Hammerson Plc

BATS-CHIXE:HMSOL Stock Report

Market Cap: UK£1.4b

Hammerson Valuation

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

Below Fair Value: HMSOL (£0.28) is trading above our estimate of fair value (£0.11)

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

Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for HMSOL. This is calculated by dividing HMSOL's market cap by their current revenue.
What is HMSOL's PS Ratio?
PS Ratio5.3x
SalesUK£267.40m
Market CapUK£1.42b

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for HMSOL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average6.3x
SUPR Supermarket Income REIT
8.1x5.3%UK£872.4m
SHC Shaftesbury Capital
10.6x1.4%UK£2.4b
NRR NewRiver REIT
4.4x-12.2%UK£287.8m
CAL Capital & Regional
2.3x-28.7%UK£146.7m
HMSOL Hammerson
5.3x-9.8%UK£1.4b

Price-To-Sales vs Peers: HMSOL is good value based on its Price-To-Sales Ratio (5.3x) compared to the peer average (10.7x).

Price to Sales Ratio vs Industry

How does HMSOL's PS Ratio compare vs other companies in the European Retail REITs Industry?

0 CompaniesPrice / SalesEstimated GrowthMarket Cap
No. of Companies6PS03.26.49.612.816+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: HMSOL is good value based on its Price-To-Sales Ratio (5.3x) compared to the European Retail REITs industry average (5.3x).

Price to Sales Ratio vs Fair Ratio

What is HMSOL'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.

HMSOL PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio5.3x
Fair PS Ratio7x

Price-To-Sales vs Fair Ratio: HMSOL is good value based on its Price-To-Sales Ratio (5.3x) compared to the estimated Fair Price-To-Sales Ratio (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 HMSOL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Currentn/a
UK£0.25
0%
30.1%UK£0.36UK£0.13n/a15
Nov ’25n/a
UK£0.25
0%
30.1%UK£0.36UK£0.13n/a15
Oct ’25n/a
UK£0.25
0%
30.1%UK£0.36UK£0.13n/a15
Sep ’25n/a
UK£0.25
0%
30.1%UK£0.36UK£0.13n/a15
Aug ’25n/a
UK£0.25
0%
30.1%UK£0.36UK£0.13n/a15
Jul ’25n/a
UK£0.25
0%
30.1%UK£0.36UK£0.13n/a15
Jun ’25n/a
UK£0.25
0%
30.1%UK£0.36UK£0.13n/a15
May ’25UK£0.28
UK£0.25
-11.0%
30.1%UK£0.36UK£0.13n/a15
Apr ’25UK£0.30
UK£0.25
-16.7%
30.1%UK£0.36UK£0.13n/a15
Mar ’25UK£0.25
UK£0.25
-2.9%
30.1%UK£0.36UK£0.13n/a15
Feb ’25UK£0.26
UK£0.25
-6.2%
30.1%UK£0.36UK£0.13n/a15
Jan ’25UK£0.28
UK£0.25
-13.3%
30.1%UK£0.36UK£0.13n/a15
Dec ’24UK£0.27
UK£0.24
-8.8%
31.6%UK£0.36UK£0.12n/a15
Nov ’24UK£0.23
UK£0.25
+8.9%
31.0%UK£0.36UK£0.12n/a18
Oct ’24UK£0.24
UK£0.24
+3.1%
30.9%UK£0.36UK£0.13n/a18
Sep ’24UK£0.24
UK£0.24
-0.2%
29.9%UK£0.36UK£0.12n/a18
Aug ’24UK£0.26
UK£0.24
-9.6%
29.4%UK£0.36UK£0.12n/a18
Jul ’24UK£0.25
UK£0.25
+0.1%
26.0%UK£0.36UK£0.15n/a18
Jun ’24UK£0.25
UK£0.25
-1.7%
25.7%UK£0.39UK£0.15n/a19
May ’24UK£0.28
UK£0.25
-10.9%
26.8%UK£0.39UK£0.15UK£0.2819
Apr ’24UK£0.26
UK£0.24
-9.0%
29.9%UK£0.39UK£0.15UK£0.3019
Mar ’24n/a
UK£0.24
0%
29.8%UK£0.39UK£0.15UK£0.2519
Feb ’24n/a
UK£0.23
0%
26.1%UK£0.39UK£0.15UK£0.2619
Jan ’24n/a
UK£0.23
0%
26.3%UK£0.39UK£0.15UK£0.2819
Dec ’23n/a
UK£0.22
0%
27.5%UK£0.39UK£0.15UK£0.2719
Nov ’23n/a
UK£0.21
0%
31.5%UK£0.39UK£0.15UK£0.2317

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

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