Savills plc

LSE:SVS Stock Report

Market Cap: UK£1.4b

Savills Valuation

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

Below Fair Value: SVS (£10.2) is trading below our estimate of fair value (£13.26)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for SVS. This is calculated by dividing SVS's market cap by their current earnings.
What is SVS's PE Ratio?
PE Ratio31.2x
EarningsUK£44.30m
Market CapUK£1.38b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for SVS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average17.5x
MTVW Mountview Estates
12.7xn/aUK£343.1m
FOXT Foxtons Group
23.5x33.2%UK£170.2m
LSL LSL Property Services
22.3x28.2%UK£285.9m
SRE Sirius Real Estate
11.6x9.6%UK£1.3b
SVS Savills
31.2x33.3%UK£1.4b

Price-To-Earnings vs Peers: SVS is expensive based on its Price-To-Earnings Ratio (31.2x) compared to the peer average (17.5x).

Price to Earnings Ratio vs Industry

How does SVS's PE Ratio compare vs other companies in the European Real Estate Industry?

24 CompaniesPrice / EarningsEstimated GrowthMarket Cap
SVS 31.2xIndustry Avg. 17.8xNo. of Companies32PE01224364860+
24 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: SVS is expensive based on its Price-To-Earnings Ratio (31.2x) compared to the European Real Estate industry average (18x).

Price to Earnings Ratio vs Fair Ratio

What is SVS'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.

SVS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio31.2x
Fair PE Ratio30.7x

Price-To-Earnings vs Fair Ratio: SVS is expensive based on its Price-To-Earnings Ratio (31.2x) compared to the estimated Fair Price-To-Earnings Ratio (30.7x).

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 SVS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£10.20
UK£12.62
+23.7%
9.5%UK£14.20UK£11.00n/a4
Nov ’25UK£10.76
UK£12.62
+17.3%
9.5%UK£14.20UK£11.00n/a4
Oct ’25UK£11.70
UK£12.62
+7.8%
9.5%UK£14.20UK£11.00n/a4
Sep ’25UK£11.74
UK£12.62
+7.5%
9.5%UK£14.20UK£11.00n/a4
Aug ’25UK£12.66
UK£11.87
-6.2%
8.8%UK£13.19UK£10.70n/a4
Jul ’25UK£11.04
UK£11.87
+7.5%
8.8%UK£13.19UK£10.70n/a4
Jun ’25UK£11.40
UK£11.87
+4.1%
8.8%UK£13.19UK£10.70n/a4
May ’25UK£10.84
UK£11.58
+6.8%
6.6%UK£12.60UK£10.70n/a4
Apr ’25UK£10.66
UK£10.30
-3.4%
13.1%UK£12.00UK£8.25n/a4
Mar ’25UK£9.52
UK£9.70
+1.9%
16.0%UK£12.00UK£8.25n/a4
Feb ’25UK£9.99
UK£9.70
-2.9%
16.0%UK£12.00UK£8.25n/a4
Jan ’25UK£9.69
UK£9.49
-2.1%
15.5%UK£12.00UK£8.30n/a4
Dec ’24UK£8.05
UK£9.49
+17.9%
15.5%UK£12.00UK£8.30n/a4
Nov ’24UK£7.90
UK£9.93
+25.6%
22.4%UK£13.75UK£8.30UK£10.764
Oct ’24UK£8.66
UK£10.45
+20.7%
18.5%UK£13.75UK£8.85UK£11.704
Sep ’24UK£9.11
UK£10.45
+14.7%
18.5%UK£13.75UK£8.85UK£11.744
Aug ’24UK£9.82
UK£10.53
+7.2%
18.1%UK£13.75UK£8.85UK£12.664
Jul ’24UK£8.51
UK£10.53
+23.7%
18.1%UK£13.75UK£8.85UK£11.044
Jun ’24UK£9.08
UK£10.50
+15.7%
18.4%UK£13.75UK£8.75UK£11.404
May ’24UK£9.62
UK£10.69
+11.2%
17.4%UK£13.75UK£8.75UK£10.844
Apr ’24UK£9.92
UK£10.69
+7.8%
17.4%UK£13.75UK£8.75UK£10.664
Mar ’24UK£9.98
UK£10.46
+4.8%
18.6%UK£13.75UK£8.85UK£9.524
Feb ’24UK£9.91
UK£10.54
+6.3%
17.9%UK£13.75UK£9.15UK£9.994
Jan ’24UK£8.26
UK£10.91
+32.2%
15.9%UK£13.75UK£9.15UK£9.694
Dec ’23UK£9.52
UK£11.60
+21.8%
15.3%UK£13.75UK£9.15UK£8.054
Nov ’23UK£8.57
UK£11.60
+35.4%
15.3%UK£13.75UK£9.15UK£7.904

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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