PZ Cussons plc

BATS-CHIXE:PZCL Stock Report

Market Cap: UK£338.8m

PZ Cussons Valuation

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

Valuation Score

6/6

Valuation Score 6/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of PZCL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: PZCL (£0.83) is trading below our estimate of fair value (£1.74)

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

Key Valuation Metric

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

Key metric: As PZCL is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for PZCL. This is calculated by dividing PZCL's market cap by their current revenue.
What is PZCL's PS Ratio?
PS Ratio0.6x
SalesUK£527.90m
Market CapUK£338.79m

Price to Sales Ratio vs Peers

How does PZCL's PS Ratio compare to its peers?

The above table shows the PS ratio for PZCL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average2.8x
APN Applied Nutrition
5.7x16.1%UK£348.8m
W7L Warpaint London
4.3x11.0%UK£427.6m
SIS Science in Sport
1.1x8.9%UK£61.0m
REVB Revolution Beauty Group
0.2x2.6%UK£40.2m
PZCL PZ Cussons
0.7x1.2%UK£345.9m

Price-To-Sales vs Peers: PZCL is good value based on its Price-To-Sales Ratio (0.7x) compared to the peer average (2.8x).

Price to Sales Ratio vs Industry

How does PZCL's PS Ratio compare vs other companies in the European Personal Products Industry?

8 CompaniesPrice / SalesEstimated GrowthMarket Cap
No. of Companies9PS01.63.24.86.48+
8 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: PZCL is good value based on its Price-To-Sales Ratio (0.7x) compared to the European Personal Products industry average (1.4x).

Price to Sales Ratio vs Fair Ratio

What is PZCL's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

PZCL PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.6x
Fair PS Ratio0.7x

Price-To-Sales vs Fair Ratio: PZCL is good value based on its Price-To-Sales Ratio (0.7x) compared to the estimated Fair Price-To-Sales Ratio (0.7x).

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 PZCL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£0.83
UK£1.24
+48.3%
3.6%UK£1.30UK£1.19n/a4
Nov ’25UK£0.81
UK£1.24
+51.5%
3.6%UK£1.30UK£1.19n/a4
Oct ’25UK£0.94
UK£1.24
+31.7%
3.6%UK£1.30UK£1.19n/a4
Sep ’25UK£1.02
UK£1.32
+30.0%
8.5%UK£1.50UK£1.19n/a4
Aug ’25UK£1.03
UK£1.47
+42.4%
18.4%UK£1.90UK£1.19n/a4
Jul ’25UK£1.01
UK£1.47
+45.9%
18.4%UK£1.90UK£1.19n/a4
Jun ’25UK£1.11
UK£1.45
+31.1%
20.2%UK£1.90UK£1.11n/a4
May ’25UK£1.02
UK£1.45
+42.1%
20.2%UK£1.90UK£1.11n/a4
Apr ’25UK£0.90
UK£1.56
+72.9%
20.5%UK£1.90UK£1.11n/a4
Mar ’25UK£1.01
UK£1.80
+77.4%
13.2%UK£2.05UK£1.41n/a4
Feb ’25UK£1.32
UK£2.03
+54.3%
16.0%UK£2.55UK£1.70n/a4
Jan ’25UK£1.53
UK£2.03
+32.5%
16.0%UK£2.55UK£1.70n/a4
Dec ’24UK£1.48
UK£2.03
+37.5%
16.0%UK£2.55UK£1.70n/a4
Nov ’24UK£1.34
UK£2.03
+51.7%
16.0%UK£2.55UK£1.70UK£0.814
Oct ’24UK£1.42
UK£2.06
+45.4%
14.5%UK£2.55UK£1.70UK£0.945
Sep ’24UK£1.60
UK£2.17
+35.7%
11.1%UK£2.55UK£1.82UK£1.025
Aug ’24UK£1.65
UK£2.17
+31.2%
11.1%UK£2.55UK£1.82UK£1.035
Jul ’24UK£1.63
UK£2.17
+33.3%
11.1%UK£2.55UK£1.82UK£1.015
Jun ’24UK£1.85
UK£2.63
+41.9%
13.6%UK£3.12UK£2.05UK£1.115
May ’24UK£2.02
UK£2.63
+30.4%
13.6%UK£3.12UK£2.05UK£1.025
Apr ’24UK£1.86
UK£2.63
+41.3%
13.6%UK£3.12UK£2.05UK£0.905
Mar ’24UK£1.84
UK£2.64
+43.7%
13.4%UK£3.12UK£2.05UK£1.015
Feb ’24UK£2.17
UK£2.69
+24.1%
11.8%UK£3.12UK£2.16UK£1.325
Jan ’24UK£2.09
UK£2.68
+28.7%
13.2%UK£3.12UK£2.16UK£1.534
Dec ’23UK£2.10
UK£2.68
+28.0%
13.2%UK£3.12UK£2.16UK£1.484
Nov ’23UK£2.01
UK£2.47
+23.0%
21.7%UK£3.12UK£1.60UK£1.345

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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