CPG.L · Intrinsic value
Is Compass Group PLC (CPG.L) overvalued or undervalued?
As of Oct 19, 2026, TickerWorth's valuation lenses put Compass Group PLC (CPG.L) at $10.45 – $38.01, too broad a range to say where the delayed market price of $32.97 sits in it, so we do not call it over- or undervalued. It is a model estimate, and every input behind it is sourced below.
Model by Miraaj Patel · generated from market data · Updated Oct 19, 2026 · How these pages are made
What is CPG.L worth?
- Fair-value range
- $10.45 – $38.01
- Market price
- $32.97
- Gap to fair value
- —
- Verdict
- Too wide to call
Reverse DCF: Today's price implies revenue growth of 7.9% a year for 5 years; our model assumes 7.3% a year on average over the same horizon.
What is CPG.L's TickerWorth Score?
Middle of the pack — real strengths and real weaknesses
Compared with Consumer Cyclical companies in UK
Its strongest point: recent price trend has been strong. Its weakest: balance sheet looks stretched.
- Value · 42 of 100
Cheaper than 42% of Consumer Cyclical companies worldwide
- Price vs worth · 34 of 100
- Quality · 57 of 100
More profitable than 57% of Consumer Cyclical companies worldwide
- Financial health · 26 of 100
Financially stronger than 26% of Consumer Cyclical companies worldwide
- Growth · 59 of 100
Growing faster than 59% of Consumer Cyclical companies worldwide
- Momentum · 80 of 100
Outperformed 80% of Consumer Cyclical companies worldwide over the past year
Confidence: Medium confidence · Scored
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Why CPG.L gets a range, not one number
At a recent price of $32.97, Compass Group PLC (CPG.L) sits inside a range too wide to call either way: our valuation lenses put the business somewhere between $10.45 and $38.01 per share. They disagree too widely for us to state a single fair value. We publish the range rather than a midpoint because a number that precise would claim more than the methods can support. This is an educational model, not a price target or a recommendation.
Read the full reasoning
The valuation discounts Compass Group PLC's projected free cash flows at a weighted-average cost of capital (WACC) of 7.9%, with a long-run terminal growth rate of 2.5%. About 78% of the enterprise value comes from the terminal value — the portion beyond the explicit forecast window — which is typical for a stable, cash-generative business and a reminder that small changes in the discount rate or terminal growth assumption swing the intrinsic value meaningfully.
Running the DCF in reverse — solving for the growth the current price already assumes — the market is implying roughly 7.9% annual revenue growth for CPG.L. Our base case instead compounds to about 7.3% a year over the same forecast, so the market's implied growth is broadly in line with our base case. The reverse-DCF is a quick sanity check: it reframes 'is this stock cheap?' as 'do I believe the growth the price requires?' rather than arguing over a single point estimate of fair value.
Sensitivity matters more than any single number. Across a reasonable band of discount-rate assumptions, CPG.L's modeled DCF value ranges from about $19.81 to $58.50 per share. If that range still sits below today's price, the market is optimistic relative to the model across the whole band; if it brackets the price, the stock is roughly fairly valued on our assumptions. Use the interactive slider to see exactly where your own cost-of-capital view lands.
How to read this page: the DCF fair value is what Compass Group PLC would be worth if its cash flows grow as modeled and are discounted at the stated WACC. The assumptions table shows every input and its source; the reverse-DCF shows what the market believes; the sensitivity band shows how fragile the answer is. None of this is investment advice — it is a transparent, auditable framework for forming your own view of CPG.L's intrinsic value. Figures update as new filings and prices come in.
Every input behind CPG.L's DCF
| Input | Value |
|---|---|
| Base-year revenueLive feed — totalRevenue (TTM) | $48,485,000,000 |
| Base EBIT marginComputed — trailing operatingMargins, held roughly flat | 6.7% |
| Forecast revenue growthESTIMATEAssumption — TickerWorth's 5-year explicit forecast | 11% → 9% → 7% → 6% → 4% |
| Risk-free rateLive feed — US 10-year Treasury yield (^TNX) | 5.2% |
| BetaLive feed — yfinance, 5-year monthly beta vs the S&P 500 (clamped to 0.4–2.5) | 0.66 |
| Terminal growthESTIMATEAssumption — TickerWorth house default 2.5%, held below WACC | 2.5% |
| Diluted sharesLive feed — sharesOutstanding | 1,700M |
| Market priceLast known price · as of 2026-10-19 18:39 UTC | $32.97 |
Change CPG.L's assumptions
The discount-rate dial and the editable model
ProChange growth, margin and WACC yourself — Pro (7-day free trial, card required).
What does Compass Group PLC do?
What does it do?
Compass Group PLC provides food and support services in North America and internationally. The company offers support services, such as cleaning in hospitals; reception services at corporate headquarters; managing remote camps; grounds and facilities services at schools and universities; insurance brokerage services; and others. It operates in the Restaurants industry (Consumer Cyclical sector), headquartered in United Kingdom. The company employs roughly 590,000 people.
How does it make money?
The business turns $48.5B in annual revenue into profit. Out of every $100 of sales, about $7 is left as operating profit (operating margin of 6.7%), after a 72% gross margin on the products/services it sells. After all costs, taxes and interest, 4.2% of revenue becomes bottom-line net profit.
Is it financially healthy?
Financially it looks stretched: carries moderate debt (1.1× equity), may struggle to cover its short-term bills (0.7× current ratio), and is currently profitable.
CPG.L insider trading
Insider filings are available for US-listed companies only.
Common questions
What is CPG.L's intrinsic value?
TickerWorth's valuation lenses put Compass Group PLC (CPG.L) between $10.45 and $38.01 per share, versus a market price of $32.97. They disagree too widely for us to state a single fair value, so we publish the range.
Is CPG.L overvalued or undervalued?
At $32.97 the price sits inside a range too wide to call either way. We don't call CPG.L overvalued or undervalued from a range this wide. This is an educational estimate, not advice.
What discount rate is used for CPG.L?
A WACC of 7.9% and a terminal growth rate of 2.5%.
Is Compass Group stock undervalued?
TickerWorth's fair-value range for Compass Group PLC (CPG.L) is $10.45 – $38.01 against a market price of $32.97. Too wide to call. We publish a range here, not one number, so we do not call it over- or undervalued. This is a model estimate, not investment advice.
Compass Group (CPG.L) DCF valuation and fair value
Our fair-value range for Compass Group PLC (CPG.L) is $10.45 – $38.01, built on a 7.9% discount rate (WACC) and 2.5% terminal growth. It blends our discounted-cash-flow model with other valuation lenses. Every assumption is listed on this page with its source.
What growth is priced into Compass Group stock?
Today's price implies revenue growth of 7.9% a year for 5 years; our model assumes 7.3% a year on average over the same horizon. This is a reverse DCF: it holds our cash-flow model's other inputs and solves for the revenue growth that makes the model equal today's price of $32.97. A model estimate, not investment advice.
Compass Group (CPG.L) insider trading
We have no recent SEC Form 4 insider filings on file for Compass Group PLC (CPG.L). Form 4 covers US-listed companies only.
Other ways into the coverage
Not investment advice. TickerWorth Score is a model output.
Educational tool. Every output reflects the assumptions shown — not a prediction and not investment advice. TickerWorth is not a licensed investment adviser, and these figures are estimates from public filings and market data that can be wrong.