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

  • 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 (£2.48) is trading below our estimate of fair value (£4.03)

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


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/EBITDA7.6x
PEG Ratio1.2x

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.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average19x
WIX Wickes Group
12.7x14.2%UK£378.2m
VIC Victorian Plumbing Group
21.2x19.2%UK£250.2m
MRK Marks Electrical Group
17.1x18.4%UK£73.2m
TPT Topps Tiles
25.2x42.6%UK£80.6m
KGF Kingfisher
13.4x11.5%UK£4.6b

Price-To-Earnings vs Peers: KGF is good value based on its Price-To-Earnings Ratio (13.4x) compared to the peer average (19.5x).


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/a11.8%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a11.8%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: KGF is good value based on its Price-To-Earnings Ratio (13.4x) compared to the UK Specialty Retail industry average (14.5x).


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 Ratio13.4x
Fair PE Ratio17.8x

Price-To-Earnings vs Fair Ratio: KGF is good value based on its Price-To-Earnings Ratio (13.4x) compared to the estimated Fair Price-To-Earnings Ratio (17.8x).


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 KGF forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£2.48
UK£2.42
-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£2.26
-2.6%
15.0%UK£3.00UK£1.80n/a17
Feb ’25UK£2.16
UK£2.32
+7.4%
17.2%UK£3.30UK£1.80n/a18
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£1.75n/a17
Oct ’24UK£2.23
UK£2.36
+5.7%
18.9%UK£3.30UK£1.75n/a18
Sep ’24UK£2.33
UK£2.61
+12.3%
18.4%UK£3.50UK£1.75n/a18
Aug ’24UK£2.46
UK£2.61
+6.1%
18.7%UK£3.50UK£1.65n/a18
Jul ’24UK£2.32
UK£2.62
+13.3%
18.8%UK£3.50UK£1.65n/a18
Jun ’24UK£2.34
UK£2.62
+11.9%
18.9%UK£3.50UK£1.65n/a18
May ’24UK£2.58
UK£2.62
+1.6%
19.2%UK£3.50UK£1.65n/a19
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
Oct ’23UK£2.20
UK£2.63
+19.4%
18.3%UK£3.85UK£2.00UK£2.2318
Sep ’23UK£2.30
UK£2.80
+21.9%
17.7%UK£3.85UK£2.03UK£2.3319
Aug ’23UK£2.59
UK£2.94
+13.4%
15.9%UK£3.85UK£2.15UK£2.4619
Jul ’23UK£2.47
UK£3.00
+21.4%
16.1%UK£3.85UK£2.15UK£2.3219
Jun ’23UK£2.60
UK£3.00
+15.6%
16.0%UK£3.85UK£2.15UK£2.3419
May ’23UK£2.53
UK£3.12
+23.1%
17.1%UK£3.85UK£2.15UK£2.5819
Apr ’23UK£2.58
UK£3.23
+25.0%
18.3%UK£4.40UK£2.15UK£2.6119

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


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