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Rotork plc (ROR) Fair Value & Analysis

Industrials · GB · Market cap 4.0B GBX

RP Rotork plc ROR · LSE
Price£4.84
Fair Value£2.75
Upside-43.2%
Quality82/100
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Healthy Growth
Solidly profitable · 14.9% net margin
Low debt · generates free cash flow
1.71% dividend yield
Mixed vs. peers (7/15)
Wide moat 74/100
Evidence: High Range £1.77 – £3.72 Share as image

Fair value as of: Aug 13, 2026

From 26 valuation models · updated yesterday

Fair value updated Aug 13, 2026, revised from £2.90 to £2.75 (−5.2%) since Jul 19, 2026. Share price +67.8% over the past month.

A strong business, but screening 43% overvalued on our models.

What matters now

  • A high-quality business (quality 82/100), yet the market already pays well above fair value. Quality at a full price, with little margin of safety.
  • The price sits above even our optimistic bull case (£3.72). The favourable scenario is already priced in.
  • A fairly wide model range (£1.77 to £3.72) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

£4.88 £2.10 Fair Value £2.75 May 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range £2.10 – £4.88 · fair‑value band £1.77 – £3.72 · the £4.84 price screens above the £2.75 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Rotork plc (ROR) currently trades at £4.84, while our model-based Fair Value estimate is £2.75, implying the stock looks roughly 43.2% overvalued today. The Quality Score stands at 82/100 (high quality), in the Industrials sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Rotork plc generated revenue of £777M at a net margin of 14.9%. Revenue grew 4.3% year over year. It earns a return on equity of 19.8%. The balance sheet holds a net cash position of £65.3M. Fundamentals as of Aug 13, 2026

Our scenario range runs from £1.77 (bear case) to £3.72 (bull case); at £4.84, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. For context, the median of 10 Industrials peers we cover trades at -46% fair-value upside, at -43%, ROR screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Growth DCF £1.71 £2.49 £3.60 80
Residual Income £0.8700 £1.09 £2.94 76
Rev-Margin DCF £1.42 £2.17 £3.07 74
All 26 models by family
DCF Models
FCF DCF £1.69 £2.61 £3.99 38
Owner Earnings £1.85 £2.85 £4.36 31
5Y Revenue Exit £1.42 £2.17 £3.14 39
5Y EBITDA Exit £2.10 £3.47 £5.11 41
5Y P/E Exit £1.96 £3.21 £4.55 38
10Y Revenue Exit £1.47 £2.18 £3.15 36
10Y EBITDA Exit £1.93 £3.07 £4.65 37
10Y P/E Exit £1.85 £2.89 £4.22 35
Earnings-Based
Graham-Dodd £0.9600 £3.33 £4.48 54
Lynch FV £0.7700 £1.10 £1.43 50
PEG = 1.0 £0.7700 £1.10 £1.43 46
EPV £1.72 £1.97 £2.19 59
Dividend Discount
Gordon GGM £0.7200 £1.43 £2.17 70
DDM Multi-Stage £0.7200 £1.23 £1.51 61
Multiples
P/E Multiple £2.23 £2.98 £3.72 63
P/S Multiple £1.43 £1.91 £2.39 58
P/B Multiple £1.81 £2.41 £3.01 55
EV/EBIT £3.00 £3.97 £4.94 53
EV/EBITDA £2.58 £3.40 £4.23 54
EV/Revenue £1.31 £1.83 £2.34 43
Asset-Based
NCAV (Graham) £0.3600 £0.4800 £0.7100 50
Growth DCF
Growth DCF £1.71 £2.49 £3.60 80
Rev-Margin DCF £1.42 £2.17 £3.07 74
Economic Profit
Residual Income £0.8700 £1.09 £2.94 76
ROIC Compounder £1.84 £2.26 £2.74 72
Growth Earnings
Growth-Adj P/E £1.92 £2.74 £3.56 68

Widest divergence: DCF Models (£2.85) versus Asset-Based (£0.4800). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) 777M GBX
Revenue growth (YoY) +4.3%
Net margin 14.9%
Return on equity 19.8%
Free cash flow 116M GBX FY2025
P/E ratio 34.6
More key figures
Operating margin 26.1%
EPS (TTM) £0.1400
Dividend yield 1.7%
EPS growth (YoY) +33.1%
Net cash 65.3M GBX FY2025

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 82/100

Of which business quality 78 · Market factors (momentum, volatility) 61

Profitability 75
Margins and returns on capital today
Quality Growth 56
Are margins and returns improving?
Cashflow 66
Earnings quality: real cash, not paper profit
Fin. Strength 89
Balance sheet, leverage, solvency risk
Investment 94
Disciplined investing over empire-building
Low Volatility 35
Calm price path (market factor)
Momentum 62
Price trend over the last 3–12 months (market factor)
52W Momentum 90
Distance to the 52-week high (market factor)
Net Issuance 96
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Rotork plc manufactures industrial flow control and instrumentation solutions for the oil and gas, water and wastewater, power, chemical process, and industrial markets. It operates through three segments: Oils & Gas; Water & Power; and Chemical, Process & Industrial segments.

Full company description

Rotork plc manufactures industrial flow control and instrumentation solutions for the oil and gas, water and wastewater, power, chemical process, and industrial markets. It operates through three segments: Oils & Gas; Water & Power; and Chemical, Process & Industrial segments. The company provides electric industrial, electric intelligent, electro-hydraulic, heavy and light duty fluid, and precision modulating actuators; and flow pressure control and filtration, gearbox accessories, master station, networks and protocols, multi-turn gearboxes, valve positioners and controllers, part-turn gearboxes, HVAC actuators and sensors, instrumentation valves, electrical instrumentation, and limit switches and position transmitters. It also provides integrated ethernet, packaged solutions, carbon capture and storage, hydrogen industrial gases, desalination, and methane emissions reduction solutions. The company offers its products under the Bifold, Centork, Fairchild, Hanbay, Mastergear, Midland, M&M International, Remote Control, RotoHammer, Schischek, Soldo Controls, and YTC brand names. It operates in the United Kingdom, the Asia Pacific, the United States, Europe, the Middle East, Africa, and internationally. Rotork plc was founded in 1956 and is headquartered in Bath, the United Kingdom.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Rotork plc reported revenue of £777M in FY2025 versus £569M in FY2021, a compound +8.1%/yr. Reported net income was £115M in FY2025, compounding +9.5%/yr from FY2021.

Growth Quality 79/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
£777M
Latest YoY
+3.0%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+6.6%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+5.2%
Avg. growth/yr (40Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+8.4%
Revenue +8.1%/yr
FY21 £569M
FY22 £642M
FY23 £719M
FY24 £754M
FY25 £777M
Net income +9.5%/yr
FY21 £80.2M
FY22 £93.2M
FY23 £113M
FY24 £104M
FY25 £115M
Character of growth · EPS growth decomposed (2014-2025) +3.7 % p.a.
Revenue per share +3.2 pp

of which total revenue +3.0 pp · buybacks/dilution +0.2 pp

EBIT margin +0.7 pp
Tax rate +0.2 pp
Residual (interest, one-offs) −0.4 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

ROR screens 43% overvalued. Compare with GE Vernova Inc →

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Cite: Fair Value Calculator (2026). "Rotork plc Fair Value". https://www.fairvalue-calculator.com/stock/ROR

Peer Group

Specialty Industrial Machinery · 807 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 82 · Top 25%
Fair Value upside −44% · Below median
Return on equity (TTM) 20% · Top 25%
Return on assets 14% · Top 25%
Net margin (TTM) 15% · Top 25%
Operating margin (TTM) 26% · Top 25%
Revenue growth 4% · Below median
Dividend yield (TTM) 1.7% · Above median
Debt / equity 0.04× · Lower than median

Valuation Multiples vs Specialty Industrial Machinery median · lower = cheaper

P/E (TTM) 34.6× · Pricier than median
P/B 9.17× · Pricier than 75% of peers
P/S (TTM) 6.86× · Pricier than 75% of peers
P/FCF 45.9× · Pricier than 75% of peers
EV/EBITDA 26.6× · Pricier than 75% of peers
PEG 2.84× · Pricier than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 0
FUTURE 22 · sector 23
PAST 79 · sector 28
HEALTH 98 · sector 96
DIVIDEND 34 · sector 24

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Specialty Industrial Machinery stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

Stock Price Fair Value vs Fair Value
GE Vernova Inc 1GEV €899.80 €186.93 -79%
1SIE 1SIE €281.75 €91.93 -67%
SMNS SMNS C$31.76 C$22.75 -28%
Atlas Copco AB ATCOA kr 210.00 kr 112.59 -46%
Sandvik AB SAND kr 358.60 kr 193.01 -46%
Zhejiang Sanhua Intelligent Controls Co 002050 ¥39.17 ¥22.68 -42%
NARI Technology Co 600406 ¥24.06 ¥18.71 -22%
ABB India Limited ABB ₹7,700 ₹1,322 -83%
Cummins India Limited CUMMINSIND ₹5,315 ₹1,355 -75%
Bharat Heavy Electricals Limited BHEL ₹420.00 ₹96.51 -77%

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Frequently asked questions

Is Rotork plc (ROR) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of £2.75 versus a price of £4.84, about −43% (overvalued).
What is the fair value of ROR?
Our model-based fair value for Rotork plc is £2.75 (as of Aug 13, 2026), built from audited fundamentals. The current price is £4.84.
What is the quality score of ROR?
Rotork plc has a Quality Score of 82/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Rotork plc (ROR)?
Rotork plc reported trailing-twelve-month revenue of about £777M (latest available figure, as of Aug 13, 2026).
What is the net profit margin of ROR?
The net profit margin of Rotork plc is about 14.9%, meaning it keeps roughly 14.9% of revenue as net income. Based on the latest reported figures.
Does Rotork plc pay a dividend?
Rotork plc currently shows a dividend yield of about 2.72% relative to its recent price (as of Aug 13, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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