M&G plc

BATS-CHIXE:MNGL Stock Report

Market Cap: UK£4.5b

M&G Valuation

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

Valuation Score

3/6

Valuation Score 3/6

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

Below Fair Value: MNGL (£1.94) is trading below our estimate of fair value (£4.12)

Significantly Below Fair Value: MNGL is trading below fair value by more than 20%.

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

MNGL key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.2x
Enterprise Value/EBITDA5.7x
PEG Ratio1x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for MNGL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average28.5x
RCP RIT Capital Partners
11.1xn/aUK£2.7b
CLDN Caledonia Investments
8.9xn/aUK£1.8b
HICL HICL Infrastructure
81.5xn/aUK£2.5b
SDR Schroders
12.7x13.1%UK£4.8b
MNGL M&G
27.2x28.5%UK£4.5b

Price-To-Earnings vs Peers: MNGL is good value based on its Price-To-Earnings Ratio (27.2x) compared to the peer average (28.5x).

Price to Earnings Ratio vs Industry

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

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a10.0%
 n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a10.0%
 n/an/an/a
No more companies

Price-To-Earnings vs Industry: MNGL is expensive based on its Price-To-Earnings Ratio (27.2x) compared to the UK Diversified Financial industry average (14.1x).

Price to Earnings Ratio vs Fair Ratio

What is MNGL'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.

MNGL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio27.2x
Fair PE Ratio23.6x

Price-To-Earnings vs Fair Ratio: MNGL is expensive based on its Price-To-Earnings Ratio (27.2x) compared to the estimated Fair Price-To-Earnings Ratio (23.6x).

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 MNGL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£1.94
UK£2.31
+19.3%
8.4%UK£2.75UK£2.05n/a14
Nov ’25UK£1.96
UK£2.31
+18.2%
8.4%UK£2.75UK£2.05n/a14
Oct ’25UK£2.07
UK£2.33
+12.1%
7.8%UK£2.75UK£2.14n/a14
Sep ’25UK£2.15
UK£2.31
+7.2%
7.2%UK£2.75UK£2.14n/a14
Aug ’25UK£2.09
UK£2.30
+10.3%
7.6%UK£2.75UK£2.08n/a14
Jul ’25UK£2.04
UK£2.36
+15.7%
7.5%UK£2.82UK£2.15n/a13
Jun ’25UK£2.00
UK£2.35
+17.2%
7.5%UK£2.82UK£2.15n/a13
May ’25UK£1.98
UK£2.35
+18.5%
7.8%UK£2.82UK£2.05n/a13
Apr ’25UK£2.20
UK£2.39
+8.3%
8.2%UK£2.82UK£2.05n/a13
Mar ’25UK£2.27
UK£2.38
+5.0%
7.9%UK£2.82UK£2.05n/a13
Feb ’25UK£2.20
UK£2.35
+6.6%
8.5%UK£2.81UK£2.05n/a13
Jan ’25UK£2.24
UK£2.28
+1.8%
9.4%UK£2.81UK£2.00n/a13
Dec ’24UK£2.12
UK£2.26
+6.7%
9.6%UK£2.81UK£2.00n/a13
Nov ’24UK£1.98
UK£2.21
+11.2%
10.3%UK£2.81UK£1.95UK£1.9612
Oct ’24UK£1.97
UK£2.19
+11.4%
10.4%UK£2.81UK£1.95UK£2.0712
Sep ’24UK£1.91
UK£2.13
+11.8%
9.7%UK£2.59UK£1.80UK£2.1512
Aug ’24UK£1.96
UK£2.18
+11.2%
8.4%UK£2.59UK£1.94UK£2.0912
Jul ’24UK£1.92
UK£2.18
+13.5%
10.0%UK£2.70UK£1.90UK£2.0412
Jun ’24UK£1.98
UK£2.23
+12.4%
11.1%UK£2.70UK£1.90UK£2.0012
May ’24UK£2.04
UK£2.22
+8.7%
9.7%UK£2.65UK£1.90UK£1.9812
Apr ’24UK£1.99
UK£2.22
+11.4%
9.7%UK£2.65UK£1.90UK£2.2012
Mar ’24UK£2.19
UK£2.20
+0.5%
9.9%UK£2.65UK£1.90UK£2.2713
Feb ’24UK£2.01
UK£2.19
+9.0%
10.9%UK£2.70UK£1.81UK£2.2013
Jan ’24UK£1.89
UK£2.19
+16.0%
12.4%UK£2.70UK£1.81UK£2.2414
Dec ’23UK£1.91
UK£2.24
+17.4%
10.7%UK£2.70UK£1.95UK£2.1214
Nov ’23UK£1.76
UK£2.28
+29.7%
12.2%UK£2.80UK£1.95UK£1.9814

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

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