MERLIN Properties SOCIMI, S.A.

LSE:0QVM Stock Report

Market Cap: €5.8b

MERLIN Properties SOCIMI Valuation

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

Below Fair Value: 0QVM (€10.37) is trading above our estimate of fair value (€7.6)

Significantly Below Fair Value: 0QVM is trading above our estimate of fair value.

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for 0QVM. This is calculated by dividing 0QVM's market cap by their current earnings.
What is 0QVM's PE Ratio?
PE Ratio45.1x
Earnings€129.34m
Market Cap€5.82b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for 0QVM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average28.7x
LAND Land Securities Group
42.4x25.9%UK£4.5b
LMP LondonMetric Property
19.6x15.3%UK£4.0b
BLND British Land
23.1x20.1%UK£3.9b
UKCM UK Commercial Property REIT
29.9xn/aUK£947.3m
0QVM MERLIN Properties SOCIMI
45.1x33.2%€5.8b

Price-To-Earnings vs Peers: 0QVM is expensive based on its Price-To-Earnings Ratio (45.1x) compared to the peer average (28.7x).

Price to Earnings Ratio vs Industry

How does 0QVM's PE Ratio compare vs other companies in the European REITs Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
0QVM 45.1xIndustry Avg. 21.9xNo. of Companies9PE01632486480+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0QVM is expensive based on its Price-To-Earnings Ratio (45.1x) compared to the European REITs industry average (21.9x).

Price to Earnings Ratio vs Fair Ratio

What is 0QVM'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.

0QVM PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio45.1x
Fair PE Ratio22.8x

Price-To-Earnings vs Fair Ratio: 0QVM is expensive based on its Price-To-Earnings Ratio (45.1x) compared to the estimated Fair Price-To-Earnings Ratio (22.8x).

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 0QVM forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€10.37
€12.94
+24.8%
14.1%€15.60€7.52n/a18
Nov ’25€10.27
€12.95
+26.1%
14.1%€15.60€7.52n/a18
Oct ’25€11.38
€12.54
+10.2%
13.7%€15.00€7.52n/a19
Sep ’25€11.09
€12.33
+11.2%
11.2%€14.60€9.70n/a18
Aug ’25€10.56
€12.17
+15.2%
11.0%€14.60€9.70n/a17
Jul ’25€10.55
€12.09
+14.6%
9.2%€14.60€9.70n/a18
Jun ’25€10.93
€11.74
+7.4%
9.7%€14.30€9.70n/a17
May ’25€10.66
€11.29
+6.0%
9.0%€13.10€9.70n/a19
Apr ’25€9.97
€10.77
+8.0%
12.9%€12.70€6.40n/a20
Mar ’25€8.91
€10.73
+20.5%
12.8%€12.70€6.40n/a20
Feb ’25€9.39
€10.66
+13.5%
12.5%€12.50€6.40n/a20
Jan ’25€10.08
€10.17
+0.9%
12.7%€12.50€6.40n/a20
Dec ’24€9.30
€10.11
+8.7%
13.0%€12.50€6.40n/a20
Nov ’24€7.87
€9.96
+26.6%
14.7%€12.50€6.40€10.2717
Oct ’24€7.99
€10.09
+26.4%
15.6%€13.00€6.40€11.3817
Sep ’24€8.21
€10.24
+24.7%
13.4%€13.00€7.90€11.0917
Aug ’24€8.43
€10.24
+21.4%
13.4%€13.00€7.90€10.5617
Jul ’24€7.84
€10.20
+30.1%
13.0%€13.00€7.90€10.5517
Jun ’24€7.74
€10.41
+34.5%
14.2%€13.33€7.90€10.9317
May ’24€7.91
€10.56
+33.4%
13.5%€13.33€7.90€10.6617
Apr ’24€8.06
€10.59
+31.4%
13.5%€13.33€7.90€9.9717
Mar ’24€8.84
€10.60
+19.9%
13.5%€13.33€7.90€8.9117
Feb ’24€8.92
€10.72
+20.2%
14.3%€13.33€7.90€9.3917
Jan ’24€8.87
€10.74
+21.1%
14.3%€13.33€7.80€10.0817
Dec ’23€8.92
€10.82
+21.3%
13.9%€13.33€7.90€9.3017
Nov ’23€8.70
€11.10
+27.6%
13.1%€13.33€7.90€7.8718

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

Discover undervalued companies

Safestore Holdings

UK£1.6b

Safestore is the UK's largest self storage group with 190 stores on 31 October 2023, comprising 133 wholly owned stores in the UK (including 73 in London and the South East with the remainder in key metropolitan areas such as Manchester, Birmingham, Glasgow, Edinburgh, Liverpool, Sheffield, Leeds, Newcastle, and Bristol), 29 wholly owned stores in the Paris region, 11 stores in Spain, 11 stores in the Netherlands and 6 stores in Belgium.

SAFEL

UK£7.56

7D

3.0%

1Y

-1.6%

Cofinimmo

€2.2b

Cofinimmo has been acquiring, developing and managing rental properties for 40 years.

0J3X

€56.69

7D

2.9%

1Y

-12.9%

Xior Student Housing

€1.3b

Xior Student Housing NV is the first Belgian public regulated real estate company (RREC) specialising in the student housing segment in Belgium, the Netherlands, Spain, Portugal, Germany, Poland, Denmark and Sweden.

0RD8

€30.65

7D

2.9%

1Y

-2.8%