We’ve recently updated our valuation analysis.

Kingfisher Valuation

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

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

KGF 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/Revenue0.5x
Enterprise Value/EBITDA6.2x
PEG Ratio-3.2x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for KGF vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average12.5x
WIX Wickes Group
7.4x11.8%UK£381.7m
FRAS Frasers Group
16.4x12.4%UK£4.1b
TPT Topps Tiles
6.5xn/aUK£78.4m
JD. JD Sports Fashion
19.7x12.3%UK£6.4b
KGF Kingfisher
7.3x-2.3%UK£4.8b

Price-To-Earnings vs Peers: KGF is good value based on its Price-To-Earnings Ratio (7.3x) compared to the peer average (12.5x).


Price to Earnings Ratio vs Industry

How does KGF's PE Ratio compare vs other companies in the GB Specialty Retail Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a8.6%
n/an/an/a

Price-To-Earnings vs Industry: KGF is good value based on its Price-To-Earnings Ratio (7.3x) compared to the UK Specialty Retail industry average (9.6x)


Price to Earnings Ratio vs Fair Ratio

What is KGF'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.

KGF PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio7.3x
Fair PE Ratio9.5x

Price-To-Earnings vs Fair Ratio: KGF is good value based on its Price-To-Earnings Ratio (7.3x) compared to the estimated Fair Price-To-Earnings Ratio (9.5x).


Share Price vs Fair Value

What is the Fair Price of KGF when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: KGF (£2.48) is trading below our estimate of fair value (£5.69)

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


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 KGF forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£2.48
UK£2.39
-3.5%
17.4%UK£3.30UK£1.50n/a18
Nov ’23UK£2.24
UK£2.45
+9.5%
18.1%UK£3.30UK£1.50n/a18
Oct ’23UK£2.20
UK£2.63
+19.4%
18.3%UK£3.85UK£2.00n/a18
Sep ’23UK£2.30
UK£2.80
+21.9%
17.7%UK£3.85UK£2.03n/a19
Aug ’23UK£2.59
UK£2.94
+13.4%
15.9%UK£3.85UK£2.15n/a19
Jul ’23UK£2.47
UK£3.00
+21.4%
16.1%UK£3.85UK£2.15n/a19
Jun ’23UK£2.60
UK£3.00
+15.6%
16.0%UK£3.85UK£2.15n/a19
May ’23UK£2.53
UK£3.12
+23.1%
17.1%UK£3.85UK£2.15n/a19
Apr ’23UK£2.58
UK£3.23
+25.0%
18.3%UK£4.40UK£2.15n/a19
Mar ’23UK£3.03
UK£3.51
+16.0%
15.7%UK£4.50UK£2.20n/a19
Feb ’23UK£3.35
UK£3.58
+6.9%
14.8%UK£4.50UK£2.20n/a20
Jan ’23UK£3.38
UK£3.59
+6.2%
14.9%UK£4.50UK£2.20n/a20
Dec ’22UK£3.23
UK£3.62
+12.1%
14.6%UK£4.50UK£2.20n/a18
Nov ’22UK£3.35
UK£3.67
+9.8%
14.5%UK£4.50UK£2.20UK£2.2418
Oct ’22UK£3.33
UK£3.69
+10.9%
15.3%UK£4.50UK£2.20UK£2.2016
Sep ’22UK£3.55
UK£3.67
+3.3%
16.1%UK£4.50UK£2.20UK£2.3016
Aug ’22UK£3.68
UK£3.67
-0.5%
16.1%UK£4.50UK£2.20UK£2.5916
Jul ’22UK£3.68
UK£3.62
-1.5%
16.8%UK£4.50UK£2.20UK£2.4715
Jun ’22UK£3.61
UK£3.59
-0.6%
16.7%UK£4.50UK£2.20UK£2.6015
May ’22UK£3.57
UK£3.31
-7.3%
15.4%UK£4.25UK£2.20UK£2.5316
Apr ’22UK£3.26
UK£3.22
-1.1%
15.0%UK£3.85UK£2.20UK£2.5816
Mar ’22UK£2.67
UK£3.11
+16.5%
14.2%UK£3.75UK£2.30UK£3.0315
Feb ’22UK£2.88
UK£3.10
+7.8%
14.5%UK£3.75UK£2.30UK£3.3515
Jan ’22UK£2.70
UK£3.02
+11.7%
14.0%UK£3.75UK£2.30UK£3.3815
Dec ’21UK£2.82
UK£3.07
+9.0%
13.8%UK£3.75UK£2.30UK£3.2315
Nov ’21UK£2.87
UK£3.02
+5.3%
15.2%UK£3.75UK£2.20UK£3.3515

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


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