West Pharmaceutical Fair Value
WP
The fair market value of WPS.DE stock is 310.91 EUR. Relative to the market price of 0 EUR West Pharmaceutical is undervalued by 0.4%
Eyestock's quantitative valuation approach is based on the method of estimating historical multipliers. To determine whether a stock is undervalued, we compare its current price to our estimated of fair value. The more undervalued a stock is, the more investment is profitable.
Fair Relative Value
West Pharmaceutical Valuation
The fair value level of 310.91 EUR can be considered as an effective entry point for long-term investors to start investing in WPS.DE stock. For a more in-depth assessment, we provide a minimum value that can be used to increase a stock position and a maximum one that can be used to reduce it.
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Current market price
Market price:
WPS.DE stock is overvalued
It means the current price may concern as a Risky Entry Point
West Pharmaceutical Services Inc Stock Valuation Calculator
How do we value a stock?
As fair value, we use the product of the median Price-to-earnings ratios at the end of each reporting period for the last 5 years and earnings per share for the last 12 months. By analogy with the fair value, we calculate the maximum and minimum ones using the corresponding P/E extremums.
1
Maximum P/E over 5 years
56.63
2
Median P/E over 5 years
47.9
3
Minimum P/E over 5 years
37.91
4
Earning per share (last 12 months)
6.83 USD
Maximum value
1
x
4
=
367.63 EUR
Fair value
2
x
4
=
310.91 EUR
Minimum value
3
x
4
=
246.06 EUR
West Pharmaceutical Services Inc price metrics
16.12
Annual return (geometric mean)
35.43
Risk (standard deviation) of returns
β
1.01
Beta (volatility compared to market)