RS Group RS1.L
United KingdomIndustrials · Industrial DistributionLondon Stock Exchange · GBP
7.25 GBP (−4.2%)
16 analysts
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RS Group is a global distributor of industrial and electronic products, connecting suppliers with customers in the maintenance, repair, and operations (MRO) sector.
Listed on London Stock Exchange · Symbol RS1.L · LON: RS1 · Currency GBP
Key points
from its scores- ✓Good share-price trend8.2
- ✓Favourable backdrop7.2
- ✓Attractive dividend7.0
- ✕Weak growth4.9
- !Somewhat demanding valuation5.9
AI analysis
bottom line, main risk, context and newsRS Group is a stable company with a good balance sheet and dividend, but its limited growth and tight margin do not justify an aggressive position.
RS Group shows solid financial health (net debt/EBITDA of 1.23) and an attractive dividend (net yield of 3.04%), although its growth is moderate (revenue +1.10%) and its operating margin (8.00%) is below ideal. Momentum is strong (+34.06% over 12 months), suggesting market confidence in the company's execution.
The main risk is dependence on the industrial cycle and the ability to maintain the operating margin (8.00%) in an environment of rising costs and competition.
Context and risks
RS Group is an industrial distributor based in the United Kingdom, a developed market with stable governance. No specific regulatory, geopolitical, or business model risks are identified that are not already reflected in its base risk profile.
Is RS Group stock cheap or expensive?
at the analysis dateOn P/E and EV / EBITDA, it trades in line with the Industrials median (within 15%).
| Multiple | Company | Sector | Difference |
|---|---|---|---|
| P/E | 22.2 | 25.4 | −12% |
| EV / EBITDA | 14.3 | 14.5 | −1% |
| Price / book | 2.5 | 4.1 | −39% |
| Price / sales | 1.2 | 2.1 | −42% |
Sector: median of the 388 Industrials companies analysed. In bold, the multiples used for the comparison.
Valuation score: 5.9 out of 10 (median for Industrials: 5.0).
Average analyst target: 7.25 GBP, −4.2% versus the price.
Classic formulas with standard assumptions (10.0% growth, 8-9% discount rate). Indicative only: they change a lot with the assumptions and are not a recommendation.
Work out its fair value yourself →How much would you have made investing every month? →
Comparing it with its sector does not say whether it is a good buy: this is not investment advice.
Score by category
0 to 10 · hover overtap each one to see what it measuresKey metrics
at the analysis date · compared with the Industrials medianValuation
- P/E
- 22.2
- Forward P/E
- 16.0
- EV / EBITDA
- 14.3
- Price / book
- 2.5
- Price / sales
- 1.2
- PEG
- 0.02
- Market cap
- 3.5B GBP
- Enterprise value
- 3.8B GBP
Profitability
- ROE
- 11.7%
- ROA
- 5.4%
- ROIC (approx.)
- 12.2%
- Gross margin
- 43.4%
- Operating margin
- 8.0%
- Net margin
- 5.6%
- Free cash flow
- 168.0M GBP
- FCF yield
- 4.9%
- Cash conversion
- 63%
Solvency
- Total debt
- 495.4M GBP
- Net debt
- 328.9M GBP
- Cash
- 166.5M GBP
- EBITDA
- 268.0M GBP
- Net debt / EBITDA
- 1.23
- Debt / equity
- 35.04
- Current ratio
- 1.79
- Quick ratio
- 1.03
Growth
- Revenue growth
- +1.1%
- Earnings growth
- +4.5%
- EPS (TTM)
- 0.34 GBP
- EPS (forward)
- 0.47 GBP
Dividend
- Dividend yield
- 3.0%
- Payout
- 65.5%
Risk and market
- Beta
- 0.87
- Analyst consensus
- Buy (16)
- Target price
- 7.25 GBP
Recent news
All RS1.L news →Compare it with its sector
All 388 in Industrials →Frequently asked questions about RS Group
Is RS Group stock cheap or expensive?
On P/E and EV / EBITDA, it trades in line with the Industrials median (within 15%). Valuation score: 5.9 out of 10 (median for Industrials: 5.0). Average analyst target: 7.25 GBP, −4.2% versus the price. This is not investment advice.
What score does RS Group get on MeridIAn Screener?
It scores 6.5 out of 10, rank 571 of 2,130 (better than 72% of the companies analysed). Its strongest category is Momentum (8.2) and its weakest, Growth (4.9). Analysis of 08/10/2026.
What is RS Group's P/E ratio?
Its P/E is 22.2: the share price equals 22.2 times earnings per share over the last 12 months. The Industrials median is 25.4. Based on the earnings analysts expect, the forward P/E is 16.0.
How much is RS Group worth on the stock market?
Its market capitalisation is 3.5B GBP and its enterprise value, debt included, is 3.8B GBP.
How much debt does RS Group have?
Its net debt (debt minus cash) is 328.9M GBP. That is 1.23 times its EBITDA; the Industrials median is 1.58.
Does RS Group pay a dividend?
Yes: its dividend yield is 3.04% and it pays out 66% of its earnings.
How has RS Group stock performed over the last year?
It has risen 37.9% over the last year, excluding dividends. Over the last 52 weeks it has traded between 0.00 and 7.90 GBP. Past performance does not guarantee future results.
What do analysts think of RS Group?
16 analysts cover it; their average recommendation is “Buy” and their average target is 7.25 GBP (−4.2% versus the price). It is an estimate, not market data.