Lonza Group AG

LSE:0QNO Stock Report

Market Cap: CHF 37.7b

Lonza Group Valuation

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

Below Fair Value: 0QNO (CHF514.2) is trading below our estimate of fair value (CHF1118.15)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for 0QNO. This is calculated by dividing 0QNO's market cap by their current earnings.
What is 0QNO's PE Ratio?
PE Ratio65.7x
EarningsCHF 573.00m
Market CapCHF 37.67b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for 0QNO vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average26.8x
ERGO Ergomed
46.7x14.2%UK£701.1m
GSK GSK
21.3x21.9%UK£53.4b
HVO hVIVO
8.9x-15.2%UK£155.8m
AZN AstraZeneca
30.3x18.4%UK£156.0b
0QNO Lonza Group
65.7x23.9%CHF 37.7b

Price-To-Earnings vs Peers: 0QNO is expensive based on its Price-To-Earnings Ratio (65.7x) compared to the peer average (20.2x).

Price to Earnings Ratio vs Industry

How does 0QNO's PE Ratio compare vs other companies in the European Life Sciences Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
0QNO 65.7xIndustry Avg. 37.4xNo. of Companies4PE020406080100+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0QNO is expensive based on its Price-To-Earnings Ratio (65.7x) compared to the European Life Sciences industry average (37.6x).

Price to Earnings Ratio vs Fair Ratio

What is 0QNO'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.

0QNO PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio65.7x
Fair PE Ratio37.1x

Price-To-Earnings vs Fair Ratio: 0QNO is expensive based on its Price-To-Earnings Ratio (65.7x) compared to the estimated Fair Price-To-Earnings Ratio (37.1x).

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 0QNO forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCHF 514.20
CHF 631.85
+22.9%
7.9%CHF 760.00CHF 530.00n/a20
Nov ’25CHF 544.08
CHF 631.85
+16.1%
7.9%CHF 760.00CHF 530.00n/a20
Oct ’25CHF 543.40
CHF 624.14
+14.9%
6.4%CHF 700.00CHF 530.00n/a21
Sep ’25CHF 554.28
CHF 619.41
+11.8%
7.0%CHF 700.00CHF 530.00n/a22
Aug ’25CHF 578.80
CHF 613.55
+6.0%
8.0%CHF 700.00CHF 495.00n/a22
Jul ’25CHF 490.41
CHF 586.00
+19.5%
9.4%CHF 666.00CHF 450.00n/a22
Jun ’25CHF 482.00
CHF 576.86
+19.7%
12.1%CHF 655.00CHF 375.00n/a22
May ’25CHF 510.40
CHF 566.00
+10.9%
12.1%CHF 650.00CHF 375.00n/a22
Apr ’25CHF 540.12
CHF 556.00
+2.9%
12.8%CHF 650.00CHF 375.00n/a22
Mar ’25CHF 463.95
CHF 508.25
+9.5%
13.3%CHF 635.00CHF 365.00n/a20
Feb ’25CHF 429.11
CHF 495.20
+15.4%
14.0%CHF 600.00CHF 365.00n/a20
Jan ’25CHF 352.20
CHF 465.16
+32.1%
18.5%CHF 600.00CHF 270.00n/a19
Dec ’24CHF 335.22
CHF 513.11
+53.1%
21.9%CHF 705.00CHF 365.00n/a19
Nov ’24CHF 318.60
CHF 531.26
+66.7%
20.8%CHF 705.00CHF 365.00CHF 544.0819
Oct ’24CHF 430.02
CHF 627.41
+45.9%
8.5%CHF 705.00CHF 514.00CHF 543.4017
Sep ’24CHF 492.45
CHF 629.83
+27.9%
7.3%CHF 705.00CHF 530.00CHF 554.2818
Aug ’24CHF 503.25
CHF 647.06
+28.6%
6.9%CHF 705.00CHF 570.00CHF 578.8018
Jul ’24CHF 533.08
CHF 679.24
+27.4%
11.1%CHF 900.00CHF 580.00CHF 490.4117
Jun ’24CHF 575.06
CHF 659.84
+14.7%
16.9%CHF 900.00CHF 315.05CHF 482.0018
May ’24CHF 553.84
CHF 663.36
+19.8%
17.1%CHF 900.00CHF 315.05CHF 510.4017
Apr ’24CHF 547.29
CHF 662.77
+21.1%
17.1%CHF 900.00CHF 315.05CHF 540.1217
Mar ’24CHF 560.89
CHF 662.89
+18.2%
16.6%CHF 900.00CHF 315.05CHF 463.9518
Feb ’24CHF 519.56
CHF 659.65
+27.0%
18.0%CHF 935.00CHF 315.05CHF 429.1117
Jan ’24CHF 453.05
CHF 680.88
+50.3%
19.4%CHF 965.00CHF 315.05CHF 352.2016
Dec ’23CHF 508.94
CHF 699.00
+37.3%
17.8%CHF 965.00CHF 315.05CHF 335.2216
Nov ’23CHF 520.02
CHF 709.06
+36.4%
18.2%CHF 965.00CHF 315.05CHF 318.6017

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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