Wise plc

LSE:WISE Stock Report

Market Cap: UK£8.9b

Wise Valuation

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

Valuation Score

1/6

Valuation Score 1/6

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

Below Fair Value: WISE (£8.71) is trading above our estimate of fair value (£7.87)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for WISE. This is calculated by dividing WISE's market cap by their current earnings.
What is WISE's PE Ratio?
PE Ratio20.6x
EarningsUK£431.30m
Market CapUK£8.85b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for WISE vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average34.7x
PAY PayPoint
14.4xn/aUK£576.8m
BOKU Boku
95.1x38.6%UK£548.2m
FNX Fonix
20.3x2.2%UK£215.5m
CABP CAB Payments Holdings
9.2x27.2%UK£177.9m
WISE Wise
20.6x-6.5%UK£8.9b

Price-To-Earnings vs Peers: WISE is good value based on its Price-To-Earnings Ratio (20.6x) compared to the peer average (34.7x).

Price to Earnings Ratio vs Industry

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

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
NBS Nationwide Building Society
0.9xn/aUS$1.51b
No more companies available in this PE range
WISE 20.6xIndustry Avg. 14.1xNo. of Companies3PE01020304050+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: WISE is expensive based on its Price-To-Earnings Ratio (20.6x) compared to the UK Diversified Financial industry average (14.1x).

Price to Earnings Ratio vs Fair Ratio

What is WISE'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.

WISE PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio20.6x
Fair PE Ratio15.9x

Price-To-Earnings vs Fair Ratio: WISE is expensive based on its Price-To-Earnings Ratio (20.6x) compared to the estimated Fair Price-To-Earnings Ratio (15.9x).

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 WISE forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£8.71
UK£9.63
+10.5%
15.0%UK£12.50UK£6.80n/a17
Nov ’25UK£7.06
UK£9.31
+31.9%
17.8%UK£12.50UK£5.60n/a18
Oct ’25UK£6.56
UK£9.22
+40.6%
18.3%UK£12.50UK£5.60n/a18
Sep ’25UK£7.05
UK£9.32
+32.3%
18.0%UK£12.50UK£5.60n/a18
Aug ’25UK£7.00
UK£9.32
+33.2%
18.0%UK£12.50UK£5.60n/a18
Jul ’25UK£6.99
UK£9.13
+30.6%
18.5%UK£12.50UK£5.60n/a18
Jun ’25UK£8.15
UK£10.28
+26.2%
18.0%UK£13.00UK£5.60n/a18
May ’25UK£7.74
UK£10.16
+31.4%
18.8%UK£13.00UK£5.60n/a18
Apr ’25UK£9.29
UK£9.98
+7.5%
20.3%UK£13.00UK£5.60n/a19
Mar ’25UK£9.24
UK£9.67
+4.7%
21.2%UK£12.60UK£5.60n/a18
Feb ’25UK£8.07
UK£9.48
+17.5%
20.7%UK£12.50UK£5.60n/a18
Jan ’25UK£8.74
UK£8.25
-5.6%
19.1%UK£11.50UK£5.20n/a17
Dec ’24UK£7.90
UK£8.22
+4.1%
19.5%UK£11.50UK£5.20n/a17
Nov ’24UK£6.70
UK£7.73
+15.4%
19.9%UK£10.50UK£5.20UK£7.0616
Oct ’24UK£6.86
UK£7.44
+8.5%
22.1%UK£9.60UK£4.60UK£6.5615
Sep ’24UK£6.38
UK£7.30
+14.3%
20.4%UK£9.46UK£4.60UK£7.0517
Aug ’24UK£7.75
UK£7.14
-7.9%
19.9%UK£9.46UK£4.60UK£7.0016
Jul ’24UK£6.57
UK£6.79
+3.4%
22.1%UK£9.00UK£4.50UK£6.9914
Jun ’24UK£5.88
UK£6.69
+13.8%
24.7%UK£9.00UK£3.80UK£8.1514
May ’24UK£5.50
UK£6.65
+20.8%
26.4%UK£9.00UK£3.80UK£7.7412
Apr ’24UK£5.44
UK£6.76
+24.2%
28.5%UK£10.00UK£3.80UK£9.2912
Mar ’24UK£5.80
UK£6.77
+16.8%
28.3%UK£10.00UK£3.80UK£9.2412
Feb ’24UK£5.65
UK£6.73
+19.1%
29.2%UK£10.00UK£3.80UK£8.0712
Jan ’24UK£5.63
UK£6.72
+19.4%
29.8%UK£9.90UK£3.30UK£8.7412
Dec ’23UK£6.58
UK£6.73
+2.4%
30.4%UK£9.12UK£3.30UK£7.9010
Nov ’23UK£6.78
UK£6.56
-3.2%
33.7%UK£9.12UK£3.00UK£6.709

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

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