
0.88 GBP (+13.7%)
21 analysts
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 newsThe 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%).
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 dateOn P/E and EV / EBITDA, it trades 39% below the Consumer Cyclical median on average.
| Multiple | Company | Sector | Difference |
|---|---|---|---|
| P/E | 11.0 | 17.8 | −38% |
| EV / EBITDA | 6.7 | 11.2 | −40% |
| Price / book | 0.7 | 2.9 | −77% |
| Price / sales | 0.7 | 1.3 | −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).
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.
Score by category
0 to 10 · hover overtap each one to see what it measuresKey metrics
at the analysis date · compared with the Consumer Cyclical medianValuation
- 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
Recent news
All TW.L news →Compare it with its sector
All 228 in Consumer Cyclical →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.
