+31.4%
2.4%UK£10.50UK£10.00n/a2
Aug ’25UK£9.24
UK£10.25
+10.9%
2.4%UK£10.50UK£10.00n/a2
Mar ’25UK£8.30
UK£8.65
+4.2%
4.0%UK£9.00UK£8.30n/a2
Feb ’25UK£8.22
UK£8.65
+5.2%
4.0%UK£9.00UK£8.30n/a2
Jan ’25UK£8.20
UK£8.15
-0.6%
1.8%UK£8.30UK£8.00n/a2
Dec ’24UK£6.84
UK£8.15
+19.2%
1.8%UK£8.30UK£8.00UK£6.302
Nov ’24UK£5.72
UK£8.15
+42.5%
1.8%UK£8.30UK£8.00UK£7.842
Oct ’24UK£5.36
UK£8.25
+53.9%
3.0%UK£8.50UK£8.00UK£6.642
Sep ’24UK£5.96
UK£8.25
+38.4%
3.0%UK£8.50UK£8.00UK£7.802
Aug ’24UK£6.38
UK£8.08
+26.7%
3.9%UK£8.50UK£7.75UK£9.243
Jul ’24UK£5.90
UK£8.08
+37.0%
3.9%UK£8.50UK£7.75UK£8.083
Jun ’24UK£7.12
UK£8.08
+13.5%
3.9%UK£8.50UK£7.75UK£8.903
May ’24UK£7.80
UK£8.08
+3.6%
3.9%UK£8.50UK£7.75UK£8.603
Apr ’24UK£7.42
UK£8.01
+7.9%
2.7%UK£8.27UK£7.75UK£9.123
Mar ’24UK£6.02
UK£8.01
+33.0%
2.7%UK£8.27UK£7.75UK£8.303
Feb ’24UK£6.78
UK£8.01
+18.1%
2.7%UK£8.27UK£7.75UK£8.223
Jan ’24UK£5.30
UK£9.62
+81.6%
21.9%UK£12.60UK£8.00UK£8.203
Dec ’23UK£5.24
UK£12.27
+134.1%
27.4%UK£16.20UK£8.00UK£6.843

Analyst Forecast: Target price is more than 20% higher than the current share price, but there are not enough analysts covering the stock to determine statistical confidence in agreement.


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