Half year earnings put Lagardere (ENXTPA:MMB) back in focus
Lagardere (ENXTPA:MMB) is back on investors’ radar after reporting half year 2026 results, with sales of €4,436 million, revenue of €4,466 million, and net income of €31 million on continuing operations.
See our latest analysis for Lagardere.
Despite the half year earnings news, Lagardere’s share price has been relatively subdued, with a 7 day share price return of 2.72%, while the year to date share price return is down 3.10% and the 1 year total shareholder return is down 8.48%.
If this earnings update has you reassessing your portfolio, it can help to widen the search using Simply Wall St’s screener to uncover 107 top founder-led companies
Recent earnings put some weight behind Lagardere’s story, yet the share price has been weak over the past year. Is this latest uptick hinting at better underlying value, or is it just a brief sentiment shift before the valuation test?
Price to earnings on Lagardere: is the discount justified?
On a simple headline measure, Lagardere trades on a P/E of 12.3x, which looks lower than some peers. The question is whether that gap reflects opportunity or underlying pressure on future earnings.
The P/E ratio compares the company’s share price with its earnings per share. For a media and publishing group like Lagardere, investors often use this as a quick way to gauge how much the market is paying for each euro of current earnings.
Lagardere screens as good value on this metric compared to similar companies, with a P/E of 12.3x versus a peer average of 30.8x. It also comes in below the French Media industry average multiple of 14.9x, which points to a meaningful discount. However, against an estimated fair P/E of 11.3x, the current 12.3x reading sits above the level our regression suggests the market could eventually gravitate toward.
Explore the SWS fair ratio for Lagardere
Result: Price-to-earnings of 12.3x (ABOUT RIGHT)
However, Lagardere’s recent share price weakness and declining annual net income growth could signal pressure if earnings momentum or market confidence were to soften further.
Find out about the key risks to this Lagardere narrative.
Another view on Lagardere’s value
The P/E comparison suggests Lagardere trades at a discount to peers, yet the SWS DCF model points in a different direction. At €18.14, the stock is shown as trading very far below an estimated future cash flow value of €112.52. That gap raises a clear question: which signal do you trust more when cash flows carry this much weight?
Look into how the SWS DCF model arrives at its fair value.
Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Lagardere for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 259 high quality undervalued stocks. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity.
Next Steps
Reading this, do Lagardere’s signals feel more promising or more concerning to you? Move quickly to review both sides of the story and weigh the balance of 1 key reward and 4 important warning signs
Looking for more investment ideas beyond Lagardere?
If Lagardere has sharpened your focus, do not stop there. Use the Simply Wall St screener to spot other opportunities that might suit your style before they move.
- Target income-focused ideas by checking out companies that stand out as potential 436 dividend fortresses and see which yields might complement your portfolio.
- Zero in on potential value opportunities by scanning a curated list of 259 high quality undervalued stocks that combine quality fundamentals with appealing prices.
- Prioritise resilience by reviewing 312 resilient stocks with low risk scores that could help you build a portfolio with a focus on lower overall risk.
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.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com