International Workplace Group plc

LSE:IWG Stock Report

Market Cap: UK£1.7b

International Workplace Group Valuation

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

Below Fair Value: IWG (£1.68) is trading above our estimate of fair value (£0.7)

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

Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for IWG. This is calculated by dividing IWG's market cap by their current revenue.
What is IWG's PS Ratio?
PS Ratio0.6x
SalesUS$3.74b
Market CapUS$2.18b

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for IWG vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average6.4x
GRI Grainger
6.1x-18.3%UK£1.7b
SRE Sirius Real Estate
5.5x-3.2%UK£1.3b
TPFG Property Franchise Group
6.8x42.4%UK£279.8m
ASLI abrdn European Logistics Income
7.2xn/aUK£236.6m
IWG International Workplace Group
0.6x6.1%UK£1.7b

Price-To-Sales vs Peers: IWG is good value based on its Price-To-Sales Ratio (0.6x) compared to the peer average (6.4x).

Price to Sales Ratio vs Industry

How does IWG's PS Ratio compare vs other companies in the GB Real Estate Industry?

10 CompaniesPrice / SalesEstimated GrowthMarket Cap
Industry Avg.4.2x3.0%
IWG International Workplace Group
 0.6x6.1%US$2.18b
ETLN Etalon Group
0.3x10.5%US$210.89m
WJG Watkin Jones
0.1x1.6%US$76.41m
IWG 0.6xIndustry Avg. 4.2xNo. of Companies10PS02.44.87.29.612+
10 CompaniesEstimated GrowthMarket Cap
Industry Avg.4.2x58.2%
IWG International Workplace Group
 0.6x124.7%US$2.18b
No more companies

Price-To-Sales vs Industry: IWG is good value based on its Price-To-Sales Ratio (0.6x) compared to the UK Real Estate industry average (4.2x).

Price to Sales Ratio vs Fair Ratio

What is IWG'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.

IWG PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.6x
Fair PS Ratio2.3x

Price-To-Sales vs Fair Ratio: IWG is good value based on its Price-To-Sales Ratio (0.6x) compared to the estimated Fair Price-To-Sales Ratio (2.3x).

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 IWG forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£1.68
UK£2.29
+36.0%
14.4%UK£2.62UK£1.61n/a8
Nov ’25UK£1.61
UK£2.30
+42.5%
13.3%UK£2.62UK£1.61n/a8
Oct ’25UK£1.76
UK£2.30
+30.6%
13.3%UK£2.62UK£1.61n/a8
Sep ’25UK£1.80
UK£2.30
+27.6%
13.3%UK£2.62UK£1.61n/a8
Aug ’25UK£1.71
UK£2.30
+34.3%
13.3%UK£2.62UK£1.61n/a8
Jul ’25UK£1.73
UK£2.30
+33.2%
13.3%UK£2.62UK£1.61n/a8
Jun ’25UK£1.83
UK£2.30
+25.8%
13.3%UK£2.62UK£1.61n/a8
May ’25UK£1.89
UK£2.30
+21.8%
13.3%UK£2.62UK£1.61n/a8
Apr ’25UK£1.93
UK£2.24
+16.2%
16.2%UK£2.62UK£1.61n/a8
Mar ’25UK£1.88
UK£2.22
+18.2%
16.3%UK£2.62UK£1.61n/a8
Feb ’25UK£1.85
UK£2.14
+15.9%
17.5%UK£2.62UK£1.61n/a8
Jan ’25UK£1.89
UK£2.04
+7.8%
22.8%UK£2.62UK£1.26n/a8
Dec ’24UK£1.49
UK£1.98
+33.2%
21.8%UK£2.62UK£1.26n/a8
Nov ’24UK£1.32
UK£2.17
+63.8%
23.5%UK£3.00UK£1.35UK£1.618
Oct ’24UK£1.42
UK£2.17
+53.0%
23.5%UK£3.00UK£1.35UK£1.768
Sep ’24UK£1.75
UK£2.17
+23.9%
23.5%UK£3.00UK£1.35UK£1.808
Aug ’24UK£1.49
UK£2.16
+44.9%
23.5%UK£3.00UK£1.50UK£1.718
Jul ’24UK£1.38
UK£2.20
+59.8%
21.1%UK£3.00UK£1.50UK£1.738
Jun ’24UK£1.49
UK£2.27
+52.3%
19.1%UK£3.00UK£1.50UK£1.838
May ’24UK£1.70
UK£2.14
+26.1%
15.7%UK£2.62UK£1.50UK£1.898
Apr ’24UK£1.64
UK£2.23
+35.7%
11.2%UK£2.62UK£1.90UK£1.937
Mar ’24UK£1.80
UK£2.07
+15.1%
24.7%UK£3.00UK£1.50UK£1.888
Feb ’24UK£1.85
UK£1.97
+6.7%
18.5%UK£2.55UK£1.50UK£1.858
Jan ’24UK£1.66
UK£1.97
+18.9%
18.5%UK£2.55UK£1.50UK£1.898
Dec ’23UK£1.65
UK£1.97
+19.8%
18.5%UK£2.55UK£1.50UK£1.498
Nov ’23UK£1.32
UK£2.01
+52.5%
17.4%UK£2.55UK£1.50UK£1.328

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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