Neste Oyj

LSE:0O46 Stock Report

Market Cap: €10.8b

Neste Oyj Valuation

Is 0O46 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • 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 0O46 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 0O46 (€14.07) is trading below our estimate of fair value (€41.17)

Significantly Below Fair Value: 0O46 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0O46?

Key metric: As 0O46 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 0O46. This is calculated by dividing 0O46's market cap by their current earnings.
What is 0O46's PE Ratio?
PE Ratio24.6x
Earnings€440.00m
Market Cap€10.81b

Price to Earnings Ratio vs Peers

How does 0O46's PE Ratio compare to its peers?

The above table shows the PE ratio for 0O46 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average27.5x
HBR Harbour Energy
48.1x14.4%UK£3.7b
ITH Ithaca Energy
14.5x-8.8%UK£1.9b
SEPL Seplat Energy
19.4x13.4%UK£1.3b
BP. BP
27.7x28.5%UK£60.2b
0O46 Neste Oyj
24.6x48.0%€10.8b

Price-To-Earnings vs Peers: 0O46 is good value based on its Price-To-Earnings Ratio (24.6x) compared to the peer average (27.5x).

Price to Earnings Ratio vs Industry

How does 0O46's PE Ratio compare vs other companies in the GB Oil and Gas Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
ROSN Rosneft Oil
1.5xn/aUS$21.03b
INDI Indus Gas
0.9xn/aUS$18.53m
No more companies available in this PE range
0O46 24.6xIndustry Avg. 9.2xNo. of Companies4PE0612182430+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0O46 is expensive based on its Price-To-Earnings Ratio (24.6x) compared to the UK Oil and Gas industry average (9.2x).

Price to Earnings Ratio vs Fair Ratio

What is 0O46'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.

0O46 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio24.6x
Fair PE Ratio31.9x

Price-To-Earnings vs Fair Ratio: 0O46 is good value based on its Price-To-Earnings Ratio (24.6x) compared to the estimated Fair Price-To-Earnings Ratio (31.9x).

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 0O46 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€14.07
€19.79
+40.7%
20.6%€28.00€13.50n/a20
Nov ’25€14.19
€20.84
+46.9%
23.0%€36.00€13.50n/a20
Oct ’25€16.47
€22.36
+35.8%
20.6%€36.00€16.00n/a20
Sep ’25€21.54
€24.33
+12.9%
22.7%€39.00€17.00n/a20
Aug ’25€18.72
€23.87
+27.5%
23.2%€39.00€17.00n/a20
Jul ’25€16.92
€27.40
+61.9%
25.2%€40.00€19.50n/a20
Jun ’25€19.21
€28.52
+48.5%
25.7%€40.00€19.50n/a21
May ’25€21.34
€33.80
+58.4%
18.9%€45.00€22.00n/a21
Apr ’25€25.05
€37.35
+49.1%
19.2%€49.00€26.00n/a21
Mar ’25€25.26
€38.20
+51.2%
16.4%€49.00€28.00n/a20
Feb ’25€32.16
€43.83
+36.3%
15.9%€59.00€30.00n/a21
Jan ’25€32.21
€44.27
+37.5%
16.2%€59.00€30.00n/a20
Dec ’24€34.92
€44.32
+26.9%
15.7%€59.00€30.00n/a20
Nov ’24€31.55
€44.87
+42.2%
16.4%€59.00€30.00€14.1920
Oct ’24€32.83
€46.77
+42.4%
16.2%€59.00€30.00€16.4720
Sep ’24€34.26
€47.12
+37.5%
16.8%€59.00€30.00€21.5420
Aug ’24€33.54
€47.57
+41.8%
16.6%€59.00€30.00€18.7220
Jul ’24€35.26
€50.47
+43.1%
16.8%€65.00€30.00€16.9220
Jun ’24€36.58
€50.73
+38.7%
15.8%€65.00€30.00€19.2121
May ’24€42.90
€52.87
+23.2%
12.9%€65.00€39.00€21.3420
Apr ’24€45.43
€52.83
+16.3%
13.0%€65.00€39.00€25.0521
Mar ’24€45.47
€52.69
+15.9%
12.5%€65.00€39.00€25.2621
Feb ’24€43.18
€52.05
+20.5%
12.8%€65.00€41.00€32.1621
Jan ’24€43.60
€52.65
+20.8%
12.2%€65.00€42.00€32.2120
Dec ’23€49.25
€52.70
+7.0%
12.0%€65.00€42.00€34.9220
Nov ’23€45.31
€52.65
+16.2%
12.0%€65.00€42.00€31.5520

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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