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Endeavour Group (ASX:EDV) Could Be 11% Below Fair Value After Board Appointment

Simply Wall St·10/04/2026 16:26:19
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Endeavour Group (ASX:EDV) has drawn fresh attention after announcing that former REA Group chief executive Owen Wilson will join its board as an independent non executive director, subject to regulatory approvals.

For investors watching Endeavour Group, the latest board appointment lands at a time when the shares have been under pressure. The 30 day share price return is down 8.59% and the year to date share price return is down 19.02%, while the 1 year total shareholder return is down 15.25%. This points to fading momentum in both the shorter and longer term despite fresh attention on the business.

Spot opportunities other investors might be missing by comparing Endeavour Group with 5 high quality undervalued stocks, which links share price pressure with solid underlying fundamentals.

Endeavour Group is trading at a clear discount to some analyst targets after a tough run. Is that a signal the market is too cautious, or a fair warning sign on valuation risk?

Most Popular Narrative: 11% Undervalued

On Simply Wall St’s most followed view, Endeavour Group carries a fair value of A$3.36 against a last close of A$2.98. This frames today’s depressed share price as a potential valuation gap rather than just sentiment damage.

The analysts have a consensus price target of A$3.36 for Endeavour Group based on their expectations of its future earnings growth, profit margins and other risk factors. However, there is a degree of disagreement amongst analysts, with the most bullish reporting a price target of A$5.4, and the most bearish reporting a price target of just A$2.6.

See why 68 investors see Endeavour Group as 11% undervalued.

Result: Fair Value of A$3.36 (UNDERVALUED)

Still, the Endeavour Group story can change quickly if cost pressures persist or if tighter liquor and gaming rules start to affect higher margin revenue.

Find out about the key risks to this Endeavour Group narrative.

Another View: Endeavour Group Looks Expensive On Earnings

There is a very different message when you look at Endeavour Group through its P/E ratio. The shares trade on roughly 102.9x earnings, compared with about 15.4x for the global consumer retailing group and a fair ratio estimate of 32.2x. That gap points to meaningful valuation risk if sentiment cools or earnings slip.

For anyone weighing that against the earlier fair value estimate, it raises a simple question: Is the current A$2.98 price closer to an opportunity or a premium that still needs stronger profits to back it up.

See what the numbers say about this price — find out in our valuation breakdown.

ASX:EDV P/E Ratio as at Oct 2026
ASX:EDV P/E Ratio as at Oct 2026

Next Steps

Mixed messages on Endeavour Group valuation can be confusing. Move quickly to the underlying data and weigh both the risks and the upside for yourself with 2 key rewards and 4 important warning signs.

Looking for more investment ideas beyond Endeavour Group?

If Endeavour Group has you thinking harder about valuation and risk, use that momentum and line up a watchlist that genuinely fits your goals.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.