Johnson Matthey Plc

BATS-CHIXE:JMATL Stock Report

Market Cap: UK£3.3b

Johnson Matthey Valuation

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

UK£32.12
Fair Value
37.8% undervalued intrinsic discount
10
Number of Analysts

Below Fair Value: JMATL (£19.97) is trading below our estimate of fair value (£32.12)

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

Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for JMATL. This is calculated by dividing JMATL's market cap by their current revenue.
What is JMATL's PS Ratio?
PS Ratio0.3x
SalesUK£11.72b
Market CapUK£3.34b

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for JMATL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average1.5x
CRDA Croda International
2.3x4.81%UK£3.8b
ELM Elementis
1.7x-3.47%UK£928.0m
VCT Victrex
1.8x3.75%UK£542.7m
SYNT Synthomer
0.05x2.43%UK£101.5m
JMATL Johnson Matthey
0.3x-49.16%UK£3.3b

Price-To-Sales vs Peers: JMATL is good value based on its Price-To-Sales Ratio (0.3x) compared to the peer average (1.5x).

Price to Sales Ratio vs Industry

How does JMATL's PS Ratio compare vs other companies in the GB Chemicals Industry?

6 CompaniesPrice / SalesEstimated GrowthMarket Cap
Industry Avg.n/a-14.1%
JMATL Johnson Matthey
 0.3x-49.16%US$4.42b
JMAT Johnson Matthey
0.3x-49.16%US$4.42b
SYNT Synthomer
0.05x2.43%US$134.28m
No. of Companies5PS01.22.43.64.86+
6 CompaniesEstimated GrowthMarket Cap
Industry Avg.n/a24.6%
JMATL Johnson Matthey
 0.3x20.53%US$4.42b
No more companies

Price-To-Sales vs Industry: JMATL is good value based on its Price-To-Sales Ratio (0.3x) compared to the European Chemicals industry average (1x).

Price to Sales Ratio vs Fair Ratio

What is JMATL'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.

JMATL PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.3x
Fair PS Ratio0.1x

Price-To-Sales vs Fair Ratio: JMATL is expensive based on its Price-To-Sales Ratio (0.3x) compared to the estimated Fair Price-To-Sales Ratio (0.1x).

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 JMATL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£19.97
UK£20.93
+4.83%
8.62%UK£23.70UK£17.00n/a10
Nov ’26UK£21.24
UK£20.29
-4.47%
15.35%UK£24.20UK£13.40n/a10
Oct ’26UK£20.44
UK£19.09
-6.60%
13.47%UK£22.90UK£13.40n/a10
Sep ’26UK£19.15
UK£19.09
-0.31%
13.47%UK£22.90UK£13.40n/a10
Aug ’26UK£17.35
UK£19.09
+10.03%
13.47%UK£22.90UK£13.40n/a10
Jul ’26UK£17.81
UK£18.94
+6.34%
13.66%UK£22.90UK£13.40n/a10
Jun ’26UK£17.22
UK£17.45
+1.36%
16.88%UK£24.00UK£13.40n/a12
May ’26UK£13.00
UK£16.84
+29.55%
18.49%UK£24.00UK£13.40n/a11
Apr ’26UK£13.41
UK£17.08
+27.35%
17.56%UK£24.00UK£13.80n/a11
Mar ’26UK£14.36
UK£17.33
+20.70%
18.34%UK£24.00UK£13.80n/a11
Feb ’26UK£14.24
UK£17.51
+22.99%
18.65%UK£24.00UK£13.80n/a11
Jan ’26UK£13.40
UK£17.62
+31.51%
17.93%UK£24.00UK£14.60n/a11
Dec ’25UK£13.67
UK£17.71
+29.58%
16.78%UK£23.50UK£14.60UK£19.9711
Nov ’25UK£15.10
UK£18.86
+24.89%
14.74%UK£23.50UK£16.00UK£21.2411
Oct ’25UK£15.48
UK£19.56
+26.35%
13.25%UK£23.00UK£16.00UK£20.4412
Sep ’25UK£16.30
UK£19.96
+22.44%
12.89%UK£24.00UK£16.00UK£19.1512
Aug ’25UK£16.05
UK£19.96
+24.35%
12.89%UK£24.00UK£16.00UK£17.3512
Jul ’25UK£15.77
UK£19.88
+26.07%
14.05%UK£24.00UK£14.60UK£17.8112
Jun ’25UK£17.53
UK£19.92
+13.61%
13.59%UK£24.00UK£14.60UK£17.2212
May ’25UK£17.66
UK£19.75
+11.83%
12.68%UK£23.00UK£14.60UK£13.0012
Apr ’25UK£17.80
UK£18.89
+6.14%
15.83%UK£23.00UK£14.00UK£13.4113
Mar ’25UK£15.74
UK£18.19
+15.62%
14.37%UK£23.00UK£14.00UK£14.3615
Feb ’25UK£16.17
UK£18.43
+14.02%
14.62%UK£23.00UK£14.00UK£14.2416
Jan ’25UK£17.03
UK£18.48
+8.49%
14.78%UK£23.00UK£14.00UK£13.4016
Dec ’24UK£15.74
UK£18.48
+17.41%
14.78%UK£23.00UK£14.00UK£13.6716
UK£21
Fair Value
4.9% undervalued intrinsic discount
10
Number of Analysts

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

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/12/01 13:30
End of Day Share Price 2025/12/01 00:00
Earnings2025/09/30
Annual Earnings2025/03/31

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

Johnson Matthey Plc is covered by 29 analysts. 8 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Sebastian BrayBerenberg
Laurent FavreBNP Paribas
Thea BadaroBNP Paribas