Land Securities Group Plc

LSE:LAND Stock Report

Market Cap: UK£4.3b

Land Securities Group Valuation

Is LAND undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

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

Below Fair Value: LAND (£5.9) is trading below our estimate of fair value (£8.58)

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


Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

LAND key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue9.8x
Enterprise Value/EBITDA19.4x
PEG Ration/a

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for LAND vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average13.2x
BLND British Land
5.8x-2.6%UK£3.8b
LMP LondonMetric Property
21.9x15.3%UK£3.9b
UKCM UK Commercial Property REIT
13xn/aUK£947.3m
BCPT Balanced Commercial Property Trust
12x1.3%UK£670.0m
LAND Land Securities Group
5.3x-2.3%UK£4.3b

Price-To-Sales vs Peers: LAND is good value based on its Price-To-Sales Ratio (5.3x) compared to the peer average (13.2x).


Price to Earnings Ratio vs Industry

How does LAND's PE Ratio compare vs other companies in the GB REITs Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a35.0%
n/an/an/a
No. of CompaniesPS048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a35.0%
n/an/an/a
No more companies

Price-To-Sales vs Industry: LAND is good value based on its Price-To-Sales Ratio (5.3x) compared to the European REITs industry average (8.2x).


Price to Sales Ratio vs Fair Ratio

What is LAND'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.

LAND PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio5.3x
Fair PS Ratio8.2x

Price-To-Sales vs Fair Ratio: LAND is good value based on its Price-To-Sales Ratio (5.3x) compared to the estimated Fair Price-To-Sales Ratio (8.2x).


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 LAND forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£5.90
UK£7.28
+23.5%
11.1%UK£9.30UK£5.15n/a18
Oct ’25UK£6.53
UK£7.26
+11.2%
10.1%UK£8.30UK£5.15n/a17
Sep ’25UK£6.30
UK£7.27
+15.4%
9.4%UK£8.30UK£5.04n/a16
Aug ’25UK£6.36
UK£7.27
+14.3%
9.4%UK£8.30UK£5.04n/a16
Jul ’25UK£6.30
UK£7.27
+15.3%
9.4%UK£8.30UK£5.04n/a16
Jun ’25UK£6.53
UK£7.07
+8.3%
12.5%UK£8.30UK£4.85n/a18
May ’25UK£6.49
UK£7.09
+9.3%
13.0%UK£8.30UK£4.85n/a17
Apr ’25UK£6.58
UK£7.08
+7.6%
14.1%UK£8.60UK£4.65n/a17
Mar ’25UK£6.27
UK£7.03
+12.1%
13.9%UK£8.60UK£4.65n/a17
Feb ’25UK£6.54
UK£6.94
+6.1%
13.9%UK£8.60UK£4.65n/a17
Jan ’25UK£7.05
UK£6.72
-4.7%
13.2%UK£7.54UK£4.65n/a14
Dec ’24UK£6.34
UK£6.54
+3.3%
13.2%UK£7.54UK£4.65n/a14
Nov ’24UK£5.74
UK£6.73
+17.4%
13.6%UK£8.00UK£4.65UK£6.0517
Oct ’24UK£5.90
UK£6.66
+12.9%
13.3%UK£8.00UK£4.65UK£6.5317
Sep ’24UK£5.92
UK£6.91
+16.7%
12.4%UK£8.00UK£4.85UK£6.3017
Aug ’24UK£6.43
UK£6.96
+8.2%
11.5%UK£8.00UK£4.85UK£6.3617
Jul ’24UK£5.74
UK£7.03
+22.4%
9.0%UK£8.00UK£6.25UK£6.3017
Jun ’24UK£6.07
UK£6.95
+14.4%
9.1%UK£8.00UK£6.00UK£6.5317
May ’24UK£6.74
UK£7.01
+3.9%
8.9%UK£8.00UK£6.00UK£6.4917
Apr ’24UK£6.21
UK£7.01
+12.8%
8.9%UK£8.00UK£6.00UK£6.5817
Mar ’24UK£6.77
UK£7.02
+3.7%
8.2%UK£8.00UK£6.00UK£6.2717
Feb ’24UK£7.14
UK£6.78
-5.0%
8.2%UK£8.00UK£5.90UK£6.5416
Jan ’24UK£6.21
UK£6.65
+7.0%
8.6%UK£8.00UK£5.75UK£7.0516
Dec ’23UK£6.13
UK£6.74
+9.9%
12.9%UK£8.80UK£5.00UK£6.3417
Nov ’23UK£5.81
UK£6.78
+16.8%
16.6%UK£8.80UK£4.60UK£5.7417

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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