Great Portland Estates Plc

LSE:GPE Stock Report

Market Cap: UK£1.2b

Great Portland Estates Valuation

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

Below Fair Value: GPE (£2.92) is trading above our estimate of fair value (£2.55)

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

Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for GPE. This is calculated by dividing GPE's market cap by their current revenue.
What is GPE's PS Ratio?
PS Ratio7.9x
SalesUK£148.80m
Market CapUK£1.18b

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for GPE vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average4.6x
WKP Workspace Group
5.1x-1.7%UK£955.6m
DLN Derwent London
7.9x-1.4%UK£2.2b
GWI Globalworth Real Estate Investments
3.3xn/a€769.0m
CLI CLS Holdings
2x-0.6%UK£310.4m
GPE Great Portland Estates
7.9x3.2%UK£1.2b

Price-To-Sales vs Peers: GPE is expensive based on its Price-To-Sales Ratio (7.9x) compared to the peer average (4.6x).

Price to Sales Ratio vs Industry

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

2 CompaniesPrice / SalesEstimated GrowthMarket Cap
GPE 7.9xIndustry Avg. 7.9xNo. of Companies3PS048121620+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: GPE is good value based on its Price-To-Sales Ratio (7.9x) compared to the European Office REITs industry average (7.9x).

Price to Sales Ratio vs Fair Ratio

What is GPE'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.

GPE PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio7.9x
Fair PS Ratio8.5x

Price-To-Sales vs Fair Ratio: GPE is good value based on its Price-To-Sales Ratio (7.9x) compared to the estimated Fair Price-To-Sales Ratio (8.5x).

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 GPE forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£2.92
UK£3.85
+31.8%
13.1%UK£4.62UK£3.00n/a16
Dec ’25UK£3.02
UK£3.89
+28.7%
13.3%UK£4.62UK£3.00n/a16
Nov ’25UK£3.09
UK£3.77
+22.2%
15.5%UK£4.60UK£2.44n/a16
Oct ’25UK£3.60
UK£3.76
+4.6%
15.5%UK£4.60UK£2.44n/a16
Sep ’25UK£3.37
UK£3.72
+10.5%
14.0%UK£4.40UK£2.44n/a16
Aug ’25UK£3.50
UK£3.79
+8.5%
15.6%UK£4.90UK£2.44n/a16
Jul ’25UK£3.36
UK£4.00
+19.0%
17.7%UK£5.05UK£2.44n/a16
Jun ’25UK£3.46
UK£4.08
+18.0%
19.2%UK£5.05UK£2.44n/a16
May ’25UK£3.91
UK£4.41
+12.9%
13.8%UK£5.10UK£2.94n/a17
Apr ’25UK£3.88
UK£4.45
+14.8%
13.7%UK£5.25UK£2.94n/a17
Mar ’25UK£3.68
UK£4.44
+20.6%
13.9%UK£5.25UK£2.94n/a17
Feb ’25UK£4.05
UK£4.52
+11.6%
14.4%UK£5.25UK£2.94n/a17
Jan ’25UK£4.20
UK£4.57
+8.8%
15.9%UK£5.76UK£2.94n/a15
Dec ’24UK£4.00
UK£4.69
+17.2%
20.3%UK£6.75UK£2.94UK£3.0214
Nov ’24UK£3.95
UK£4.93
+24.8%
20.9%UK£6.75UK£2.94UK£3.0915
Oct ’24UK£4.18
UK£5.26
+25.8%
17.0%UK£6.75UK£3.87UK£3.6016
Sep ’24UK£4.13
UK£5.54
+34.3%
17.5%UK£7.06UK£3.60UK£3.3716
Aug ’24UK£4.24
UK£5.59
+32.0%
15.9%UK£7.06UK£4.24UK£3.5016
Jul ’24UK£4.15
UK£5.74
+38.3%
13.4%UK£7.06UK£4.40UK£3.3616
Jun ’24UK£4.82
UK£5.77
+19.7%
12.5%UK£7.06UK£4.50UK£3.4617
May ’24UK£5.34
UK£5.80
+8.7%
12.3%UK£7.06UK£4.50UK£3.9118
Apr ’24UK£5.07
UK£5.80
+14.4%
12.3%UK£7.06UK£4.50UK£3.8818
Mar ’24UK£5.63
UK£5.78
+2.8%
12.3%UK£7.06UK£4.50UK£3.6818
Feb ’24UK£5.69
UK£5.65
-0.6%
11.1%UK£7.06UK£4.50UK£4.0518
Jan ’24UK£4.95
UK£5.58
+12.8%
10.6%UK£7.06UK£4.60UK£4.2018
Dec ’23UK£5.03
UK£5.60
+11.4%
11.5%UK£7.06UK£4.60UK£4.0016

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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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/22 01:08
End of Day Share Price 2024/12/20 00:00
Earnings2024/09/30
Annual Earnings2024/03/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Great Portland Estates Plc is covered by 33 analysts. 9 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Aaron GuyBarclays
Celine Soo-HuynhBarclays
Miranda CockburnBerenberg