Kingfisher plc

LSE:KGF Stock Report

Market Cap: UK£5.1b

Kingfisher Valuation

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

Below Fair Value: KGF (£2.89) is trading above our estimate of fair value (£2.13)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for KGF. This is calculated by dividing KGF's market cap by their current earnings.
What is KGF's PE Ratio?
PE Ratio15.1x
EarningsUK£345.00m
Market CapUK£5.14b

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.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average50.6x
WIX Wickes Group
11.7x12.6%UK£359.7m
VIC Victorian Plumbing Group
29.9x36.2%UK£361.5m
JD. JD Sports Fashion
14.5x24.5%UK£4.9b
TPT Topps Tiles
146.5x88.9%UK£77.5m
KGF Kingfisher
15.1x13.6%UK£5.2b

Price-To-Earnings vs Peers: KGF is good value based on its Price-To-Earnings Ratio (15.1x) compared to the peer average (50.6x).

Price to Earnings Ratio vs Industry

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

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
WRKS TheWorks.co.uk
2xn/aUS$16.45m
No more companies available in this PE range
KGF 15.1xIndustry Avg. 16.1xNo. of Companies6PE01020304050+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: KGF is good value based on its Price-To-Earnings Ratio (15.1x) compared to the UK Specialty Retail industry average (17x).

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 Ratio15.1x
Fair PE Ratio18.1x

Price-To-Earnings vs Fair Ratio: KGF is good value based on its Price-To-Earnings Ratio (15.1x) compared to the estimated Fair Price-To-Earnings Ratio (18.1x).

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£2.89
UK£3.10
+7.2%
13.3%UK£3.87UK£2.44n/a13
Nov ’25UK£2.97
UK£3.12
+5.3%
12.9%UK£3.87UK£2.44n/a14
Oct ’25UK£3.18
UK£3.02
-4.8%
10.7%UK£3.50UK£2.44n/a13
Sep ’25UK£2.84
UK£2.60
-8.4%
14.9%UK£3.10UK£1.80n/a14
Aug ’25UK£2.81
UK£2.60
-7.5%
14.9%UK£3.10UK£1.80n/a14
Jul ’25UK£2.51
UK£2.53
+0.5%
15.4%UK£3.05UK£1.80n/a14
Jun ’25UK£2.64
UK£2.53
-4.4%
15.4%UK£3.05UK£1.80n/a14
May ’25UK£2.48
UK£2.42
-2.6%
16.4%UK£3.05UK£1.80n/a15
Apr ’25UK£2.49
UK£2.33
-6.5%
15.8%UK£3.00UK£1.80n/a16
Mar ’25UK£2.32
UK£2.29
-1.4%
14.4%UK£3.00UK£1.80n/a16
Feb ’25UK£2.16
UK£2.35
+8.9%
16.6%UK£3.30UK£1.90n/a17
Jan ’25UK£2.43
UK£2.32
-4.6%
17.2%UK£3.30UK£1.80n/a18
Dec ’24UK£2.25
UK£2.32
+3.4%
17.2%UK£3.30UK£1.80n/a18
Nov ’24UK£2.12
UK£2.35
+11.1%
19.1%UK£3.30UK£1.75UK£2.9717
Oct ’24UK£2.23
UK£2.36
+5.7%
18.9%UK£3.30UK£1.75UK£3.1818
Sep ’24UK£2.33
UK£2.61
+12.3%
18.4%UK£3.50UK£1.75UK£2.8418
Aug ’24UK£2.46
UK£2.61
+6.1%
18.7%UK£3.50UK£1.65UK£2.8118
Jul ’24UK£2.32
UK£2.62
+13.3%
18.8%UK£3.50UK£1.65UK£2.5118
Jun ’24UK£2.34
UK£2.62
+11.9%
18.9%UK£3.50UK£1.65UK£2.6418
May ’24UK£2.58
UK£2.62
+1.6%
19.2%UK£3.50UK£1.65UK£2.4819
Apr ’24UK£2.61
UK£2.62
+0.3%
19.1%UK£3.50UK£1.65UK£2.4919
Mar ’24UK£2.82
UK£2.47
-12.5%
17.3%UK£3.30UK£1.65UK£2.3218
Feb ’24UK£2.78
UK£2.39
-14.0%
17.7%UK£3.30UK£1.50UK£2.1618
Jan ’24UK£2.36
UK£2.39
+1.1%
17.3%UK£3.30UK£1.50UK£2.4318
Dec ’23UK£2.47
UK£2.39
-3.2%
17.3%UK£3.30UK£1.50UK£2.2518
Nov ’23UK£2.24
UK£2.45
+9.5%
18.1%UK£3.30UK£1.50UK£2.1218

Analyst Forecast: Target price is less than 20% higher than the current share price.

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