Auto Trader Group plc

BATS-CHIXE:AUTOl Stock Report

Market Cap: UK£7.4b

Auto Trader Group Valuation

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

Below Fair Value: AUTOl (£8.3) is trading above our estimate of fair value (£8.04)

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for AUTOl. This is calculated by dividing AUTOl's market cap by their current earnings.
What is AUTOl's PE Ratio?
PE Ratio26.5x
EarningsUK£279.70m
Market CapUK£7.40b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for AUTOl vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average46.8x
RMV Rightmove
24.5x7.7%UK£4.9b
BCG Baltic Classifieds Group
61.4x19.8%UK£1.6b
TRST Trustpilot Group
87.6x-0.2%UK£1.2b
MONY MONY Group
13.7x9.5%UK£1.0b
AUTOl Auto Trader Group
26.5x8.2%UK£7.4b

Price-To-Earnings vs Peers: AUTOl is good value based on its Price-To-Earnings Ratio (26.5x) compared to the peer average (46.8x).


Price to Earnings Ratio vs Industry

How does AUTOl's PE Ratio compare vs other companies in the European Interactive Media and Services Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
No. of Companies5PE01224364860+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: AUTOl is expensive based on its Price-To-Earnings Ratio (26.5x) compared to the European Interactive Media and Services industry average (16.3x).


Price to Earnings Ratio vs Fair Ratio

What is AUTOl'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.

AUTOl PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio26.5x
Fair PE Ratio23.7x

Price-To-Earnings vs Fair Ratio: AUTOl is expensive based on its Price-To-Earnings Ratio (26.5x) compared to the estimated Fair Price-To-Earnings Ratio (23.7x).


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 AUTOl forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£8.30
UK£8.37
+0.8%
13.0%UK£10.40UK£6.50n/a19
Nov ’25UK£8.45
UK£8.55
+1.2%
13.7%UK£10.40UK£6.50n/a18
Oct ’25UK£8.68
UK£8.41
-3.1%
12.8%UK£10.00UK£6.50n/a18
Sep ’25UK£8.50
UK£8.23
-3.2%
13.9%UK£10.00UK£6.20n/a18
Aug ’25UK£8.12
UK£8.19
+0.9%
14.6%UK£10.00UK£6.20n/a18
Jul ’25UK£8.00
UK£8.10
+1.2%
14.1%UK£10.00UK£6.20n/a18
Jun ’25UK£8.03
UK£7.73
-3.8%
14.7%UK£10.00UK£6.20n/a20
May ’25UK£6.99
UK£7.42
+6.1%
12.6%UK£9.00UK£6.08n/a20
Apr ’25UK£7.01
UK£7.33
+4.6%
12.5%UK£9.00UK£6.08n/a20
Mar ’25UK£7.47
UK£7.24
-3.2%
12.6%UK£9.00UK£6.13n/a19
Feb ’25UK£7.31
UK£7.23
-1.1%
12.5%UK£9.00UK£6.13n/a19
Jan ’25UK£7.21
UK£7.16
-0.7%
10.9%UK£8.63UK£6.13n/a20
Dec ’24UK£7.22
UK£7.10
-1.6%
11.1%UK£8.63UK£5.60n/a20
Nov ’24UK£6.18
UK£6.89
+11.5%
10.0%UK£8.36UK£5.55UK£8.4518
Oct ’24UK£6.20
UK£6.91
+11.4%
9.9%UK£8.36UK£5.55UK£8.6819
Sep ’24UK£6.06
UK£6.74
+11.2%
10.8%UK£7.91UK£4.73UK£8.5021
Aug ’24UK£6.51
UK£6.74
+3.6%
10.8%UK£7.91UK£4.73UK£8.1221
Jul ’24UK£6.12
UK£6.78
+10.9%
9.7%UK£7.73UK£4.73UK£8.0022
Jun ’24UK£6.06
UK£6.55
+8.0%
13.3%UK£7.73UK£4.05UK£8.0322
May ’24UK£6.36
UK£6.57
+3.2%
11.7%UK£7.73UK£4.05UK£6.9921
Apr ’24UK£6.17
UK£6.50
+5.4%
12.3%UK£7.70UK£4.05UK£7.0121
Mar ’24UK£5.92
UK£6.50
+9.7%
12.3%UK£7.70UK£4.05UK£7.4721
Feb ’24UK£6.19
UK£6.49
+4.9%
11.9%UK£7.70UK£4.41UK£7.3121
Jan ’24UK£5.18
UK£6.32
+22.2%
11.0%UK£7.70UK£4.41UK£7.2122
Dec ’23UK£5.77
UK£6.23
+7.9%
12.5%UK£7.70UK£4.41UK£7.2223
Nov ’23UK£5.34
UK£6.36
+19.1%
14.7%UK£7.80UK£4.18UK£6.1823

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


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