GlaxoSmithKline PLC
LSE:GSK

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GlaxoSmithKline PLC
LSE:GSK
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Price: 1 339.5 GBX 0.41% Market Closed
Market Cap: 54.7B GBX
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Relative Value

The Relative Value of one GSK stock under the Base Case scenario is 2 582.26 GBX. Compared to the current market price of 1 339.5 GBX, GlaxoSmithKline PLC is Undervalued by 48%.

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.

GSK Relative Value
Base Case
2 582.26 GBX
Undervaluation 48%
Relative Value
Price
Worst Case
Base Case
Best Case

Valuation Multiples

vs History
88
vs Industry
52
Median 3Y
2
Median 5Y
2
Industry
2.5
Forward
1.7
vs History
33
vs Industry
31
Median 3Y
12.7
Median 5Y
12
Industry
21.8
Forward
8.4
vs History
66
vs Industry
39
Median 3Y
7.9
Median 5Y
7.7
Industry
16.1
vs History
vs Industry
12
Median 3Y
26.2
Median 5Y
19.2
Industry
23.8
vs History
79
vs Industry
17
Median 3Y
4.4
Median 5Y
4.4
Industry
2.1
vs History
95
vs Industry
44
Median 3Y
2.3
Median 5Y
2.4
Industry
2.7
Forward
2
vs History
98
vs Industry
56
Median 3Y
3.3
Median 5Y
3.5
Industry
5.2
vs History
96
vs Industry
40
Median 3Y
6.9
Median 5Y
7
Industry
13.5
Forward
6.2
vs History
84
vs Industry
36
Median 3Y
9.3
Median 5Y
9.7
Industry
16.8
Forward
7.5
vs History
74
vs Industry
37
Median 3Y
9.7
Median 5Y
9.7
Industry
15.2
vs History
71
vs Industry
25
Median 3Y
15
Median 5Y
14.1
Industry
19.3
vs History
42
vs Industry
38
Median 3Y
1.8
Median 5Y
1.5
Industry
1.9

Multiples Across Competitors

GSK Competitors Multiples
GlaxoSmithKline PLC Competitors

All Multiples
P/S
P/E
EV/EBITDA
EV/EBIT
All Countries
Close
Market Cap P/S P/E EV/EBITDA EV/EBIT
UK
GlaxoSmithKline PLC
LSE:GSK
54.6B GBP 1.7 13.5 6.2 8.6
JP
Nichi-Iko Pharmaceutical Co Ltd
TSE:4541
776 550.9T JPY 4 211 733 -5 347 888.9 -5 459 134.4 -5 046 864.6
US
Eli Lilly and Co
NYSE:LLY
754.7B USD 18.5 90.3 48.4 54
UK
Dechra Pharmaceuticals PLC
LSE:DPH
440.4B GBP 578.3 -15 783.5 3 846.3 17 702.3
DK
Novo Nordisk A/S
CSE:NOVO B
2.7T DKK 10.2 29 20.2 23
US
Johnson & Johnson
NYSE:JNJ
351.1B USD 4 23.9 11.6 15.1
US
Merck & Co Inc
NYSE:MRK
251.8B USD 4 20.7 10.5 12.5
CH
Roche Holding AG
SIX:ROG
200.1B CHF 3.4 17.4 9.8 11.6
UK
AstraZeneca PLC
LSE:AZN
161.8B GBP 4.1 31.5 169.5 254
CH
Novartis AG
SIX:NOVN
171.5B CHF 3.8 10.8 9.4 13.1
US
Pfizer Inc
NYSE:PFE
151.5B USD 2.5 35.6 10.6 16
P/S Multiple
Revenue Growth P/S to Growth
UK
GlaxoSmithKline PLC
LSE:GSK
Average P/S: 382 942.1
1.7
18%
0.1
JP
N
Nichi-Iko Pharmaceutical Co Ltd
TSE:4541
4 211 733
22%
194 879.4
US
Eli Lilly and Co
NYSE:LLY
18.5
109%
0.2
UK
Dechra Pharmaceuticals PLC
LSE:DPH
578.3
29%
19.9
DK
Novo Nordisk A/S
CSE:NOVO B
10.2
77%
0.1
US
Johnson & Johnson
NYSE:JNJ
4
13%
0.3
US
Merck & Co Inc
NYSE:MRK
4
20%
0.2
CH
Roche Holding AG
SIX:ROG
3.4
15%
0.2
UK
AstraZeneca PLC
LSE:AZN
4.1
35%
0.1
CH
Novartis AG
SIX:NOVN
3.8
17%
0.2
US
Pfizer Inc
NYSE:PFE
2.5
10%
0.3
P/E Multiple
Earnings Growth P/E to Growth
UK
GlaxoSmithKline PLC
LSE:GSK
Average P/E: 30.3
13.5
61%
0.2
JP
N
Nichi-Iko Pharmaceutical Co Ltd
TSE:4541
Negative Multiple: -5 347 888.9 N/A N/A
US
Eli Lilly and Co
NYSE:LLY
90.3
446%
0.2
UK
Dechra Pharmaceuticals PLC
LSE:DPH
Negative Multiple: -15 783.5 N/A N/A
DK
Novo Nordisk A/S
CSE:NOVO B
29
86%
0.3
US
Johnson & Johnson
NYSE:JNJ
23.9
-23%
N/A
US
Merck & Co Inc
NYSE:MRK
20.7
7 300%
0
CH
Roche Holding AG
SIX:ROG
17.4
54%
0.3
UK
AstraZeneca PLC
LSE:AZN
31.5
177%
0.2
CH
Novartis AG
SIX:NOVN
10.8
31%
0.3
US
Pfizer Inc
NYSE:PFE
35.6
719%
0
EV/EBITDA Multiple
EBITDA Growth EV/EBITDA to Growth
UK
GlaxoSmithKline PLC
LSE:GSK
Average EV/EBITDA: 414.2
6.2
18%
0.3
JP
N
Nichi-Iko Pharmaceutical Co Ltd
TSE:4541
Negative Multiple: -5 459 134.4 N/A N/A
US
Eli Lilly and Co
NYSE:LLY
48.4
195%
0.2
UK
Dechra Pharmaceuticals PLC
LSE:DPH
3 846.3
151%
25.5
DK
Novo Nordisk A/S
CSE:NOVO B
20.2
84%
0.2
US
Johnson & Johnson
NYSE:JNJ
11.6
14%
0.8
US
Merck & Co Inc
NYSE:MRK
10.5
331%
0
CH
Roche Holding AG
SIX:ROG
9.8
23%
0.4
UK
AstraZeneca PLC
LSE:AZN
169.5
64%
2.7
CH
Novartis AG
SIX:NOVN
9.4
8%
1.2
US
Pfizer Inc
NYSE:PFE
10.6
31%
0.3
EV/EBIT Multiple
EBIT Growth EV/EBIT to Growth
UK
GlaxoSmithKline PLC
LSE:GSK
Average EV/EBIT: 1 811
8.6
29%
0.3
JP
N
Nichi-Iko Pharmaceutical Co Ltd
TSE:4541
Negative Multiple: -5 046 864.6 N/A N/A
US
Eli Lilly and Co
NYSE:LLY
54
211%
0.3
UK
Dechra Pharmaceuticals PLC
LSE:DPH
17 702.3
675%
26.2
DK
Novo Nordisk A/S
CSE:NOVO B
23
83%
0.3
US
Johnson & Johnson
NYSE:JNJ
15.1
28%
0.5
US
Merck & Co Inc
NYSE:MRK
12.5
675%
0
CH
Roche Holding AG
SIX:ROG
11.6
28%
0.4
UK
AstraZeneca PLC
LSE:AZN
254
131%
1.9
CH
Novartis AG
SIX:NOVN
13.1
58%
0.2
US
Pfizer Inc
NYSE:PFE
16
68%
0.2

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