RKT.L

Reckitt Benckiser Group plc

Reckitt Benckiser Group plc manufactures and sells health, hygiene, and nutrition products in the United Kingdom and internationally. The company offers germ protection under Dettol name; intimate wellness under Durex and KY brand names; over the counter under the Biofreeze, Gaviscon, Mucinex, Nuro… Reckitt Benckiser Group plc manufactures and sells health, hygiene, and nutrition products in the United Kingdom and internationally. The company offers germ protection under Dettol name; intimate wellness under Durex and KY brand names; over the counter under the Biofreeze, Gaviscon, Mucinex, Nurofen, Delsym, Cepacol, and Strepsils names. It also provides personal care products under Clearasil and Veet brand names; vitamins, minerals, and supplements under MegaRed, Airborne, Digestive-Advantage, Movefree, and neuriva names; stain removal under Vanish brand name; and disinfectant products under the Finish, Harpic, and Lysol brands. In addition, the company offers nutritious complementary foods and milk formulas for infant and young children under the Enfamil and Nutramigen brands. Reckitt Benckiser Group plc was founded in 1819 and is headquartered in Slough, the United Kingdom.
Market price
GBP 55.28
Within modeled range
Base value (DCF (trailing free cash flow)) is 43.3% below the market price
5-year outlook: 4.2% per year · forecast
Data: Price updated 06 Nov 2026 14:48; FY2025, period ended 31 Dec 2025 from EODHD (downloaded 5 min ago).
Verdict

Priced within the modelled range

PriceGBP 55.28
Fair value range16.10–62.09base 31.37
Estimate reliabilityMedium
5-year outlook4.2% / yr≈ GBP 67.94 in 5 yrs

Why: Free cash flow is positive and in line with earnings, and the dividend is small, so a cash-flow DCF fits best.

Details and the full model are below.

DCF (trailing free cash flow)

Market price within modeled range

Showing the DCF (trailing free cash flow) you selected on the company card, using 2.81% growth, 2.4% terminal growth and 9.2% discount. The range varies these assumptions slightly; it is illustrative, not investment advice.

Assumptions: growth 2.81%, discount rate 9.20%, terminal growth 2.40% (sector defaults). See a worked example.

Blended growth assumption: 2.8% (sector default 5.3%, own revenue history 1.8%, analyst revenue consensus 2.1%).

5-year outlook: relative outlook of about 4.2% a year (Medium confidence), anchored to a 7% market return and adjusted for how this company ranks against others. A ranking aid, not a prediction. See the full forecast.

Analyst consensus expects revenue growth of 2.1% a year; the growth assumption used is 2.8%.

Adjust assumptions

Show the recommended model instead

Why this model: Free cash flow is positive and in line with earnings, and the dividend is small, so a cash-flow DCF fits best.

Compare models
  • Recommended: Free-cash-flow DCF — GBP 31.37 (-43.3%)
  • EPS-based Gordon proxy — GBP 73.28 (+32.6%)
    Not used: Treats all earnings as if paid out and ignores the cash kept for reinvestment, so it overstates value for companies that retain most profit.
  • DCF (trailing free cash flow) — GBP 31.37 (-43.3%)
    Not used: Not chosen: Free-cash-flow DCF ranks ahead of it for this company.
  • FCFF (steady state) — GBP 30.65 (-44.6%)
    Not used: Assumes only the long-run terminal growth rate from today, so it ignores the near-term growth expected.
  • EV/EBITDA (12x) — GBP 61.94 (+12.0%)
    Not used: Used only when free cash flow is far below earnings even after averaging three years; a fixed 12x multiple also ignores sector differences.
  • Fade DCF (10-year growth fade) — GBP 31.34 (-43.3%)
    Not used: An alternative growth path (fading over 10 years) shown for comparison; the automatic choice does not use it.
  • EV/Sales (Rule of 40) — GBP 122.05 (+120.8%)
    Not used: Used only for technology and communication companies whose cash-flow value is far below the price.
Illustrative range / share GBP 16.10–62.09
Base scenario / share GBP 31.37
Margin of safety (share of value) Priced for base-to-bull outcomes
Bear GBP 16.10-243.3%
Base GBP 31.37-76.2%
Bull GBP 62.0911.0%

Margin = (value − price) / value, so it is measured against the value and reads lower than the upside to value, which is measured against the price. Positive means the price is below that case.

Track record: see the methodology page for how this model has performed historically, including its limits. Treat it as a screen, not a forecast.

Price history and fair value

No chartable saved daily price history is available for this range. The chart uses stored EODHD prices only and will appear after history is saved.

More detail: quality, peers, price history, dividends and financials

Quality score: 88 / 100

Five equal checks on reported history: profitability, cash generation, revenue growth, balance sheet and margins. It describes business quality, not whether the price is attractive.

Profitability4 of 5 years profitable16 / 20
Cash generationfree cash flow positive in 5 of 5 years20 / 20
Growthrevenue +1.8% a year12 / 20
Balance sheetnet debt 1.7x EBITDA20 / 20
MarginsEBITDA margin 28%20 / 20

Peers in Consumer Staples

Same-sector companies with a valuation, most undervalued first. Compare the margin of safety, yield and quality score side by side.

CompanyPriceMargin of safetyP/EP/BYieldQuality
RKT.L (this company) GBP 55.28 -76.2% 11.4 4.7 3.9% 88
ORK.OL Orkla ASA NOK 102.30 32.1% 14.5 2.3 9.8% 82
KHC Kraft Heinz USD 24.46 27.8% – 0.8 6.5% 36
WN.TO George Weston Limited CAD 109.72 26.2% 39.8 9.1 1.2% 72
CA.PA Carrefour SA EUR 13.49 24.7% 28.9 0.8 8.8% 72
ABF.L Associated British Foods plc GBP 19.60 20.0% 14.9 1.2 3.2% 82
ADM Archer Daniels Midland USD 70.55 16.7% 13.8 1.4 3.0% 64
AXFO.ST Axfood AB SEK 283.20 8.1% 24.9 8.2 3.1% 70
DLTR Dollar Tree USD 135.65 1.9% 16.1 7.6 – 72
Peer median 16.1 1.9

Dividends

Paid in the last 12 months: GBP 0.05 per share · yield 0.08% at the current price.

YearDividends per share
2026 (so far)0.046
20250.021
20240.020
20230.019
20220.018
20210.018
Sector Consumer Staples
Exchange London Stock Exchange
Currency GBP

Annual financial statement

Saved annual report · Fiscal year 2025 · EODHD annual statements · period ended 31 Dec 2025

RevenueGBP 14,205,000,000
EBITDAGBP 3,915,000,000
EBITGBP 3,416,000,000
Net incomeGBP 3,182,000,000
Free cash flowGBP 1,761,000,000
Capital expendituresGBP 536,000,000
DebtGBP 8,430,000,000
CashGBP 1,952,000,000
Working capitalGBP -1,015,000,000
Shares outstanding653,896,796
Reported dividends per shareGBP 2.1456