Barclays PLC

LSE:BARC Stock Report

Market Cap: UK£53.7b

Barclays Valuation

Is BARC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of BARC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

UK£7.43
Fair Value
48.1% undervalued intrinsic discount
15
Number of Analysts

Below Fair Value: BARC (£3.85) is trading below our estimate of fair value (£7.43)

Significantly Below Fair Value: BARC is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for BARC?

Key metric: As BARC is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for BARC. This is calculated by dividing BARC's market cap by their current earnings.
What is BARC's PE Ratio?
PE Ratio8.9x
EarningsUK£6.05b
Market CapUK£53.74b

Price to Earnings Ratio vs Peers

How does BARC's PE Ratio compare to its peers?

The above table shows the PE ratio for BARC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average11.3x
LLOY Lloyds Banking Group
12.2x11.93%UK£49.6b
NWG NatWest Group
9.1x3.07%UK£44.1b
STAN Standard Chartered
10x5.62%UK£33.4b
HSBA HSBC Holdings
13.8x9.93%UK£182.9b
BARC Barclays
8.9x6.70%UK£53.7b

Price-To-Earnings vs Peers: BARC is good value based on its Price-To-Earnings Ratio (8.9x) compared to the peer average (11.3x).

Price to Earnings Ratio vs Industry

How does BARC's PE Ratio compare vs other companies in the European Banks Industry?

3 CompaniesPrice / EarningsEstimated GrowthMarket Cap
BARC 8.9xIndustry Avg. 9.8xNo. of Companies43PE0612182430+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: BARC is good value based on its Price-To-Earnings Ratio (8.9x) compared to the European Banks industry average (9.8x).

Price to Earnings Ratio vs Fair Ratio

What is BARC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

BARC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio8.9x
Fair PE Ratio8.6x

Price-To-Earnings vs Fair Ratio: BARC is expensive based on its Price-To-Earnings Ratio (8.9x) compared to the estimated Fair Price-To-Earnings Ratio (8.6x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst BARC forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£3.85
UK£4.15
+7.61%
10.68%UK£5.00UK£3.06n/a15
Sep ’26UK£3.67
UK£4.05
+10.35%
9.24%UK£4.55UK£3.06n/a15
Aug ’26UK£3.57
UK£3.77
+5.67%
13.08%UK£4.30UK£2.30n/a16
Jul ’26UK£3.30
UK£3.54
+7.28%
12.39%UK£4.20UK£2.30n/a16
Jun ’26UK£3.28
UK£3.51
+7.14%
11.92%UK£4.05UK£2.30n/a16
May ’26UK£2.95
UK£3.45
+17.11%
13.58%UK£4.00UK£2.30n/a17
Apr ’26UK£2.94
UK£3.51
+19.26%
13.87%UK£4.10UK£2.30n/a16
Mar ’26UK£3.11
UK£3.40
+9.35%
13.24%UK£3.95UK£2.30n/a17
Feb ’26UK£2.97
UK£3.16
+6.38%
13.40%UK£3.75UK£2.30n/a17
Jan ’26UK£2.68
UK£3.06
+13.98%
15.19%UK£3.85UK£2.30n/a17
Dec ’25UK£2.64
UK£2.88
+9.34%
17.04%UK£3.85UK£1.88n/a18
Nov ’25UK£2.41
UK£2.82
+17.35%
15.53%UK£3.85UK£1.88n/a18
Oct ’25UK£2.20
UK£2.67
+21.44%
13.84%UK£3.41UK£1.88UK£3.8019
Sep ’25UK£2.28
UK£2.66
+16.47%
13.74%UK£3.41UK£1.88UK£3.6719
Aug ’25UK£2.23
UK£2.56
+14.73%
14.45%UK£3.41UK£1.88UK£3.5719
Jul ’25UK£2.13
UK£2.47
+15.88%
14.29%UK£3.35UK£1.88UK£3.3019
Jun ’25UK£2.20
UK£2.52
+14.73%
14.84%UK£3.35UK£1.88UK£3.2818
May ’25UK£2.03
UK£2.47
+21.60%
14.78%UK£3.30UK£1.88UK£2.9518
Apr ’25UK£1.83
UK£2.29
+24.84%
14.70%UK£3.00UK£1.65UK£2.9417
Mar ’25UK£1.70
UK£2.23
+31.39%
18.34%UK£3.00UK£1.41UK£3.1118
Feb ’25UK£1.46
UK£2.10
+44.04%
16.68%UK£2.90UK£1.41UK£2.9717
Jan ’25UK£1.54
UK£2.09
+35.76%
17.31%UK£2.90UK£1.41UK£2.6817
Dec ’24UK£1.42
UK£2.07
+45.20%
18.83%UK£2.90UK£1.35UK£2.6417
Nov ’24UK£1.29
UK£2.13
+64.59%
21.53%UK£3.05UK£1.35UK£2.4117
Oct ’24UK£1.59
UK£2.27
+42.78%
17.47%UK£3.20UK£1.70UK£2.2017
UK£4.15
Fair Value
7.1% undervalued intrinsic discount
15
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/10/06 02:32
End of Day Share Price 2025/10/03 00:00
Earnings2025/06/30
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Barclays PLC is covered by 46 analysts. 14 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
David GrinsztajnAlphaValue
Jesús Gómez DominguezBanco Santander
Neil SmithBankhaus Lampe KG