RS GROUP PLC (RS1) fair value: what the stock is really worth
As of Nov 6, 2026: fair value (intrinsic value) of RS GROUP PLC stock £7.44, price £7.90, that is 5.8% below the price, quality 68 out of 100. Rating: fairly valued. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 8, 2026.
How to read this chart
60‑month range £4.58 – £10.83 · fair‑value band £5.12 – £9.30 · the £7.90 price screens above the £7.44 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 8, 2026.
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RS Group plc, together with its subsidiaries, engages in the distribution of maintenance, repair, and operations products and service solutions in the United Kingdom, the United States, France, Mexico, Germany, Italy, Switzerland, and internationally.
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It offers automation and control, and electrification products; cables and connectors; mechanical and fluid power products, such as transmission, pneumatics, and hydraulic components; semiconductors and passive components; test and measurements products; personal protective equipment (PPE), workwear, and janitorial products; and facilities and maintenance products for buildings.
The company also provides bundling, kitting, labelling, and assembly services; digital procurement platforms that enhance productivity, reduce spend, and streamline supplier management; inventory solutions that optimize inventory management to reduce waste, enhance supply chains, and lower costs; and DesignSpark, a software tool for design engineers.
In addition, it offers design, manufacturing, and prototyping; maintenance engineering and safety; and integrated supply chain and procurement solutions.
The company provides its customers with product and service solutions for designing, building, maintaining, repairing, and operating industrial equipment. It serves design and discrete manufacturing, process manufacturing, facilities and intralogistics, and energy and utilities industries.
The company was formerly known as Electrocomponents plc. RS Group plc was founded in 1937 and is based in London, the United Kingdom.
Stock analysis
RS GROUP PLC (RS1) currently trades at £7.90, while our model-based Fair Value estimate is £7.44, so the stock looks roughly fairly valued today (gap 6.1%).
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Valuation
Bull case: the DCF Models group reads highest at a median of £7.74 per share, and 5 of the 26 models we run sit above the £7.90 price.
Bear case: the Earnings-Based group reads lowest at £2.80, and 21 of the 26 models stay below the price. Data coverage for this calculation is high.
Scenario range: £5.12 (bear) to £9.30 (bull), the price of £7.90 sits inside 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 68/100 (solid quality), in the Industrials sector.
Mixed Growth: Revenue is growing, but margins or cash flow do not fully confirm the trend.
RS GROUP PLC reported revenue of £2.9B in FY2026 versus £2.6B in FY2022, a compound +3.1%/yr. Reported net income was £162M in FY2026, compounding −8.4%/yr from FY2022.
Key figures
Market cap £3.7B Mid · P/E ratio 21.9 · P/S ratio 1.23 · EPS (TTM) £0.3600 · Dividend yield 2.9% · Net margin 5.5% · Return on equity 11.9% · Return on assets (EBIT) 11.6% (5-year average).
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 46 out of 100 (low confidence).
What moves the price
The share trades about 1% below its 52-week high and 47% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Industrials peers we cover trades at −28% fair-value upside, at −6%, RS1 screens cheaper than that median.
Fair Value models
Bear£5.12Fair Value £7.44Bull£9.30
Price £7.90 · Downside -5.8%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2026 figures (about 7 months old). Earnings retained since then (£0.0785 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.Coverage ⓘCoverage = 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.69/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Revenue growth 1 year
−0.8%
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.
−1.1%
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.
+7.5%
Start year 2021 (pandemic). Over 10 years: +8.4% 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.
+6.9%
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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.
+2.9%
Earnings growth per share plus dividend.
Earnings per share, growth per year+0.0%
Dividend (yield on the price)2.9%
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.0.0% vs 8.0%, slowing
Profit margin 2021 to 2026 ⓘ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.9% → 8%
Pace: the 5-year rate starts in 2021 (pandemic)
Growth Forecast
Price in line with expectations
The price assumes about as much growth as 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).
+6.6%
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.
+4.1%
Yearly sales growth analysts expect, extended to five years.
After inflation (UK: IMF forecast 2.3% a year to 2030, 3.3% from 2016 to 2025) that is about +4.2% a year for the price and +1.7% for the forecasts.
AI conclusion: Targeted acquisitions have strengthened automation capabilities in industrial distribution, yet average returns and thin evidence of durable advantages leave results exposed to slow market conditions.
Main risk: A still-gradual market recovery would constrain cash generation at the industrial distributor and limit the durability of its ongoing share repurchase program.
RS Group keeps buying back shares under its ongoing repurchase program as it prepares for half-year results. The industrial distributor has also built deeper automation capabilities through targeted acquisitions. Does this capital return point to robust future cash generation, or does it mainly cushion a still-gradual market recovery?
Price, fair value, quality and upside side by side.
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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.Industrial Distribution · 107 stocks
Beats the industry median on 8/15 measures
A mixed picture versus its industry peers.
Valuation
Quality Score68 · Top 25%
Fair Value upside−5.8% · Below median
Profitability
Return on equity (12 months)11.9% · Above median
Return on assets6.1% · Above median
Net margin (12 months)5.5% · Above median
Operating margin (12 months)8.5% · Above median
Growth and dividend
Revenue growth (quarter YoY)10.1% · Above median
Dividend yield (12 months)2.9% · Above median
Balance sheet
Debt / equity0.19× · Above median
Valuation Multiplesvs Industrial Distribution median · lower = cheaper
P/E (12 months)21.9× · Pricier than median
P/B2.62× · Pricier than median
P/S (12 months)1.23× · Pricier than median
Price / free cash flow (fiscal year)15.1× · Pricier than median
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "RS GROUP PLC Fair Value". https://www.fairvalue-calculator.com/stock/RS1
Frequently asked questions
Is RS GROUP PLC (RS1) overvalued or undervalued?
As of Nov 8, 2026, our model estimates a fair value of £7.44 versus a price of £7.90, about 6% lower (fairly valued).
What is the fair value of RS1?
Our model-based fair value for RS GROUP PLC is £7.44 (as of Nov 8, 2026), built from audited fundamentals. The current price: £7.90.
What is the quality score of RS1?
RS GROUP PLC has a Quality Score of 68/100. 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 RS GROUP PLC (RS1)?
Our model-based price target is the fair value of £7.44 (as of Nov 8, 2026) from 26 valuation models. Cautious scenario £5.12, optimistic scenario £9.30. It is a calculation from audited fundamentals, not an analyst target.
What is the RS GROUP PLC stock forecast for 2026?
Our models put fair value at £7.44, about 6% lower versus a price of £7.90 (fairly valued). Cautious scenario £5.12, optimistic scenario £9.30. The calculation is refreshed regularly with new filings.
What is the revenue of RS GROUP PLC (RS1)?
RS GROUP PLC reported trailing-twelve-month revenue of about £3.0B (latest available figure, as of Nov 8, 2026).
Does RS GROUP PLC pay a dividend?
RS GROUP PLC currently shows a dividend yield of 2.93% relative to its recent price (as of Nov 8, 2026).
How much is the dividend of RS GROUP PLC (RS1) and when is the ex-dividend date?
RS GROUP PLC pays a dividend of £0.231 per share a year, a dividend yield of 2.9%. The next ex-dividend date is Nov 19, 2026. A dividend has been paid every year since at least 1993. The payout ratio is 64.2% of earnings. Free cash flow covers the dividend 2.32 times. Our assessment: Sustainable. Payout and cash coverage both look sustainable.
What growth is priced into RS GROUP PLC (RS1)?
For today's price to be fair in a discounted-cash-flow model, RS GROUP PLC would have to grow free cash flow by +6.6 % per year for five years (discount rate 10.1 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +7.5 % per year. As of Nov 8, 2026.
What discount rate (WACC) does the fair value of RS1 use?
Our models discount RS GROUP PLC at 10.1 %: a base by market capitalisation (mid), damped by beta 0.92, country premium for United Kingdom. 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 RS GROUP PLC that is +6.6 % per year for five years, then slowing evenly to 2 % by year ten, using the same discount rate (10.1 %) and the same formula as our fair value.
How much growth has RS GROUP PLC (RS1) delivered so far?
Over the past 5 years revenue at RS GROUP PLC grew +7.5 % a year. The price currently implies free-cash-flow growth of +6.6 % per 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 RS GROUP PLC (RS1) growing?
The median revenue growth in the sector is +7.8 % a year. That is the yardstick for the growth priced into RS GROUP PLC (+6.6 % per year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of RS GROUP PLC (RS1)?
The free-cash-flow yield on the price is 6.61 %: that much free cash flow RS GROUP PLC produces per unit of market value. When it exceeds the discount rate of our models (10.1 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of RS GROUP PLC (RS1)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For RS GROUP PLC it is £7.44 per share (as of Nov 8, 2026), against a price of £7.90. It is the blended result of 26 valuation models in 8 families (DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Growth DCF, Economic Profit, Growth Earnings).
Is RS GROUP PLC stock overvalued or undervalued in 2026?
As of Nov 8, 2026, RS1 trades above its calculated fair value: price £7.90, fair value £7.44, a gap of about −6% (fairly valued). 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 RS1?
No. The price is what the market pays today (£7.90); the fair value is what the company's own numbers justify (£7.44). For RS GROUP PLC the two are £0.4550 per share apart. That gap is exactly why we show both numbers side by side.
How much is RS GROUP PLC worth?
The market values RS GROUP PLC at about £3.7B (market capitalisation, as of Nov 8, 2026). Per share that is £7.90; our models calculate a fair value of £7.44 per share.
What do the bullish and bearish scenarios say about RS1?
Our models span a range for RS GROUP PLC: cautious scenario £5.12, base £7.44, optimistic £9.30 per share (as of Nov 8, 2026, price £7.90). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of RS1?
RS GROUP PLC trades at a price-to-earnings ratio of 21.9 (as of Nov 8, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of £7.44 is built from several models across several years. Median P/E at fiscal year-end, 10 fiscal years (2017 to 2026), reported earnings: 17.6. Other multiples: PEG 0.0, P/B 2.6, P/S 1.2, EV/EBITDA 13.2.
What is the PEG ratio of RS1?
The PEG ratio of RS GROUP PLC is 0.02 (P/E divided by earnings growth, as of Nov 8, 2026). That is below 1, so growth is priced more cheaply than the earnings multiple alone suggests.
How solid is the balance sheet of RS GROUP PLC (RS1)?
Balance-sheet figures for RS GROUP PLC (as of Nov 8, 2026): return on equity 11.9%, debt of 0.19 per unit of equity. They feed the Quality Score of 68/100, which measures business quality independently of the share price.
How far is RS1 from its 52-week high?
RS GROUP PLC trades at £7.90, about 1% below its 52-week high of £7.98 and 47% above the low of £5.36 (as of Nov 6, 2026). Distance from the high says nothing about value: that is what the fair value of £7.44 is for.
Which stocks are comparable to RS GROUP PLC?
From the same area (Industrials) we also value W.W. Grainger, Inc, Fastenal Company, Ferguson Enterprises Inc, WESCO International, Inc, 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 RS GROUP PLC stock attractive at the current price?
The data as of Nov 8, 2026: price £7.90, calculated fair value £7.44 (−6%), Quality Score 68/100, 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 RS1 calculated?
We run RS GROUP PLC through 26 models from 8 families: DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Growth DCF, Economic Profit, Growth Earnings. Every model gets the same audited fundamentals; the fair value of £7.44 builds on their evidence-weighted average, 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 13.0% above its aggregate fair value. RS GROUP PLC itself currently trades above fair value. 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 RS GROUP PLC (RS1)?
The closing price on Nov 6, 2026 was £7.90. Our model-based fair value is £7.44, about 6% lower (fairly valued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with RS GROUP PLC right now?
The price sits close to our fair value, market and models broadly agree here, little valuation tension. A fairly wide model range (£5.12 to £9.30) leaves room in how you read the outcome.
Where does the earnings growth of RS GROUP PLC (RS1) come from?
Earnings per share at RS GROUP PLC grew +10.9 % a year from 2015 to 2026. Broken into its drivers: revenue per share +8.1 %, EBIT margin +1.8 %, tax rate +0.4 %, 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 RS GROUP PLC
How large is the market capitalisation of RS GROUP PLC (RS1)?
The market capitalisation of RS GROUP PLC is £3.7B. 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 RS GROUP PLC (RS1)?
The price-to-sales ratio of RS GROUP PLC is 1.23 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of RS GROUP PLC (RS1)?
Earnings per share at RS GROUP PLC are £0.3600 (price ÷ EPS = P/E 21.9). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of RS GROUP PLC (RS1)?
The dividend yield of RS GROUP PLC is 2.9% (payout 64.2%). 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 RS GROUP PLC (RS1)?
The net margin of RS GROUP PLC is 5.5% (last twelve months). 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 RS GROUP PLC (RS1)?
The return on equity (ROE) of RS GROUP PLC is 11.9% (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 RS GROUP PLC (RS1)?
On an EBIT basis the return on assets of RS GROUP PLC is 11.6% (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 RS GROUP PLC (RS1)?
The operating margin of RS GROUP PLC is 8.5% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at RS GROUP PLC (RS1)?
Revenue at RS GROUP PLC is growing +10.1% versus a year earlier (3y avg −1.1%). 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 RS GROUP PLC (RS1)?
Earnings per share at RS GROUP PLC are growing +6.8% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does RS GROUP PLC (RS1) carry?
The net debt of RS GROUP PLC is £329M (fiscal year 2026, ≈ 1.3 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
Nov 8, 2026