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Rolls-Royce Holdings PLC(RR)
GBX --+0.00%
Reward61Moderate
Risk32Moderate
75%Data
Strong 28% profit margin · Revenue growing 17% YoY
RR
+0.0 · +0.00%
GBX · LSE
Rolls-Royce Holdings PLC | Industrials
Market Cap:107.89Bn
Your assumptions
6.5%
12.5%
10.0%
19.5×
10.5%
2030 exit value (EV)£70.82bn
Terminal value weight83%
5-yr IRR-4%
5-yr total return-18%
Fair value669.4p
Overvalued-48.6%
price 1303.1p
591.1pBear
669.4pBase
756.6pBull
1303.1pPrice
low confidenceanalyst target 1370.1p
Openbook readReward 61/100Risk 32/100Valuation reads "Overvalued"; Openbook rates risk moderate.
5-year forecast
Click any cell to edit| Year | Revenue | Y/Y | Op. income | Op. margin | Adj. FCF | FCF margin | PV of FCF |
|---|---|---|---|---|---|---|---|
| Y1 | £22.59bn | 6.5% | £2.82bn | 12.5% | £2.26bn | 10.0% | £2.04bn |
| Y2 | £24.05bn | 6.5% | £3.01bn | 12.5% | £2.41bn | 10.0% | £1.97bn |
| Y3 | £25.62bn | 6.5% | £3.20bn | 12.5% | £2.56bn | 10.0% | £1.90bn |
| Y4 | £27.28bn | 6.5% | £3.41bn | 12.5% | £2.73bn | 10.0% | £1.83bn |
| Y5 | £29.06bn | 6.5% | £3.63bn | 12.5% | £2.91bn | 10.0% | £1.76bn |
Fair value by method
Blended 921.2p · 145.7p–1407.6pDCF
669.4p
Dividend model
145.7p
P/E · 17× (sector-typical)
1173.0p
Analyst target
1370.1p
Why low confidence: 83% of the value is in the terminal value; free cash flow has swung between positive and negative recently.
How this is calculated
We grow revenue at your rate for five years, apply your operating and FCF margins, discount the free cash flow, and cap it with an exit EV/EBIT multiple on year-5 operating income — then subtract net debt. Defaults use the trailing 5-year rates.
New to this? Learn the mechanics with our DCF calculator and what intrinsic value means.
Educational estimate only — not financial advice or a price target. Intrinsic value is a range, highly sensitive to the assumptions above; sector multiples are typical reference levels, not live peer data. Always do your own research.