Bayerische Motoren Werke Valuation

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

Valuation Score

4/6

Valuation Score 4/6

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

Below Fair Value: BMW (PLN293.2) is trading below our estimate of fair value (PLN454.73)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for BMW. This is calculated by dividing BMW's market cap by their current earnings.
What is BMW's PE Ratio?
PE Ratio	5.3x
Earnings	€8.18b
Market Cap	€42.87b

BMW 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/Revenue	0.9x
Enterprise Value/EBITDA	7x
PEG Ratio	1x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for BMW vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	6.3x
F Ford Motor	12.6x	19.7%	US$43.8b
VOW3 Volkswagen	3.4x	9.6%	€42.8b
7267 Honda Motor	6.6x	5.8%	JP¥6.5t
STLAM Stellantis	2.7x	-0.3%	€36.3b
BMW Bayerische Motoren Werke	5.3x	5.6%	zł42.9b

Price-To-Earnings vs Peers: BMW is good value based on its Price-To-Earnings Ratio (5.3x) compared to the peer average (6.3x).

Price to Earnings Ratio vs Industry

How does BMW's PE Ratio compare vs other companies in the Global Auto Industry?

4 Companies	Price / Earnings	Estimated Growth	Market Cap

4 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: BMW is good value based on its Price-To-Earnings Ratio (5.3x) compared to the Global Auto industry average (14.7x).

Price to Earnings Ratio vs Fair Ratio

What is BMW'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.

BMW PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	5.3x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate BMW's Price-To-Earnings Fair Ratio for valuation analysis.

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 BMW forecast and predictions for the stock price in 12 month’s time.
Date	Share Price	Average 1Y Price Target	Dispersion	High	Low	1Y Actual price	Analysts
Current	zł293.20	zł388.36 +32.5%	20.9%	zł669.67	zł260.91	n/a	22
Nov ’25	zł319.00	zł406.54 +27.4%	19.7%	zł669.16	zł304.16	n/a	21
Oct ’25	zł330.80	zł403.25 +21.9%	18.8%	zł658.16	zł316.26	n/a	22
Sep ’25	zł362.40	zł459.41 +26.8%	16.3%	zł710.82	zł342.57	n/a	22
Aug ’25	n/a	zł476.20 0%	15.3%	zł714.12	zł361.36	n/a	22
Jul ’25	zł387.70	zł487.51 +25.7%	14.4%	zł715.50	zł362.06	n/a	22
Jun ’25	zł399.50	zł482.21 +20.7%	14.0%	zł706.03	zł382.79	n/a	22
May ’25	zł464.30	zł487.38 +5.0%	14.0%	zł712.15	zł388.45	n/a	22
Apr ’25	zł465.35	zł481.03 +3.4%	14.4%	zł708.81	zł365.14	n/a	22
Mar ’25	zł425.00	zł478.45 +12.6%	14.5%	zł707.57	zł368.98	n/a	23
Feb ’25	zł425.00	zł475.87 +12.0%	14.4%	zł705.15	zł367.72	n/a	23
Jan ’25	zł442.70	zł473.79 +7.0%	14.7%	zł705.57	zł367.93	n/a	22
Dec ’24	zł410.05	zł473.34 +15.4%	15.2%	zł704.14	zł367.19	n/a	21
Nov ’24	zł414.40	zł498.69 +20.3%	13.1%	zł713.17	zł401.16	zł319.00	21
Oct ’24	zł451.25	zł520.06 +15.2%	13.1%	zł739.95	zł416.22	zł330.80	21
Sep ’24	n/a	zł503.82 0%	12.5%	zł709.34	zł399.00	zł362.40	21
Aug ’24	n/a	zł509.24 0%	12.7%	zł699.03	zł418.53	n/a	20
Jul ’24	n/a	zł499.54 0%	13.5%	zł695.75	zł389.97	zł387.70	20
Jun ’24	zł471.00	zł499.70 +6.1%	14.8%	zł709.59	zł384.17	zł399.50	21
May ’24	zł460.00	zł494.84 +7.6%	15.2%	zł720.05	zł389.84	zł464.30	21
Apr ’24	zł470.90	zł496.26 +5.4%	15.9%	zł731.07	zł365.54	zł465.35	21
Mar ’24	zł463.55	zł493.45 +6.5%	15.6%	zł727.60	zł373.37	zł425.00	21
Feb ’24	n/a	zł480.34 0%	16.2%	zł714.87	zł366.84	zł425.00	21
Jan ’24	zł396.20	zł462.80 +16.8%	19.0%	zł712.00	zł327.89	zł442.70	21
Dec ’23	zł398.65	zł465.90 +16.9%	19.9%	zł714.02	zł328.82	zł410.05	21
Nov ’23	n/a	zł475.43 0%	19.3%	zł717.46	zł334.81	zł414.40	22

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.