Reece Ltd
ASX:REH

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Reece Ltd
ASX:REH
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Price: 16.23 AUD 0.06%
Market Cap: 10.5B AUD

Relative Value

The Relative Value of one REH stock under the Base Case scenario is 23.07 AUD. Compared to the current market price of 16.23 AUD, Reece Ltd is Undervalued by 30%.

Relative Value is the estimated value of a stock based on various valuation multiples like P/E and EV/EBIT ratios. It offers a quick snapshot of a stock's valuation in relation to its peers and historical norms.

REH Relative Value
Base Case
23.07 AUD
Undervaluation 30%
Relative Value
Price
Worst Case
Base Case
Best Case

Valuation Multiples

vs History
82
vs Industry
32
Median 3Y
1.4
Median 5Y
1.5
Industry
0.7
Forward
1.2
vs History
69
vs Industry
17
Median 3Y
31.1
Median 5Y
34.9
Industry
14.2
Forward
29.7
vs History
69
vs Industry
18
Median 3Y
21.2
Median 5Y
21.4
Industry
8.4
vs History
14
vs Industry
8
Median 3Y
25
Median 5Y
22.7
Industry
15.5
vs History
87
vs Industry
19
Median 3Y
3.4
Median 5Y
3.5
Industry
1.1
vs History
87
vs Industry
30
Median 3Y
1.6
Median 5Y
1.7
Industry
0.9
Forward
1.3
vs History
87
vs Industry
38
Median 3Y
5.6
Median 5Y
6
Industry
4
vs History
79
vs Industry
15
Median 3Y
20.6
Median 5Y
23.5
Industry
8.4
Forward
12.9
vs History
79
vs Industry
18
Median 3Y
20.6
Median 5Y
23.5
Industry
11.3
Forward
20.2
vs History
68
vs Industry
16
Median 3Y
23.2
Median 5Y
24.5
Industry
9.4
vs History
55
vs Industry
11
Median 3Y
35.5
Median 5Y
35.4
Industry
11.2
vs History
84
vs Industry
19
Median 3Y
2.5
Median 5Y
2.6
Industry
0.9

Multiples Across Competitors

REH Competitors Multiples
Reece Ltd Competitors

Market Cap P/S P/E EV/EBITDA EV/EBIT
AU
Reece Ltd
ASX:REH
10.5B AUD 1.2 27.9 19.4 19.4
JP
Mitsubishi Corp
TSE:8058
11.5T JPY 0.6 12 14.7 30.1
JP
Itochu Corp
TSE:8001
10.8T JPY 0.7 12.2 11.6 18.8
JP
Mitsui & Co Ltd
TSE:8031
8.6T JPY 0.6 9.6 14.6 25.2
US
WW Grainger Inc
XMUN:GWW
44.7B EUR 3 26.9 18.4 20.1
US
W W Grainger Inc
NYSE:GWW
50.2B USD 2.9 26.3 18 19.6
US
Fastenal Co
NASDAQ:FAST
47.7B USD 6.3 41.4 28.1 31.4
US
United Rentals Inc
NYSE:URI
45.7B USD 2.9 17.9 8.1 14.1
US
Ferguson Enterprises Inc
NYSE:FERG
41.8B USD 1.4 26 15.4 17.6
JP
Marubeni Corp
TSE:8002
4.9T JPY 0.6 9.7 10.6 16.3
IN
Adani Enterprises Ltd
NSE:ADANIENT
2.8T INR 2.9 40 23.9 33.6
EV/EBITDA Multiple
EBITDA Growth EV/EBITDA to Growth
AU
Reece Ltd
ASX:REH
Average EV/EBITDA: 16.6
19.4
16%
1.2
JP
Mitsubishi Corp
TSE:8058
14.7
3%
4.9
JP
Itochu Corp
TSE:8001
11.6
5%
2.3
JP
Mitsui & Co Ltd
TSE:8031
14.6
5%
2.9
US
W
WW Grainger Inc
XMUN:GWW
18.4
7%
2.6
US
W W Grainger Inc
NYSE:GWW
18
7%
2.6
US
Fastenal Co
NASDAQ:FAST
28.1
9%
3.1
US
United Rentals Inc
NYSE:URI
8.1
5%
1.6
US
Ferguson Enterprises Inc
NYSE:FERG
15.4
5%
3.1
JP
Marubeni Corp
TSE:8002
10.6
0%
N/A
IN
Adani Enterprises Ltd
NSE:ADANIENT
23.9
25%
1
EV/EBIT Multiple
EBIT Growth EV/EBIT to Growth
AU
Reece Ltd
ASX:REH
Average EV/EBIT: 22.4
19.4
2%
9.7
JP
Mitsubishi Corp
TSE:8058
30.1
N/A N/A
JP
Itochu Corp
TSE:8001
18.8
N/A N/A
JP
Mitsui & Co Ltd
TSE:8031
25.2
N/A N/A
US
W
WW Grainger Inc
XMUN:GWW
20.1
7%
2.9
US
W W Grainger Inc
NYSE:GWW
19.6
7%
2.8
US
Fastenal Co
NASDAQ:FAST
31.4
10%
3.1
US
United Rentals Inc
NYSE:URI
14.1
6%
2.3
US
Ferguson Enterprises Inc
NYSE:FERG
17.6
6%
2.9
JP
Marubeni Corp
TSE:8002
16.3
N/A N/A
IN
Adani Enterprises Ltd
NSE:ADANIENT
33.6
N/A N/A