Hargreaves Lansdown plc

BATS-CHIXE:HLL Stock Report

Market Cap: UK£5.2b

Hargreaves Lansdown Valuation

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

Valuation Score

2/6

Valuation Score 2/6

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

Discounted Cash Flow
Simply Wall St
UK£12.50
Fair Value
11.9% undervalued intrinsic discount
10
Number of Analysts

Below Fair Value: HLL (£11.02) is trading below our estimate of fair value (£12.5)

Significantly Below Fair Value: HLL 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 HLL?

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

The above table shows the Price to Earnings ratio for HLL. This is calculated by dividing HLL's market cap by their current earnings.
What is HLL's PE Ratio?
PE Ratio17.8x
EarningsUK£293.20m
Market CapUK£5.23b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for HLL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average23.2x
SDR Schroders
15.7x11.1%UK£5.9b
ICG Intermediate Capital Group
16.8x12.5%UK£6.7b
BPT Bridgepoint Group
49.7x32.9%UK£3.3b
PHLL Petershill Partners
10.5x29.0%UK£2.9b
HLL Hargreaves Lansdown
17.8x1.0%UK£5.2b

Price-To-Earnings vs Peers: HLL is good value based on its Price-To-Earnings Ratio (17.8x) compared to the peer average (23.2x).

Price to Earnings Ratio vs Industry

How does HLL's PE Ratio compare vs other companies in the GB Capital Markets Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
PNIX Phoenix Digital Assets
1.1xn/aUS$31.17m
IX. i(x) Net Zero
0.1xn/aUS$8.94m
SOL Supernova Digital Assets
2.1xn/aUS$6.37m
APQ APQ Global
0.1xn/aUS$1.95m
No. of Companies15PE01020304050+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: HLL is expensive based on its Price-To-Earnings Ratio (17.8x) compared to the UK Capital Markets industry average (12x).

Price to Earnings Ratio vs Fair Ratio

What is HLL'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.

HLL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio17.8x
Fair PE Ratio15.5x

Price-To-Earnings vs Fair Ratio: HLL is expensive based on its Price-To-Earnings Ratio (17.8x) compared to the estimated Fair Price-To-Earnings Ratio (15.5x).

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 HLL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£11.02
UK£11.08
+0.5%
5.3%UK£11.40UK£9.38n/a10
Feb ’26UK£11.02
UK£11.08
+0.6%
5.3%UK£11.40UK£9.38n/a10
Jan ’26UK£10.97
UK£11.29
+3.0%
7.7%UK£13.42UK£9.38n/a11
Dec ’25UK£10.92
UK£11.29
+3.4%
7.7%UK£13.42UK£9.38n/a11
Nov ’25UK£10.88
UK£11.23
+3.1%
7.7%UK£13.42UK£9.38n/a12
Oct ’25UK£11.13
UK£10.83
-2.7%
12.2%UK£13.42UK£7.60n/a13
Sep ’25UK£11.04
UK£10.78
-2.3%
13.4%UK£13.42UK£6.95n/a13
Aug ’25UK£10.98
UK£10.19
-7.1%
20.1%UK£13.42UK£6.85n/a14
Jul ’25UK£11.30
UK£9.84
-12.9%
22.3%UK£13.42UK£6.30n/a14
Jun ’25UK£10.53
UK£9.36
-11.1%
25.1%UK£15.00UK£6.30n/a17
May ’25UK£8.05
UK£9.31
+15.6%
26.2%UK£15.00UK£6.20n/a17
Apr ’25UK£7.39
UK£9.22
+24.7%
27.5%UK£15.00UK£6.00n/a18
Mar ’25UK£7.37
UK£9.22
+25.1%
27.5%UK£15.00UK£6.00n/a18
Feb ’25UK£7.57
UK£9.63
+27.2%
32.2%UK£17.00UK£6.00UK£11.0218
Jan ’25UK£7.31
UK£9.64
+31.8%
32.5%UK£17.00UK£6.00UK£10.9718
Dec ’24UK£7.12
UK£9.66
+35.7%
32.2%UK£17.00UK£6.00UK£10.9218
Nov ’24UK£7.12
UK£9.97
+40.0%
30.1%UK£17.00UK£6.00UK£10.8817
Oct ’24UK£7.72
UK£10.25
+32.8%
29.9%UK£17.25UK£6.60UK£11.1318
Sep ’24UK£7.65
UK£9.96
+30.2%
28.2%UK£16.50UK£6.50UK£11.0419
Aug ’24UK£8.40
UK£10.10
+20.3%
26.5%UK£16.50UK£7.00UK£10.9819
Jul ’24UK£8.19
UK£10.02
+22.4%
27.5%UK£16.79UK£7.00UK£11.3019
Jun ’24UK£8.07
UK£10.15
+25.9%
27.3%UK£16.79UK£7.00UK£10.5318
May ’24UK£8.02
UK£10.19
+27.0%
26.7%UK£16.79UK£7.00UK£8.0518
Apr ’24UK£7.99
UK£10.07
+26.0%
26.8%UK£16.79UK£6.61UK£7.3920
Mar ’24UK£8.38
UK£10.14
+20.9%
26.2%UK£16.79UK£6.61UK£7.3720
Feb ’24UK£8.82
UK£10.31
+16.9%
22.8%UK£16.50UK£7.80UK£7.5719
Analyst Price Target
Consensus Narrative from 10 Analysts
UK£11.07
Fair Value
0.5% undervalued intrinsic discount
10
Number of Analysts

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

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/02/11 10:21
End of Day Share Price 2025/02/11 00:00
Earnings2024/06/30
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

Hargreaves Lansdown plc is covered by 33 analysts. 11 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Daniel GarrodBarclays
Peter RichardsonBerenberg
Arnaud Maurice GiblatBNP Paribas Exane