Kainos Group plc

BATS-CHIXE:KNOSL Stock Report

Market Cap: UK£852.5m

Kainos Group Valuation

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

Valuation Score

4/6

Valuation Score 4/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Future Cash Flow Value

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

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: KNOSL (£7.15) is trading below our estimate of future cash flow value (£10.23)

Significantly Below Future Cash Flow Value: KNOSL is trading below future cash flow value by more than 20%.

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for KNOSL. This is calculated by dividing KNOSL's market cap by their current earnings.
What is KNOSL's PE Ratio?
PE Ratio27.8x
EarningsUK£30.72m
Market CapUK£852.47m

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for KNOSL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average21.2x
SCT Softcat
16.8x8.48%UK£2.2b
CCC Computacenter
19.9x10.60%UK£3.2b
FDM FDM Group (Holdings)
10.3x-10.88%UK£159.6m
MTEC Made Tech Group
37.6x21.55%UK£52.5m
KNOSL Kainos Group
27.8x23.04%UK£852.5m

Price-To-Earnings vs Peers: KNOSL is expensive based on its Price-To-Earnings Ratio (27.8x) compared to the peer average (21.2x).

Historical Price to Earnings Ratio

Historical Price to Earnings Ratio compares a stock's price to its earnings over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data

Price to Earnings Ratio vs Industry

How does KNOSL's PE Ratio compare vs other companies in the European IT Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No. of Companies23PE01632486480+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: KNOSL is expensive based on its Price-To-Earnings Ratio (27.8x) compared to the European IT industry average (18.1x).

Price to Earnings Ratio vs Fair Ratio

What is KNOSL'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.

KNOSL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio27.8x
Fair PE Ratio42.8x

Price-To-Earnings vs Fair Ratio: KNOSL is good value based on its Price-To-Earnings Ratio (27.8x) compared to the estimated Fair Price-To-Earnings Ratio (42.8x).

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 KNOSL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£7.15
UK£11.73
+64.17%
8.60%UK£13.50UK£10.30n/a10
Feb ’27UK£9.00
UK£11.73
+30.33%
8.60%UK£13.50UK£10.30n/a10
Jan ’27UK£10.04
UK£11.58
+15.34%
7.17%UK£12.90UK£10.30n/a10
Dec ’26UK£10.40
UK£11.25
+8.17%
7.94%UK£12.50UK£9.60n/a10
Nov ’26UK£9.46
UK£10.65
+12.64%
10.66%UK£12.50UK£8.10n/a10
Oct ’26UK£9.48
UK£10.49
+10.64%
13.98%UK£12.50UK£7.00n/a9
Sep ’26UK£8.69
UK£9.87
+13.61%
15.72%UK£12.00UK£7.00n/a9
Aug ’26UK£7.22
UK£10.30
+42.61%
12.60%UK£12.00UK£7.00n/a9
Jul ’26UK£7.47
UK£10.00
+33.87%
15.25%UK£12.00UK£7.00n/a10
Jun ’26UK£7.29
UK£10.00
+37.17%
15.25%UK£12.00UK£7.00n/a10
May ’26UK£7.54
UK£10.39
+37.80%
20.71%UK£15.10UK£7.00n/a10
Apr ’26UK£6.68
UK£10.30
+54.31%
20.86%UK£15.10UK£6.40n/a11
Mar ’26UK£7.00
UK£10.38
+48.25%
19.45%UK£15.10UK£7.25n/a11
Feb ’26UK£8.17
UK£10.38
+27.02%
19.45%UK£15.10UK£7.25UK£9.0011
Jan ’26UK£8.04
UK£10.38
+29.07%
19.45%UK£15.10UK£7.25UK£10.0411
Dec ’25UK£7.79
UK£10.38
+33.21%
19.45%UK£15.10UK£7.25UK£10.4011
Nov ’25UK£7.47
UK£11.23
+50.39%
14.39%UK£15.10UK£8.95UK£9.4610
Oct ’25UK£8.75
UK£13.14
+50.18%
17.48%UK£17.50UK£10.00UK£9.4810
Sep ’25UK£11.00
UK£13.91
+26.42%
18.81%UK£19.10UK£10.54UK£8.6910
Aug ’25UK£10.98
UK£13.91
+26.65%
18.81%UK£19.10UK£10.54UK£7.2210
Jul ’25UK£10.44
UK£14.04
+34.53%
20.14%UK£19.10UK£9.88UK£7.479
Jun ’25UK£11.48
UK£13.89
+20.99%
19.60%UK£19.10UK£9.88UK£7.2910
May ’25UK£9.82
UK£13.54
+37.89%
24.59%UK£21.00UK£10.00UK£7.5410
Apr ’25UK£9.70
UK£14.21
+46.47%
21.92%UK£21.00UK£10.00UK£6.689
Mar ’25UK£10.90
UK£14.21
+30.44%
21.92%UK£21.00UK£10.00UK£7.009
Feb ’25UK£11.40
UK£14.12
+23.93%
22.59%UK£21.00UK£10.00UK£8.179
UK£11.63
Fair Value
38.6% undervalued intrinsic discount
10
Number of Analysts

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 Analysis2026/02/18 00:53
End of Day Share Price 2026/02/18 00:00
Earnings2025/09/30
Annual Earnings2025/03/31

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.

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 Github.

Analyst Sources

Kainos Group plc is covered by 16 analysts. 10 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Alexander James ShortBerenberg
Benjamin MayBerenberg
Aditya BuddhavarapuBofA Global Research