Mears Group Fair Value
ME
The fair market value of MER.L stock is 368.56 GBX. Relative to the market price of 340.5 GBX Mears Group is undervalued by 8.2%
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
Mears Group Valuation
Current MER.L share ticker price is 340.5 GBX.
The fair value level of 368.56 GBX can be considered as an effective entry point for long-term investors to start investing in MER.L 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.
Price chart is not available
Current market price
Current price is 8% lower its fair value
Current price is 54% higher its minimum value
Current price is 61% lower its maximum value
Market price:
MER.L stock is undervalued
It means the current price may concern as a Moderate Risk Entry Point
Mears Group PLC 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
12.74
2
Median P/E over 5 years
8.58
3
Minimum P/E over 5 years
3.64
4
Earning per share (last 12 months)
42.95 GBP
Maximum value
1
x
4
=
546.98 GBX
Fair value
2
x
4
=
368.56 GBX
Minimum value
3
x
4
=
156.53 GBX
Mears Group PLC price metrics
5.6
Annual return (geometric mean)
33.22
Risk (standard deviation) of returns
β
1.11
Beta (volatility compared to market)