Today's broker Β£1.28p value4 Mar 2025 11:31
Valuation: We conservatively value the EBITDA for the DIS and Comparison businesses at EV/EBITDA multiples of 10x FY25, despite expectations for 16% EBITDA growth in 2025, and the Search division at 3x, despite expectations for a recovery from FY26. Adjusting for net debt and dividing by the latest share count provides a valuation per share of 128p. We see significant value in Team Internet, even when ascribing little value to the Search division. We believe the value of the Group should be relatively resilient given that the earnings downgrade has been isolated to the division valued at the lowest earnings multiples.