The PNC Financial Services Group, Inc.

NYSE:PNC Stock Report

Mkt Cap: US$66.6b

We’ve recently updated our valuation analysis.

PNC Financial Services Group Valuation

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

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

PNC 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/Revenuen/a
Enterprise Value/EBITDAn/a
PEG Ratio4.2x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for PNC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average13.4x
TFC Truist Financial
11.3x5.9%US$66.9b
MTB M&T Bank
14x8.6%US$26.4b
FRC First Republic Bank
17.8x11.8%US$26.9b
RF Regions Financial
10.4x2.4%US$22.4b
PNC PNC Financial Services Group
11.6x2.8%US$66.6b

Price-To-Earnings vs Peers: PNC is good value based on its Price-To-Earnings Ratio (11.6x) compared to the peer average (13.4x).


Price to Earnings Ratio vs Industry

How does PNC's PE Ratio compare vs other companies in the US Banks Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a5.9%
n/an/an/a

Price-To-Earnings vs Industry: PNC is expensive based on its Price-To-Earnings Ratio (11.6x) compared to the US Banks industry average (9.7x)


Price to Earnings Ratio vs Fair Ratio

What is PNC'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.

PNC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio11.6x
Fair PE Ratio11.4x

Price-To-Earnings vs Fair Ratio: PNC is expensive based on its Price-To-Earnings Ratio (11.6x) compared to the estimated Fair Price-To-Earnings Ratio (11.4x).


Share Price vs Fair Value

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

Below Fair Value: PNC ($166.17) is trading below our estimate of fair value ($232.54)

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


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 PNC forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$166.17
US$173.18
+4.2%
10.7%US$218.00US$143.00n/a20
Jan ’24US$157.94
US$179.11
+13.4%
10.1%US$222.00US$149.00n/a21
Dec ’23US$164.80
US$178.35
+8.2%
10.2%US$222.00US$149.00n/a21
Nov ’23US$161.81
US$178.60
+10.4%
10.3%US$222.00US$149.00n/a21
Oct ’23US$149.42
US$183.11
+22.5%
9.9%US$222.00US$156.00n/a21
Sep ’23US$158.45
US$185.20
+16.9%
11.0%US$230.00US$156.00n/a21
Aug ’23US$166.06
US$184.59
+11.2%
11.1%US$230.00US$156.00n/a21
Jul ’23US$161.30
US$198.28
+22.9%
11.8%US$250.00US$168.00n/a22
Jun ’23US$172.44
US$203.65
+18.1%
10.2%US$250.00US$172.00n/a22
May ’23US$166.10
US$208.01
+25.2%
8.9%US$250.00US$182.75n/a22
Apr ’23US$181.14
US$222.00
+22.6%
8.1%US$260.00US$192.40n/a22
Mar ’23US$187.19
US$225.15
+20.3%
6.7%US$260.00US$195.00n/a21
Feb ’23US$209.74
US$223.76
+6.7%
7.4%US$259.00US$185.00US$164.7921
Jan ’23US$200.52
US$214.57
+7.0%
7.6%US$259.00US$185.00US$157.9422
Dec ’22US$195.45
US$212.88
+8.9%
7.6%US$259.00US$185.00US$164.8021
Nov ’22US$210.64
US$211.21
+0.3%
6.8%US$240.00US$185.00US$161.8121
Oct ’22US$198.31
US$203.11
+2.4%
8.2%US$252.00US$170.00US$149.4221
Sep ’22US$189.48
US$202.79
+7.0%
8.4%US$252.00US$170.00US$158.4521
Aug ’22US$182.41
US$201.31
+10.4%
9.0%US$252.00US$170.00US$166.0620
Jul ’22US$191.74
US$196.08
+2.3%
7.8%US$232.00US$165.00US$161.3020
Jun ’22US$195.82
US$195.43
-0.2%
8.1%US$232.00US$165.00US$172.4420
May ’22US$186.95
US$188.19
+0.7%
6.5%US$211.00US$165.00US$166.1019
Apr ’22US$177.41
US$173.60
-2.1%
9.6%US$200.00US$130.00US$181.1420
Mar ’22US$173.07
US$164.00
-5.2%
9.2%US$200.00US$130.00US$187.1920
Feb ’22US$145.86
US$161.56
+10.8%
7.6%US$179.00US$130.00US$209.7420

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


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