Rathbones Group Plc

BATS-CHIXE:RATL Stock Report

Market Cap: UK£1.7b

Rathbones Group Valuation

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

Discounted Cash Flow
Simply Wall St
UK£24.74
Fair Value
35.7% undervalued intrinsic discount
9
Number of Analysts

Below Fair Value: RATL (£15.92) is trading below our estimate of fair value (£24.74)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for RATL. This is calculated by dividing RATL's market cap by their current earnings.
What is RATL's PE Ratio?
PE Ratio25.3x
EarningsUK£65.50m
Market CapUK£1.65b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for RATL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average17.2x
LWDB Law Debenture
12.3xn/aUK£1.2b
BPT Bridgepoint Group
34.8x32.6%UK£2.3b
RCP RIT Capital Partners
8.7xn/aUK£2.7b
XPS XPS Pensions Group
12.9x-15.9%UK£793.8m
RATL Rathbones Group
25.3x32.9%UK£1.7b

Price-To-Earnings vs Peers: RATL is expensive based on its Price-To-Earnings Ratio (25.3x) compared to the peer average (17.2x).

Price to Earnings Ratio vs Industry

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

6 CompaniesPrice / EarningsEstimated GrowthMarket Cap
PNIX Phoenix Digital Assets
0.9xn/aUS$25.26m
IX. i(x) Net Zero
0.1xn/aUS$8.94m
JIM Jarvis Securities
2.1xn/aUS$8.76m
SOL Supernova Digital Assets
0.8xn/aUS$2.55m
No. of Companies12PE01020304050+
6 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: RATL is expensive based on its Price-To-Earnings Ratio (25.3x) compared to the UK Capital Markets industry average (11.1x).

Price to Earnings Ratio vs Fair Ratio

What is RATL'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.

RATL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio25.3x
Fair PE Ratio18.6x

Price-To-Earnings vs Fair Ratio: RATL is expensive based on its Price-To-Earnings Ratio (25.3x) compared to the estimated Fair Price-To-Earnings Ratio (18.6x).

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 RATL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£15.92
UK£20.82
+30.8%
6.3%UK£22.25UK£18.30n/a9
Apr ’26UK£15.62
UK£20.65
+32.2%
7.2%UK£22.25UK£18.30n/a9
Mar ’26UK£16.48
UK£20.88
+26.7%
7.0%UK£23.20UK£18.50n/a10
Feb ’26UK£17.20
UK£20.88
+21.4%
7.0%UK£23.20UK£18.50n/a10
Jan ’26UK£16.70
UK£20.83
+24.8%
7.4%UK£23.20UK£18.00n/a10
Dec ’25UK£16.70
UK£20.83
+24.8%
7.4%UK£23.20UK£18.00n/a10
Nov ’25UK£16.76
UK£21.22
+26.6%
6.9%UK£23.61UK£18.80n/a11
Oct ’25UK£17.76
UK£21.22
+19.5%
7.1%UK£23.61UK£18.40n/a11
Sep ’25UK£18.36
UK£21.22
+15.6%
7.1%UK£23.61UK£18.40n/a11
Aug ’25UK£19.60
UK£20.97
+7.0%
7.3%UK£23.61UK£18.40n/a11
Jul ’25UK£16.89
UK£20.40
+20.8%
10.4%UK£23.22UK£16.40n/a11
Jun ’25UK£17.38
UK£20.40
+17.4%
10.4%UK£23.22UK£16.40n/a11
May ’25UK£16.48
UK£20.17
+22.4%
11.3%UK£22.51UK£15.20UK£15.9211
Apr ’25UK£15.48
UK£20.16
+30.2%
10.9%UK£22.51UK£15.20UK£15.6211
Mar ’25UK£15.80
UK£20.27
+28.3%
11.1%UK£23.60UK£16.50UK£16.489
Feb ’25UK£16.10
UK£20.54
+27.6%
11.1%UK£23.60UK£16.50UK£17.2010
Jan ’25UK£17.36
UK£20.35
+17.2%
12.1%UK£23.60UK£15.60UK£16.7010
Dec ’24UK£16.00
UK£20.35
+27.2%
12.1%UK£23.60UK£15.60UK£16.7010
Nov ’24UK£15.23
UK£20.89
+37.2%
8.4%UK£23.60UK£17.50UK£16.7610
Oct ’24UK£17.54
UK£21.22
+21.0%
6.4%UK£23.60UK£19.50UK£17.7610
Sep ’24UK£17.50
UK£21.07
+20.4%
5.0%UK£23.00UK£19.50UK£18.369
Aug ’24UK£17.94
UK£20.84
+16.2%
5.8%UK£23.00UK£18.80UK£19.6010
Jul ’24UK£18.70
UK£20.84
+11.4%
5.8%UK£23.00UK£18.80UK£16.8910
Jun ’24UK£20.00
UK£20.99
+4.9%
5.4%UK£23.00UK£18.80UK£17.3810
May ’24UK£19.54
UK£20.99
+7.4%
5.4%UK£23.00UK£18.80UK£16.4810
AnalystConsensusTarget
Consensus Narrative from 9 Analysts
UK£20.74
Fair Value
23.2% undervalued intrinsic discount
9
Number of Analysts

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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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/05/01 00:21
End of Day Share Price 2025/05/01 00:00
Earnings2024/12/31
Annual Earnings2024/12/31

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

Rathbones Group Plc is covered by 21 analysts. 7 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Sarah SpikesArden Partners Plc.
Alexander MedhurstBarclays
Michael SandersonBarclays