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Keller Group (KLR) Fair Value & Analysis

Industrials · GB · Market cap 2.3B GBX

KG Keller Group KLR · LSE
Price£34.42
Fair Value£43.98
Upside+27.8%
Quality72/100
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Healthy Growth
Thin margins · 4.6% net margin
Low debt · generates free cash flow
2.05% dividend yield
Ranks above peers (9/15)
Moderate moat 52/100
Evidence: High Range £29.36 – £54.98 Share as image

Fair value as of: Jul 12, 2026

From 26 valuation models · updated 28 days ago

Fair value updated Jul 12, 2026, revised from £43.65 to £43.98 (+0.8%) since Jun 24, 2026. Share price −10.2% over the past month.

A solid business, screening 28% undervalued on our models.

What matters now

  • The rarer combination: high quality (72/100) AND below fair value. That earns a closer look rather than a quick verdict.
  • A fairly wide model range (£29.36 to £54.98) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

£38.54 £5.73 Fair Value £43.98 May 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 12, 2026.

How to read this chart

60‑month range £5.73 – £38.54 · fair‑value band £29.36 – £54.98 · the £34.42 price screens below the £43.98 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 12, 2026.

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Analysis

Keller Group (KLR) currently trades at £34.42, while our model-based Fair Value estimate is £43.98, implying the stock looks roughly 27.8% undervalued today. The Quality Score stands at 72/100 (solid quality), in the Industrials sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, Keller Group generated revenue of £3.1B at a net margin of 4.6%. Revenue grew 8.9% year over year. It earns a return on equity of 23.1%. Net debt stands at £28.9M. Fundamentals as of Jul 12, 2026

Our scenario range runs from £29.36 (bear case) to £54.98 (bull case); at £34.42, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. For context, the median of 10 Industrials peers we cover trades at -45% fair-value upside, at 28%, KLR screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF £29.41 £45.84 £70.59 80
Residual Income £13.36 £18.04 £83.92 76
Rev-Margin DCF £29.04 £47.22 £69.00 74
All 26 models by family
DCF Models
FCF DCF £29.24 £46.27 £72.37 38
Owner Earnings £27.84 £44.03 £68.83 31
5Y Revenue Exit £29.04 £47.38 £71.25 39
5Y EBITDA Exit £38.26 £65.20 £97.49 41
5Y P/E Exit £30.08 £49.40 £70.20 38
10Y Revenue Exit £27.94 £44.69 £68.16 36
10Y EBITDA Exit £34.65 £57.00 £88.35 37
10Y P/E Exit £29.48 £46.08 £67.36 35
Earnings-Based
Graham-Dodd £14.24 £51.56 £69.54 54
Lynch FV £12.23 £17.47 £22.71 50
PEG = 1.0 £12.23 £17.47 £22.71 46
EPV £24.22 £27.90 £31.07 59
Dividend Discount
Gordon GGM £4.73 £9.43 £14.27 70
DDM Multi-Stage £4.73 £8.15 £9.95 61
Multiples
P/E Multiple £32.99 £43.98 £54.98 63
P/S Multiple £26.70 £35.60 £44.51 58
P/B Multiple £26.70 £35.60 £44.51 55
EV/EBIT £41.70 £55.30 £68.90 53
EV/EBITDA £47.95 £63.62 £79.30 54
EV/Revenue £30.02 £42.50 £54.98 43
Asset-Based
NCAV (Graham) £4.71 £6.31 £9.41 50
Growth DCF
Growth DCF £29.41 £45.84 £70.59 80
Rev-Margin DCF £29.04 £47.22 £69.00 74
Economic Profit
Residual Income £13.36 £18.04 £83.92 76
ROIC Compounder £26.19 £32.76 £40.33 72
Growth Earnings
Growth-Adj P/E £23.17 £33.10 £43.03 68

Widest divergence: DCF Models (£46.27) versus Asset-Based (£6.31). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 3.1B GBX
Revenue growth (YoY) +8.9%
Net margin 4.6%
Return on equity 23.1%
Free cash flow 172M GBX FY2025
P/E ratio 12.1
More key figures
Operating margin 6.7%
EPS (TTM) £1.99
Dividend yield 3.0%
EPS growth (YoY) +8.5%
Net debt 28.9M GBX FY2025

Figures from reported company fundamentals · as of Jul 12, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 72/100

Of which business quality 69 · Market factors (momentum, volatility) 84

Profitability 72
Margins and returns on capital today
Quality Growth 59
Are margins and returns improving?
Cashflow 53
Earnings quality: real cash, not paper profit
Fin. Strength 67
Balance sheet, leverage, solvency risk
Investment 79
Disciplined investing over empire-building
Low Volatility 60
Calm price path (market factor)
Momentum 97
Price trend over the last 3–12 months (market factor)
52W Momentum 90
Distance to the 52-week high (market factor)
Net Issuance 96
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Keller Group plc provides specialist geotechnical services in North America, Europe, the Middle East, and the Asia-Pacific.

Full company description

Keller Group plc provides specialist geotechnical services in North America, Europe, the Middle East, and the Asia-Pacific. The company offers ground engineering solutions, including ground improvement services, grouting, deep foundations, earth retention, marine, and instrumentation and monitoring services, as well as post-tension systems and industrial services. It also provides bearing capacity/ settlement control, low carbon construction, containment, excavation support, stabilization, marine structures, seepage control, slope stabilization, and monitoring solutions. In addition, it provides environmental remediation and demolition. The company provides its services to the construction sector in commercial, industrial, infrastructure, institutional/public buildings, power, and residential markets. Keller Group plc was founded in 1860 and is headquartered in London, the United Kingdom.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Keller Group reported revenue of £3.1B in FY2025 versus £2.2B in FY2021, a compound +8.5%/yr. Reported net income was £143M in FY2025, compounding +26.1%/yr from FY2021.

Growth Quality 77/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
£3.1B
Latest YoY
+3.4%
Avg. growth/yr (3Y)
+1.6%
Avg. growth/yr (5Y)
+8.4%
Avg. growth/yr (34Y)
+10.2%
Revenue +8.5%/yr
FY21 £2.2B
FY22 £2.9B
FY23 £3.0B
FY24 £3.0B
FY25 £3.1B
Net income +26.1%/yr
FY21 £56.5M
FY22 £46.0M
FY23 £89.4M
FY24 £142M
FY25 £143M

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Cite: Fair Value Calculator (2026). "Keller Group Fair Value". https://www.fairvalue-calculator.com/stock/KLR

Earlier news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Engineering & Construction · 837 stocks

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.

Quality Score 72 · Top 25%
Fair Value upside +28% · Above median
Return on equity (TTM) 23% · Top 25%
Return on assets 7% · Top 25%
Net margin (TTM) 5% · Above median
Operating margin (TTM) 7% · Above median
Revenue growth 9% · Above median
Dividend yield (TTM) 2.1% · Above median
Debt / equity 0.34× · Higher than median

Valuation Multiples vs Engineering & Construction median · lower = cheaper

P/E (TTM) 17.3× · Pricier than median
P/B 4.93× · Pricier than 75% of peers
P/S (TTM) 1.03× · Pricier than median
P/FCF 18.4× · Pricier than 75% of peers
EV/EBITDA 10.7× · Pricier than median
PEG 0.76× · Cheaper than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 70 · sector 16
FUTURE 45 · sector 18
PAST 92 · sector 26
HEALTH 83 · sector 94
DIVIDEND 41 · sector 33

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Engineering & Construction stocks, each showing price versus our Fair Value estimate (as of Jul 12, 2026).

Stock Price Fair Value vs Fair Value
Larsen & Toubro Limited LT ₹3,815 ₹1,994 -48%
Samsung C&T Corporation 028260 346,000 KRW 268,779 KRW -22%
Hyundai Engineering & Construction Co 000720 99,000 KRW 63,993 KRW -35%
United Integrated Services Co 2404 1,250 TWD 925.62 TWD -26%
Samsung E&A Co 028050 42,550 KRW 44,840 KRW +5%
Rail Vikas Nigam Limited RVNL ₹232.67 ₹61.46 -74%
Daewoo Engineering & Construction Co 047040 16,240 KRW 6,507 KRW -60%
NBCC (India) Limited NBCC ₹96.32 ₹48.22 -50%
Cemindia Projects Limited CEMPRO ₹1,330 ₹730.69 -45%
KEPCO Engineering & Construction Company 052690 92,700 KRW 20,172 KRW -78%

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Frequently asked questions

Is Keller Group (KLR) overvalued or undervalued?
As of Jul 12, 2026, our model estimates a fair value of £43.98 versus a price of £34.42, about +28% (undervalued).
What is the fair value of KLR?
Our model-based fair value for Keller Group is £43.98 (as of Jul 12, 2026), built from audited fundamentals. The current price is £34.42.
What is the quality score of KLR?
Keller Group has a Quality Score of 72/100. 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 revenue of Keller Group (KLR)?
Keller Group reported trailing-twelve-month revenue of about £3.1B (latest available figure, as of Jul 12, 2026).
What is the net profit margin of KLR?
The net profit margin of Keller Group is about 4.6%, meaning it keeps roughly 4.6% of revenue as net income. Based on the latest reported figures.
Does Keller Group pay a dividend?
Keller Group currently shows a dividend yield of about 2.98% relative to its recent price (as of Jul 12, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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