CRH Valuation

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

Below Fair Value: CRH ($100.2) is trading below our estimate of fair value ($168.82)

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for CRH. This is calculated by dividing CRH's market cap by their current earnings.
What is CRH's PE Ratio?
PE Ratio19.7x
EarningsUS$3.45b
Market CapUS$67.74b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for CRH vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average34.9x
MLM Martin Marietta Materials
18x-13.5%US$35.6b
VMC Vulcan Materials
43x18.0%US$36.7b
EXP Eagle Materials
20.8x9.8%US$10.1b
SUM Summit Materials
57.7x44.0%US$8.5b
CRH CRH
19.7x8.7%US$67.7b

Price-To-Earnings vs Peers: CRH is good value based on its Price-To-Earnings Ratio (19.7x) compared to the peer average (34.9x).


Price to Earnings Ratio vs Industry

How does CRH's PE Ratio compare vs other companies in the Global Basic Materials Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
CRH 19.7xIndustry Avg. 16.3xNo. of Companies50PE01224364860+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: CRH is expensive based on its Price-To-Earnings Ratio (19.7x) compared to the Global Basic Materials industry average (16.4x).


Price to Earnings Ratio vs Fair Ratio

What is CRH'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.

CRH PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio19.7x
Fair PE Ratio22.6x

Price-To-Earnings vs Fair Ratio: CRH is good value based on its Price-To-Earnings Ratio (19.7x) compared to the estimated Fair Price-To-Earnings Ratio (22.6x).


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 CRH forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$100.20
US$111.04
+10.8%
11.8%US$131.00US$74.00n/a23
Nov ’25US$95.80
US$103.22
+7.7%
10.2%US$126.00US$74.00n/a23
Oct ’25US$90.84
US$101.43
+11.7%
10.0%US$116.00US$74.00n/a22
Sep ’25US$90.77
US$99.59
+9.7%
9.9%US$116.00US$74.00n/a22
Aug ’25US$81.84
US$97.14
+18.7%
9.5%US$110.00US$68.00n/a22
Jul ’25US$72.96
US$97.73
+33.9%
10.0%US$113.00US$68.00n/a22
Jun ’25US$81.76
US$97.86
+19.7%
10.2%US$113.00US$68.00n/a21
May ’25US$77.15
US$93.21
+20.8%
10.5%US$106.00US$68.00n/a19
Apr ’25US$84.86
US$91.34
+7.6%
10.1%US$105.00US$68.00n/a19
Mar ’25US$83.60
US$85.75
+2.6%
14.2%US$101.00US$58.00n/a18
Feb ’25US$73.20
US$76.69
+4.8%
12.1%US$91.00US$55.00n/a17
Jan ’25US$69.16
US$73.60
+6.4%
11.2%US$90.00US$55.00n/a16
Dec ’24US$64.49
US$70.04
+8.6%
13.5%US$90.00US$51.00n/a15
Nov ’24US$56.73
US$66.60
+17.4%
14.1%US$78.40US$51.00US$95.809
Oct ’24US$54.73
US$71.32
+30.3%
7.9%US$78.60US$62.00US$90.845

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


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