Diageo PLC Valuation
| DEO Stock | USD 104.73 0.26 0.25% |
At this time, the firm appears to be undervalued. Diageo PLC ADR shows a prevailing Real Value of $115.43 per share. The current price of the firm is $104.73. Our model computes the value of Diageo PLC ADR from reviewing the firm fundamentals such as Profit Margin of 0.18 %, operating margin of 0.29 %, and Current Valuation of 77.72 B as well as analyzing its technical indicators and probability of bankruptcy.
Price Book 5.6579 | Enterprise Value 77.7 B | Enterprise Value Ebitda 11.5177 | Price Sales 2.8794 | Forward PE 11.0132 |
Undervalued
Today
Please note that Diageo PLC's price fluctuation is very steady at this time. Calculation of the real value of Diageo PLC ADR is based on 3 months time horizon. Increasing Diageo PLC's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Diageo PLC is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Diageo Stock. However, Diageo PLC's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 104.73 | Real 115.43 | Target 124.57 | Hype 104.79 | Naive 107.23 |
The intrinsic value of Diageo PLC's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Diageo PLC's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Diageo PLC ADR helps investors to forecast how Diageo stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Diageo PLC more accurately as focusing exclusively on Diageo PLC's fundamentals will not take into account other important factors: Diageo PLC Cash |
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Diageo PLC Total Value Analysis
Diageo PLC ADR is currently forecasted to have company total value of 77.72 B with market capitalization of 58.19 B, debt of 21.5 B, and cash on hands of 1.44 B. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Diageo PLC fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
77.72 B | 58.19 B | 21.5 B | 1.44 B |
Diageo PLC Investor Information
The company has Price/Earnings To Growth (PEG) ratio of 1.48. Diageo PLC ADR recorded earning per share (EPS) of 6.45. The entity last dividend was issued on the 28th of February 2025. The firm had 2:1 split on the 28th of October 1991. Based on the measurements of operating efficiency obtained from Diageo PLC's historical financial statements, Diageo PLC ADR is performing exceptionally good at this time. It has a great probability to report excellent financial results in August.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Total Cash From Operating Activities | 7.3 B | 7 B |
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| Operating Income | 7.2 B | 6.9 B |
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Diageo PLC Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Diageo PLC has an asset utilization ratio of 44.57 percent. This suggests that the Company is making $0.45 for each dollar of assets. An increasing asset utilization means that Diageo PLC ADR is more efficient with each dollar of assets it utilizes for everyday operations.Diageo PLC Ownership Allocation
Diageo PLC holds a total of 555.58 Million outstanding shares. Roughly 90.03 percent of Diageo PLC outstanding shares are held by general public with 9.97 % by other corporate entities. Please note that no matter how many assets the company secures, if the real value of the firm is less than the current market value, you may not be able to make money on it.Diageo PLC Profitability Analysis
The company reported the last year's revenue of 20.27 B. Total Income to common stockholders was 4.17 B with profit before taxes, overhead, and interest of 12.24 B.Diageo PLC Past Distributions to stockholders
About Diageo PLC Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Diageo PLC ADR. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Diageo PLC ADR based exclusively on its fundamental and basic technical indicators. By analyzing Diageo PLC's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Diageo PLC's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Diageo PLC. We calculate exposure to Diageo PLC's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Diageo PLC's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 11 B | 6.1 B |
A single share of Diageo PLC represents a small ownership stake in the entity. As a stockholder of Diageo, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Diageo PLC Dividends Analysis For Valuation
As of the 7th of July 2025, Dividends Paid is likely to grow to about 2.8 B. As of the 7th of July 2025, Retained Earnings is likely to grow to about 9.1 B
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 2.7 B | 2.8 B |
There are various types of dividends Diageo PLC can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Diageo shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Diageo PLC ADR directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Diageo pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Diageo PLC by the value of the dividends paid out.
Diageo PLC Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 559.8 M | |
| Quarterly Earnings Growth Y O Y | -0.117 | |
| Forward Price Earnings | 11.0132 |
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Diageo PLC ADR. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in income. You can also try the Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
Is Distillers & Vintners space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Diageo PLC. If investors know Diageo will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Diageo PLC listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.12) | Dividend Share 1.035 | Earnings Share 6.45 | Revenue Per Share 2.0175 | Quarterly Revenue Growth (0.01) |
The market value of Diageo PLC ADR is measured differently than its book value, which is the value of Diageo that is recorded on the company's balance sheet. Investors also form their own opinion of Diageo PLC's value that differs from its market value or its book value, called intrinsic value, which is Diageo PLC's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Diageo PLC's market value can be influenced by many factors that don't directly affect Diageo PLC's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Diageo PLC's value and its price as these two are different measures arrived at by different means. Investors typically determine if Diageo PLC is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Diageo PLC's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.