Associated British Foods plc (ASBFF) fair value: what the stock is really worth
As of Oct 2, 2026: fair value of Associated British Foods plc $54.62, price $23.95, upside +128.1%, quality 73 out of 100. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Oct 3, 2026.
How to read this chart
60‑month range $12.73 – $42.88 · fair‑value band $37.92 – $68.27 · the $23.95 price screens below the $54.62 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Oct 3, 2026.
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Associated British Foods plc engages in the food, ingredients, and retail businesses worldwide. It operates through five segments: Retail, Grocery, Ingredients, Sugar, and Agriculture.
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Associated British Foods plc engages in the food, ingredients, and retail businesses worldwide. It operates through five segments: Retail, Grocery, Ingredients, Sugar, and Agriculture. The Retail segment is involved in buying and merchandising clothing and accessories through the Primark and Penneys retail chains, which offer women's, men's, and kidswear, as well as beauty, homeware, and accessories. The Grocery segment manufactures grocery products, including hot beverages, sugar, vegetable oils, balsamic vinegars, bread and baked goods, cereals, ethnic food and meat products to retail, wholesale, and foodservice businesses. The Ingredients segment manufactures yeast and bakery ingredients, specialty ingredients focused on enzymes, procession extracts, health and nutrition, and pharmaceutical delivery systems. The Sugar segment is involved in growing and processing sugar beet and sugar cane. The Agriculture segment manufactures specialty feed ingredients, premix, and compound animal feed; and other products and services for the agriculture sector. The company was incorporated in 1934 and is headquartered in London, the United Kingdom. Associated British Foods plc operates as a subsidiary of Wittington Investments Limited.
Stock analysis
Associated British Foods plc (ASBFF) currently trades at $23.95, while our model-based Fair Value estimate is $54.62, implying the stock looks roughly 56.2% undervalued today.
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Valuation
Bull case: the DCF Models group reads highest at a median of $58.05 per share, and 22 of the 26 models we run sit above the $23.95 price.
Bear case: the Asset-Based group reads lowest at $14.02, and 4 of the 26 models stay below the price. Evidence for this calculation is high.
Scenario range: $37.92 (bear) to $68.27 (bull), the price of $23.95 sits below it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 73/100 (solid quality), in the Consumer Defensive sector.
Mixed Growth: Revenue is growing, but margins or cash flow do not fully confirm the trend.
Associated British Foods plc reported revenue of £26.1B in FY2025 versus £13.9B in FY2021, a compound +17.1%/yr. Reported net income was £1.4B in FY2025, compounding +30.3%/yr from FY2021.
Key figures
Market cap $20.3B · P/E ratio 13.4 · P/S ratio 0.71 · EPS (TTM) $1.79 · Dividend yield 2.6% · Net margin 5.3% · Return on equity 8.5% · Return on assets (EBIT) 7.9%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 52 out of 100 (medium confidence).
What moves the price
The share trades about 21% below its 52-week high and 3% above its 52-week low, currently below its 200-day average.
For context, the median of 10 Consumer Defensive peers we cover trades at 9% fair-value upside, at 128%, ASBFF screens cheaper than that median.
Fair Value models
Bear $37.92Fair Value $54.62Bull $68.27
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above is their evidence-weighted blend, not the output of a single model. Based on fiscal year 2025 figures (about 12 months old). Earnings retained since then ($1.16 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Evidence ⓘEvidence = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.76/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Revenue growth 1 year
+30.2%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+15.4%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+13.4%
Start year 2020 (pandemic). Over 10 years: +7.4% a year
Revenue growth 40 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+5.5%
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What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate.
+28.4%
Earnings growth per share plus dividend.
Earnings per share, growth per year+25.8%
Dividend (yield on the price)2.6%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.25.8% vs 7.0%, picking up
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.6% → 8%
Start year 2020 (pandemic)
Growth Forecast
Price in line with expectations
The price assumes less growth than the company has delivered so far and about what analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
−8.5%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
−10.3%
Yearly sales growth analysts expect, extended to five years.
After inflation (figures in GBP, UK: IMF forecast 2.3% a year to 2030, 3.3% from 2016 to 2025) that is about −10.6% a year for the price and −12.4% for the forecasts.
Compare Associated British Foods plc with another stock
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Packaged Foods · 637 stocks
Beats the industry median on 12/15 measures
Overall it ranks above its industry peers.
Valuation
Quality Score73 · Top 25%
Fair Value upside+60.0% · Top 25%
Profitability
Return on equity (TTM)8.5% · Above median
Return on assets4.9% · Above median
Net margin (TTM)4.9% · Above median
Operating margin (TTM)8.3% · Above median
Growth and dividend
Revenue growth1.1% · Below median
Dividend yield (TTM)2.6% · Below median
Balance sheet
Debt / equity0.04× · Below median
Valuation Multiplesvs Packaged Foods median · lower = cheaper
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Cite: Fair Value Calculator (2026). "Associated British Foods plc Fair Value". https://www.fairvalue-calculator.com/stock/ASBFF
Frequently asked questions
Is Associated British Foods plc (ASBFF) overvalued or undervalued?
As of Oct 3, 2026, our model estimates a fair value of $54.62 versus a price of $23.95, about +128% upside (undervalued).
What is the fair value of ASBFF?
Our model-based fair value for Associated British Foods plc is $54.62 (as of Oct 3, 2026), built from audited fundamentals. The current price: $23.95.
What is the quality score of ASBFF?
Associated British Foods plc has a Quality Score of 73/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Associated British Foods plc (ASBFF)?
Our model-based price target is the fair value of $54.62 (as of Oct 3, 2026) from 26 valuation models. Cautious scenario $37.92, optimistic scenario $68.27. It is a calculation from audited fundamentals, not an analyst target.
What is the Associated British Foods plc stock forecast for 2026?
Our models put fair value at $54.62, about +128% upside versus a price of $23.95 (undervalued). Cautious scenario $37.92, optimistic scenario $68.27. The calculation is refreshed regularly with new filings.
What is the revenue of Associated British Foods plc (ASBFF)?
Associated British Foods plc reported trailing-twelve-month revenue of about £19.4B (latest available figure, as of Oct 3, 2026).
Does Associated British Foods plc pay a dividend?
Associated British Foods plc currently shows a dividend yield of about 2.63% relative to its recent price (as of Oct 3, 2026).
What growth is priced into Associated British Foods plc (ASBFF)?
For today's price to be fair in a discounted-cash-flow model, Associated British Foods plc would have to grow free cash flow by -8.5 % per year for five years (discount rate 8.8 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +13.4 % per year. As of Oct 3, 2026.
What discount rate (WACC) does the fair value of ASBFF use?
Our models discount Associated British Foods plc at 8.8 %: a base by market capitalisation (large), damped by beta 0.81, country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Associated British Foods plc that is -8.5 % per year a year over ten years, using the same discount rate (8.8 %) and the same formula as our fair value.
How much growth has Associated British Foods plc (ASBFF) delivered so far?
Over the past 5 years revenue at Associated British Foods plc grew +13.4 % a year. The price currently implies -8.5 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Associated British Foods plc (ASBFF) growing?
The median revenue growth in the sector is +2.8 % a year. That is the yardstick for the growth priced into Associated British Foods plc (-8.5 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Associated British Foods plc (ASBFF)?
The free-cash-flow yield on the price is 11.76 %: that much free cash flow Associated British Foods plc produces per unit of market value. When it exceeds the discount rate of our models (8.8 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Associated British Foods plc (ASBFF)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Associated British Foods plc it is $54.62 per share (as of Oct 3, 2026), against a price of $23.95. It is the blended result of 26 valuation models (cash flow, earnings, asset, dividend).
Is Associated British Foods plc stock overvalued or undervalued in 2026?
As of Oct 3, 2026, ASBFF trades below its calculated fair value: price $23.95, fair value $54.62, a gap of about +128% (undervalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of ASBFF?
No. The price is what the market pays today ($23.95); the fair value is what the company's own numbers justify ($54.62). For Associated British Foods plc the two are $30.67 per share apart. That gap is exactly why we show both numbers side by side.
How much is Associated British Foods plc worth?
The market values Associated British Foods plc at about $20.3B (market capitalisation, as of Oct 3, 2026). Per share that is $23.95; our models calculate a fair value of $54.62 per share.
What do the bullish and bearish scenarios say about ASBFF?
Our models span a range for Associated British Foods plc: cautious scenario $37.92, base $54.62, optimistic $68.27 per share (as of Oct 3, 2026, price $23.95). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of ASBFF?
Associated British Foods plc trades at a price-to-earnings ratio of 13.4 (as of Oct 3, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of $54.62 is built from several models across several years. Other multiples: PEG 2.0, P/B 1.4, P/S 0.8, EV/EBITDA 6.7.
What is the PEG ratio of ASBFF?
The PEG ratio of Associated British Foods plc is 2.04 (P/E divided by earnings growth, as of Oct 3, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of Associated British Foods plc (ASBFF)?
Balance-sheet figures for Associated British Foods plc (as of Oct 3, 2026): return on equity 8.5%, debt of 0.04 per unit of equity. They feed the Quality Score of 73/100, which measures business quality independently of the share price.
How far is ASBFF from its 52-week high?
Associated British Foods plc trades at $23.95, about 21% below its 52-week high of $30.19 and 3% above the low of $23.18 (as of Oct 2, 2026). Distance from the high says nothing about value: that is what the fair value of $54.62 is for.
Which stocks are comparable to Associated British Foods plc?
From the same area (Consumer Defensive) we also value Nestlé S.A, Danone S.A, Foshan Haitian Flavouring and Food Company, The Kraft Heinz Company, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Associated British Foods plc stock attractive at the current price?
The data as of Oct 3, 2026: price $23.95, calculated fair value $54.62 (+128%), Quality Score 73/100, from 26 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of ASBFF calculated?
We run Associated British Foods plc through 26 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of $54.62, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 14.5 % above its aggregate fair value. Associated British Foods plc currently trades 56 % below its own fair value, and the market average says nothing about that. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Associated British Foods plc (ASBFF)?
The closing price on Oct 2, 2026 was $23.95. Our model-based fair value is $54.62, about +128% upside (undervalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Associated British Foods plc right now?
The rarer combination: high quality (73/100) AND below fair value. That earns a closer look rather than a quick verdict. The price is below even our cautious bear case ($37.92). The market is more pessimistic than our downside scenario. A fairly wide model range ($37.92 to $68.27) leaves room in how you read the outcome.
Where does the earnings growth of Associated British Foods plc (ASBFF) come from?
Earnings per share at Associated British Foods plc grew +7.6 % a year from 2014 to 2025. Broken into its drivers: revenue per share +6.6 %, EBIT margin +0.5 %, tax rate +0.0 %, residual (interest, one-offs) +0.5 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of Associated British Foods plc
How large is the market capitalisation of Associated British Foods plc (ASBFF)?
The market capitalisation of Associated British Foods plc is $20.3B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Associated British Foods plc (ASBFF)?
The price-to-sales ratio of Associated British Foods plc is 0.71 (P/E × margin). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Associated British Foods plc (ASBFF)?
Earnings per share at Associated British Foods plc are $1.79 (price ÷ EPS = P/E 13.4). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Associated British Foods plc (ASBFF)?
The dividend yield of Associated British Foods plc is 2.6% (payout 35.2%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Associated British Foods plc (ASBFF)?
The net margin of Associated British Foods plc is 5.3% (fiscal year 2025). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Associated British Foods plc (ASBFF)?
The return on equity (ROE) of Associated British Foods plc is 8.5% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Associated British Foods plc (ASBFF)?
On an EBIT basis the return on assets of Associated British Foods plc is 7.9% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Associated British Foods plc (ASBFF)?
The operating margin of Associated British Foods plc is 8.3% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Associated British Foods plc (ASBFF)?
Revenue at Associated British Foods plc is growing +1.1% versus a year earlier (3y avg +15.4%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Associated British Foods plc (ASBFF)?
Earnings per share at Associated British Foods plc are growing −6.3% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does Associated British Foods plc (ASBFF) carry?
The net debt of Associated British Foods plc is £2.6B (fiscal year 2025, ≈ 1.7 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Broad data
Oct 3, 2026