Wise (WISE.L)
Technology · LSE · UK
Fundamentals
Valuation and ratings
Wise trades at £9.49, which is 60% above the £3.81 our discounted cash flow model puts on the business. On that measure it screens as expensive, which is not the same as saying it will fall.
Our moat model scores it 84 out of 100, which is a wide moat. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 25.7 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About Wise
Wise Group plc provides cross-border and domestic financial services in the United Kingdom, the rest of Europe, the Asia-Pacific, North America, and internationally. It offers money transfers, currency conversions, and account services. The company's products include Wise Account, a solution for individual customers to send, spend, hold, and get paid in one or more currencies; Wise Business, which offers the main features of the Wise Account product along with business-specific functionalities designed to enable businesses to operate internationally, including managing their accounting and accounts payable and receivables; and Wise Platform, which enables banks, financial institutions, and enterprises to integrate into a global payment infrastructure, allowing institutional partners to send and receive payments. Wise Group plc was founded in 2010 and is based in London, the United Kingdom.
WISE.L passes 5 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Common questions
Is Wise (WISE.L) undervalued?
Against our discounted cash flow estimate of £3.81, WISE.L at £9.49 is 60% above fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
What is WISE.L's P/E ratio?
WISE.L trades at 25.7 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
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Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.