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⚠️ Not investment advice. Past performance does not guarantee future results.
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Taylor Wimpey TW.L

United KingdomConsumer Cyclical · Residential ConstructionLondon Stock Exchange · GBP
5.7AI score
Rank 1,283 of 2,130
better than 39% of companies
0.77GBP
▼ 23.0% in one year
TW.L MSCI World +22.1%
Average analyst target
0.88 GBP (+13.7%)
21 analysts
52-wk low 0.00High 1.17
📈 Chart on TradingView ↗(affiliate link)Analysis of 08/10/2026

What does it do?

Taylor Wimpey is one of the UK's largest homebuilders, dedicated to the construction and sale of residential homes across the country.

Listed on London Stock Exchange · Symbol TW.L · LON: TW · Currency GBP

Key points

from its scores
  • ✓Attractive valuation8.7
  • ✕Poor share-price trend3.1
  • ✕Little competitive advantage4.1
  • ✕Weak growth4.7

AI analysis

bottom line, main risk, context and news
Bottom line

The valuation is attractive and the balance sheet is solid, but low growth and dividend coverage limit the upside potential.

Taylor Wimpey has solid financial health with net cash and high liquidity, and an attractive valuation (P/E 11.01, FCF yield 10.41%), but its growth is low (revenue +1.70%) and quality is moderate (ROE 5.99%). The dividend, although very profitable (10.38%), is not fully covered by earnings (payout 108.86%).

⚠ Main risk

The main risk is the sustainability of the dividend, as the payout exceeds 100% of earnings, which could force a cut if growth does not recover.

Context and risks

Taylor Wimpey's business, focused on the UK, is exposed to a moderate regulatory and governance environment. The homebuilding activity depends on the evolution of demand and local housing policies, with no material exposure to current global macro factors.

Is Taylor Wimpey stock cheap or expensive?

at the analysis date
Cheaper than its sector

On P/E and EV / EBITDA, it trades 39% below the Consumer Cyclical median on average.

MultipleCompanySectorDifference
P/E11.017.8−38%
EV / EBITDA6.711.2−40%
Price / book0.72.9−77%
Price / sales0.71.3−45%

Sector: median of the 228 Consumer Cyclical companies analysed. In bold, the multiples used for the comparison.

Valuation score: 8.7 out of 10 (median for Consumer Cyclical: 6.6).

Average analyst target: 0.88 GBP, +13.7% versus the price.

A discount may reflect more risk or slower growth than its sector: Financial health 6.9 (sector 5.7), Growth 4.7 (sector 5.9).

Indicative fair value · GBP
Graham0.60▼ −23% vs price
Cash flow (DCF)1.05▲ +36% vs price
Dividends1.00▲ +30% vs price
Price0.77at the analysis date

Classic formulas with standard assumptions (0.0% 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.

🛒 Where to buy TW.LCheapest · UK (LSE) · sample 200.00 € orderCheapest · UK (LSE) · sample 200.00 € orderAvailable in your country · UK (LSE) · sample 200.00 € order
By the cost of that order: commission and FX, taxes excluded (public fee schedules). Brokers marked «affiliate» may pay Meridian a commission at no cost to you. This is not investment advice. · Compare all 22 brokers by real cost →

Score by category

0 to 10 · hover overtap each one to see what it measures
Financial healthiFair6.9Consumer Cyclical median: 5.7
Quality / MoatiWeak4.1Consumer Cyclical median: 5.7
ValuationiExcellent8.7Consumer Cyclical median: 6.6
GrowthiWeak4.7Consumer Cyclical median: 5.9
DividendiFair5.7Consumer Cyclical median: 4.5
MomentumiPoor3.1Consumer Cyclical median: 5.5
Risk & ContextiFair5.0Consumer Cyclical median: 5.5
Consumer Cyclical median7 or more 5 to 7 under 5

Key metrics

at the analysis date · compared with the Consumer Cyclical median
P/Ei
11.0
Consumer Cyclical: 17.8below
EV / EBITDAi
6.7
Consumer Cyclical: 11.2below
ROEi
6.0%
Consumer Cyclical: 16.0%below
Operating margini
7.4%
Consumer Cyclical: 10.5%below
Net debt / EBITDAi
−0.33
Consumer Cyclical: 1.91net cash
Revenue growthi
+1.7%
Consumer Cyclical: +5.3%below

Valuation

P/E
11.0
Forward P/E
14.0
EV / EBITDA
6.7
Price / book
0.7
Price / sales
0.7
PEG
0.62
Market cap
2.7B GBP
Enterprise value
2.6B GBP

Profitability

ROE
6.0%
ROA
3.9%
ROIC (approx.)
6.9%
Gross margin
16.3%
Operating margin
7.4%
Net margin
6.4%
Free cash flow
276.8M GBP
FCF yield
10.4%
Cash conversion
72%

Solvency

Total debt
126.0M GBP
Net debt
−128.8M GBP
Cash
254.8M GBP
EBITDA
386.9M GBP
Net debt / EBITDA
−0.33
Debt / equity
3.06
Current ratio
4.99
Quick ratio
0.44

Growth

Revenue growth
+1.7%
EPS (TTM)
0.07 GBP
EPS (forward)
0.05 GBP

Dividend

Dividend yield
10.4%
Payout
108.9%

Risk and market

Beta
1.25
Analyst consensus
Hold (21)
Target price
0.88 GBP

Compare it with its sector

All 228 in Consumer Cyclical →
See the full ranking with filters →

Keep browsing the ranking

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Frequently asked questions about Taylor Wimpey

Is Taylor Wimpey stock cheap or expensive?

On P/E and EV / EBITDA, it trades 39% below the Consumer Cyclical median on average. Valuation score: 8.7 out of 10 (median for Consumer Cyclical: 6.6). Average analyst target: 0.88 GBP, +13.7% versus the price. This is not investment advice.

What score does Taylor Wimpey get on MeridIAn Screener?

It scores 5.7 out of 10, rank 1,283 of 2,130 (better than 39% of the companies analysed). Its strongest category is Valuation (8.7) and its weakest, Momentum (3.1). Analysis of 08/10/2026.

What is Taylor Wimpey's P/E ratio?

Its P/E is 11.0: the share price equals 11.0 times earnings per share over the last 12 months. The Consumer Cyclical median is 17.8. Based on the earnings analysts expect, the forward P/E is 14.0.

How much is Taylor Wimpey worth on the stock market?

Its market capitalisation is 2.7B GBP and its enterprise value, debt included, is 2.6B GBP.

How much debt does Taylor Wimpey have?

It has more cash than debt: net cash of 128.8M GBP.

Does Taylor Wimpey pay a dividend?

Yes: its dividend yield is 10.38% and it pays out 109% of its earnings.

How has Taylor Wimpey stock performed over the last year?

It has fallen 23.0% over the last year, excluding dividends. Over the last 52 weeks it has traded between 0.00 and 1.17 GBP. Past performance does not guarantee future results.

What do analysts think of Taylor Wimpey?

21 analysts cover it; their average recommendation is “Hold” and their average target is 0.88 GBP (+13.7% versus the price). It is an estimate, not market data.