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Reply S.p.A (REY) Fair Value & Analysis

Technology · IT · Market cap €3.7B

RS Reply S.p.A REY · MI
Price€117.10
Fair Value€135.57
Upside+15.8%
Quality70/100
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Healthy Growth
Solidly profitable · 10.6% net margin
Low debt · generates free cash flow
1.35% dividend yield
Ranks above peers (10/14)
Moderate moat 62/100
Evidence: High Range €101.68 – €179.45 Share as image

Fair value as of: Jul 21, 2026

From 26 valuation models · updated 20 days ago

Share price +23.5% over the past month.

A solid business, screening 16% undervalued on our models.

What matters now

  • Our model range runs from €101.68 (bear) to €179.45 (bull), base €135.57. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 70/100 (solid quality) with high evidence: the data supports the verdict.
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Price vs Fair Value (5 years)

€175.98 €76.08 Fair Value €135.57 May 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 21, 2026.

How to read this chart

60‑month range €76.08 – €175.98 · fair‑value band €101.68 – €179.45 · the €117.10 price screens below the €135.57 fair value. Dashed = 300-day average. As of Jul 21, 2026.

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Analysis

Reply S.p.A (REY) currently trades at €117.10, while our model-based Fair Value estimate is €135.57, implying the stock looks roughly 15.8% undervalued today. The Quality Score stands at 70/100 (solid quality), in the Technology 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, Reply S.p.A generated revenue of €2.5B at a net margin of 10.6%. Revenue grew 6.2% year over year. It earns a return on equity of 19.0%. The balance sheet holds a net cash position of €172M. Fundamentals as of Jul 21, 2026

Our scenario range runs from €101.68 (bear case) to €179.45 (bull case); at €117.10, 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. The share trades about 20% below its 52-week high and 55% above its 52-week low, currently above its 200-day average. For context, the median of 10 Technology peers we cover trades at -25% fair-value upside, at 16%, REY 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 €110.11 €184.97 €310.13 80
Residual Income €43.21 €58.21 €194.87 76
Rev-Margin DCF €111.25 €189.56 €294.98 74
All 26 models by family
DCF Models
FCF DCF €112.05 €197.67 €348.61 38
Owner Earnings €117.00 €206.98 €365.58 31
5Y Revenue Exit €111.25 €192.46 €305.81 39
5Y EBITDA Exit €126.14 €224.33 €351.36 41
5Y P/E Exit €110.30 €190.42 €284.81 38
10Y Revenue Exit €107.32 €184.74 €309.88 36
10Y EBITDA Exit €120.43 €208.08 €348.56 37
10Y P/E Exit €110.00 €183.25 €292.04 35
Earnings-Based
Graham-Dodd €46.10 €242.59 €335.77 54
Lynch FV €66.67 €95.24 €123.81 50
PEG = 1.0 €66.67 €95.24 €123.81 46
EPV €90.36 €102.33 €112.66 59
Dividend Discount
Gordon GGM €10.67 €21.26 €32.19 70
DDM Multi-Stage €10.67 €18.37 €22.44 61
Multiples
P/E Multiple €101.68 €135.57 €169.47 63
P/S Multiple €86.43 €115.24 €144.05 58
P/B Multiple €86.43 €115.24 €144.05 55
EV/EBIT €157.44 €205.07 €252.69 53
EV/EBITDA €141.30 €183.54 €225.78 54
EV/Revenue €110.88 €152.15 €193.42 43
Asset-Based
NCAV (Graham) €20.10 €26.93 €40.20 50
Growth DCF
Growth DCF €110.11 €184.97 €310.13 80
Rev-Margin DCF €111.25 €189.56 €294.98 74
Economic Profit
Residual Income €43.21 €58.21 €194.87 76
ROIC Compounder €100.79 €127.82 €161.02 72
Growth Earnings
Growth-Adj P/E €96.63 €138.04 €179.45 68

Widest divergence: DCF Models (€192.46) versus Dividend Discount (€18.37). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) €2.5B
Revenue growth (YoY) +6.2%
Net margin 10.6%
Return on equity 19.0%
Free cash flow €280M FY2025
P/E ratio 14.1
More key figures
Operating margin 14.8%
EPS (TTM) €7.07
Dividend yield 1.4%
EPS growth (YoY) +40.8%
Net cash €172M FY2023

Figures from reported company fundamentals · as of Jul 21, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 70/100

Of which business quality 70 · Market factors (momentum, volatility) 46

Profitability 67
Margins and returns on capital today
Quality Growth 50
Are margins and returns improving?
Cashflow 61
Earnings quality: real cash, not paper profit
Fin. Strength 89
Balance sheet, leverage, solvency risk
Investment 62
Disciplined investing over empire-building
Low Volatility 61
Calm price path (market factor)
Momentum 41
Price trend over the last 3–12 months (market factor)
52W Momentum 39
Distance to the 52-week high (market factor)
Net Issuance 82
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

Reply S.p.A. provides consulting, system integration, and digital services based on communication channels and digital media in Italy and internationally.

Full company description

Reply S.p.A. provides consulting, system integration, and digital services based on communication channels and digital media in Italy and internationally. It offers Axulus Reply, an engineering platform for the industrial sector with generative AI functionalities; Brick Reply, a digital as a service platform that enables the transformation of industrial operations; Discovery Reply, a platform that centralizes and manages the life cycle of digital content, such as images, videos, audio, 3D models, and documents; and Lea Reply, platform for supply chain execution processes. The company also provides TamTamy Reply, a platform for the creation, management, and orchestration of agentic AI solutions in enterprise environments; TamTamy Reply, an enterprise social network platform for corporate communication and collaboration; Ticuro Reply, a modular platform that enables processes to support prevention and continuity of care remotely for digital healthcare; and X-RAIS Reply, an artificial intelligence solution for radiological diagnosis processes through deep learning. The company serves automotive and manufacturing, energy and utilities, financial services, logistics, retail and consumer products, and telco and media industries. The company has a strategic collaboration with European Institute Of Oncology for the development and training of domain-specific Large Language Models for oncology. Reply S.p.A. was founded in 1995 and is headquartered in Turin, Italy.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Reply S.p.A reported revenue of €2.4B in FY2025 versus €1.5B in FY2021, a compound +13.0%/yr. Reported net income was €251M in FY2025, compounding +13.6%/yr from FY2021.

Growth Quality 100/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
€2.4B
Latest YoY
+6.7%
Avg. growth/yr (3Y)
+8.6%
Avg. growth/yr (5Y)
+14.1%
Avg. growth/yr (25Y)
+18.8%
Revenue +13.0%/yr
FY21 €1.5B
FY22 €1.9B
FY23 €2.1B
FY24 €2.3B
FY25 €2.4B
Net income +13.6%/yr
FY21 €151M
FY22 €191M
FY23 €187M
FY24 €211M
FY25 €251M

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Cite: Fair Value Calculator (2026). "Reply S.p.A Fair Value". https://www.fairvalue-calculator.com/stock/REY

Earlier news

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

Peer Group

Information Technology Services · 480 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 70 · Top 25%
Fair Value upside +16% · Above median
Return on equity (TTM) 19% · Top 25%
Return on assets 9% · Top 25%
Net margin (TTM) 11% · Top 25%
Operating margin (TTM) 15% · Top 25%
Revenue growth 6% · Above median
Dividend yield (TTM) 1.4% · Below median
Debt / equity 0.02× · Lower than median

Valuation Multiples vs Information Technology Services median · lower = cheaper

P/E (TTM) 14.1× · Cheaper than median
P/B 2.86× · Pricier than median
P/S (TTM) 1.71× · Pricier than median
P/FCF 15.2× · Pricier than 75% of peers
EV/EBITDA 8.8× · 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 54 · sector 20
FUTURE 31 · sector 29
PAST 76 · sector 36
HEALTH 99 · sector 97
DIVIDEND 27 · sector 37

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 Information Technology Services stocks, each showing price versus our Fair Value estimate (as of Jul 21, 2026).

Stock Price Fair Value vs Fair Value
International Business Machines Corporation IBM $235.92 $143.90 -39%
Accenture plc ACNN 2,460 MXN 250.95 MXN -90%
Infosys Limited INFY ₹1,156 ₹1,457 +26%
HCL Technologies Limited HCLTECH ₹1,204 ₹1,230 +2%
Wipro Limited WIPRO ₹178.43 ₹226.81 +27%
Tech Mahindra Limited TECHM ₹1,455 ₹1,086 -25%
Samsung SDS Co 018260 199,300 KRW 196,390 KRW -1%
Persistent Systems Limited PERSISTENT ₹5,059 ₹2,364 -53%
Hyundai Autoever Corporation 307950 393,000 KRW 133,088 KRW -66%
Coforge Limited COFORGE ₹1,541 ₹702.84 -54%

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Frequently asked questions

Is Reply S.p.A (REY) overvalued or undervalued?
As of Jul 21, 2026, our model estimates a fair value of €135.57 versus a price of €117.10, about +16% (undervalued).
What is the fair value of REY?
Our model-based fair value for Reply S.p.A is €135.57 (as of Jul 21, 2026), built from audited fundamentals. The current price is €117.10.
What is the quality score of REY?
Reply S.p.A has a Quality Score of 70/100. 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 Reply S.p.A (REY)?
Reply S.p.A reported trailing-twelve-month revenue of about €2.5B (latest available figure, as of Jul 21, 2026).
What is the net profit margin of REY?
The net profit margin of Reply S.p.A is about 10.6%, meaning it keeps roughly 10.6% of revenue as net income. Based on the latest reported figures.
Does Reply S.p.A pay a dividend?
Reply S.p.A currently shows a dividend yield of about 1.35% relative to its recent price (as of Jul 21, 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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