Anglo American plc

LSE:AAL Stock Report

Market Cap: UK£31.0b

Anglo American Valuation

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

UK£28.21
Fair Value
1.9% overvalued intrinsic discount
14
Number of Analysts

Below Fair Value: AAL (£28.75) is trading above our estimate of fair value (£28.21)

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

Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for AAL. This is calculated by dividing AAL's market cap by their current revenue.
What is AAL's PS Ratio?
PS Ratio1.5x
SalesUS$26.66b
Market CapUS$40.76b

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for AAL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average2x
GLEN Glencore
0.2x1.17%UK£42.9b
RIO Rio Tinto Group
2.2x2.24%UK£93.3b
ANTO Antofagasta
4.8x8.14%UK£27.5b
KMR Kenmare Resources
0.7x4.73%UK£232.0m
AAL Anglo American
1.5x-3.32%UK£31.0b

Price-To-Sales vs Peers: AAL is good value based on its Price-To-Sales Ratio (1.5x) compared to the peer average (2x).

Price to Sales Ratio vs Industry

How does AAL's PS Ratio compare vs other companies in the GB Metals and Mining Industry?

23 CompaniesPrice / SalesEstimated GrowthMarket Cap
GLEN Glencore
0.2x1.17%US$56.37b
ENPL En+ Group International
0.3x1.57%US$4.67b
NLMK Novolipetsk Steel
0.3xn/aUS$4.08b
EVR EVRAZ
0.1x-8.51%US$1.42b
AAL 1.5xIndustry Avg. 2.4xNo. of Companies23PS048121620+
23 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: AAL is good value based on its Price-To-Sales Ratio (1.5x) compared to the UK Metals and Mining industry average (2.4x).

Price to Sales Ratio vs Fair Ratio

What is AAL'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.

AAL PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio1.5x
Fair PS Ratio3.7x

Price-To-Sales vs Fair Ratio: AAL is good value based on its Price-To-Sales Ratio (1.5x) compared to the estimated Fair Price-To-Sales Ratio (3.7x).

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 AAL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£28.75
UK£28.72
-0.11%
14.09%UK£35.54UK£20.89n/a14
Oct ’26UK£27.73
UK£25.13
-9.37%
15.24%UK£30.16UK£19.30n/a15
Sep ’26UK£22.64
UK£22.62
-0.096%
13.76%UK£27.48UK£18.70n/a16
Aug ’26UK£20.68
UK£22.91
+10.77%
14.18%UK£27.49UK£18.45n/a16
Jul ’26UK£21.73
UK£23.23
+6.92%
11.32%UK£27.14UK£19.20n/a15
Jun ’26UK£25.04
UK£26.24
+4.81%
12.62%UK£31.34UK£21.76n/a15
May ’26UK£23.81
UK£26.75
+12.34%
12.86%UK£31.85UK£21.87n/a16
Apr ’26UK£24.33
UK£28.52
+17.25%
14.63%UK£34.07UK£22.71n/a16
Mar ’26UK£26.52
UK£28.90
+8.95%
14.94%UK£34.26UK£22.54n/a16
Feb ’26UK£27.03
UK£29.04
+7.43%
13.65%UK£34.64UK£22.80n/a16
Jan ’26UK£26.84
UK£29.41
+9.59%
13.92%UK£34.55UK£22.81n/a16
Dec ’25UK£28.62
UK£28.33
-1.00%
12.49%UK£34.07UK£22.67n/a17
Nov ’25UK£27.20
UK£27.87
+2.45%
11.12%UK£32.82UK£22.84UK£28.7517
Oct ’25UK£27.74
UK£27.90
+0.57%
10.92%UK£33.12UK£22.69UK£27.7317
Sep ’25UK£25.08
UK£28.49
+13.61%
11.45%UK£34.37UK£23.27UK£22.6417
Aug ’25UK£26.35
UK£29.82
+13.16%
10.50%UK£35.51UK£24.05UK£20.6817
Jul ’25UK£27.62
UK£30.07
+8.88%
11.30%UK£35.18UK£22.71UK£21.7318
Jun ’25UK£28.54
UK£30.45
+6.68%
12.20%UK£36.22UK£22.88UK£25.0417
May ’25UK£29.91
UK£27.89
-6.75%
18.11%UK£35.36UK£18.08UK£23.8114
Apr ’25UK£22.16
UK£24.72
+11.54%
14.29%UK£30.70UK£18.17UK£24.3319
Mar ’25UK£19.99
UK£24.70
+23.53%
14.10%UK£30.69UK£18.19UK£26.5219
Feb ’25UK£21.33
UK£25.84
+21.16%
17.25%UK£37.87UK£18.11UK£27.0319
Jan ’25UK£22.37
UK£26.22
+17.17%
18.75%UK£37.91UK£16.78UK£26.8418
Dec ’24UK£26.24
UK£29.62
+12.87%
11.02%UK£37.98UK£24.80UK£28.6218
Nov ’24UK£23.66
UK£30.58
+29.25%
12.07%UK£39.65UK£23.48UK£27.2018
UK£28.72
Fair Value
0.1% overvalued intrinsic discount
14
Number of Analysts

Analyst Forecast: Target price is lower than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/11/03 10:43
End of Day Share Price 2025/10/31 00:00
Earnings2025/06/30
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

Anglo American plc is covered by 38 analysts. 13 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Wade NapierAvior Capital Markets
Izak RossouwBarclays
Izak RossouwBarclays