Pirelli & C. S.p.A.

BIT:PIRC Stock Report

Market Cap: €5.2b

Pirelli & C Valuation

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

Below Fair Value: PIRC (€5.2) is trading above our estimate of fair value (€5.06)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for PIRC. This is calculated by dividing PIRC's market cap by their current earnings.
What is PIRC's PE Ratio?
PE Ratio12x
Earnings€432.48m
Market Cap€5.20b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for PIRC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average26.9x
BRE Brembo
10.4x13.2%€2.8b
CIR CIR. - Compagnie Industriali Riunite
37.3x-4.7%€607.6m
502355 Balkrishna Industries
32.6x14.7%₹531.2b
MRF MRF
27.1x10.9%₹528.0b
PIRC Pirelli & C
12x12.4%€5.2b

Price-To-Earnings vs Peers: PIRC is good value based on its Price-To-Earnings Ratio (12x) compared to the peer average (26.9x).

Price to Earnings Ratio vs Industry

How does PIRC's PE Ratio compare vs other companies in the European Auto Components Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
PIRC 12.0xIndustry Avg. 9.2xNo. of Companies8PE0816243240+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: PIRC is expensive based on its Price-To-Earnings Ratio (12x) compared to the European Auto Components industry average (9.2x).

Price to Earnings Ratio vs Fair Ratio

What is PIRC'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.

PIRC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio12x
Fair PE Ratio12.2x

Price-To-Earnings vs Fair Ratio: PIRC is good value based on its Price-To-Earnings Ratio (12x) compared to the estimated Fair Price-To-Earnings Ratio (12.2x).

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 PIRC forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€5.20
€6.50
+25.0%
6.4%€7.30€5.80n/a17
Nov ’25€5.07
€6.52
+28.8%
6.6%€7.30€5.80n/a17
Oct ’25€5.34
€6.51
+21.8%
6.6%€7.30€5.80n/a17
Sep ’25€5.49
€6.55
+19.3%
7.2%€7.30€5.80n/a17
Aug ’25€5.56
€6.55
+17.9%
7.2%€7.30€5.80n/a17
Jul ’25€5.62
€6.52
+16.1%
7.5%€7.30€5.80n/a17
Jun ’25€6.08
€6.50
+7.0%
7.1%€7.30€5.80n/a16
May ’25€5.97
€6.29
+5.5%
8.5%€7.30€5.50n/a16
Apr ’25€5.68
€6.05
+6.6%
7.8%€7.30€5.20n/a15
Mar ’25€5.63
€5.74
+2.0%
9.3%€6.50€4.50n/a15
Feb ’25€5.01
€5.60
+11.8%
10.4%€6.50€4.50n/a15
Jan ’25€4.93
€5.56
+12.8%
10.3%€6.50€4.50n/a15
Dec ’24€4.56
€5.52
+21.0%
10.5%€6.50€4.50n/a15
Nov ’24€4.23
€5.52
+30.4%
10.7%€6.50€4.50€5.0715
Oct ’24€4.56
€5.65
+23.9%
10.1%€6.50€4.50€5.3415
Sep ’24€4.60
€5.61
+21.8%
9.4%€6.40€4.50€5.4915
Aug ’24€4.88
€5.54
+13.5%
11.3%€6.40€4.00€5.5615
Jul ’24€4.52
€5.55
+22.6%
11.4%€6.40€4.00€5.6215
Jun ’24€4.47
€5.61
+25.7%
10.1%€6.40€4.00€6.0815
May ’24€4.75
€5.56
+17.2%
10.1%€6.40€4.00€5.9715
Apr ’24€4.62
€5.53
+19.7%
10.3%€6.40€4.00€5.6815
Mar ’24€4.89
€5.53
+13.1%
10.3%€6.40€4.00€5.6315
Feb ’24€4.58
€5.11
+11.4%
13.5%€6.40€3.80€5.0115
Jan ’24€4.00
€5.06
+26.4%
14.7%€6.40€3.80€4.9315
Dec ’23€4.33
€5.06
+17.0%
14.7%€6.40€3.80€4.5615
Nov ’23€3.72
€5.17
+38.9%
18.3%€6.50€3.60€4.2315

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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