Rankings Grid & electrical equipment Legrand
Legrand
80
15070100
A view of the same findings, not a new score. How it works
In the 70+ zone: a score above 70 with more than 20% upside to the median analyst target.
Biggest deductions
- Multiples vs own history−8
- Cash flow−4
- Absolute price level−3
Strengths
- Raised guidance+3
- Long-term targets raised+2
- Diversified base+1
How the score is built
From 100 to 80, step by step: points off for the business, the price and the cracks, back for documented strengths, then three data adjustments.
Start
Score
Hover or select a step to see what drove it. Steps with findings open them below.
Key numbers
As of 2 Nov 2026. Analyst targets tend to be optimistic; read upside as a hint, not a forecast.
- Price
- 132.85 EUR
- Median analyst target
- 170.00 EUR
- Upside to median
- +28.0%
- Analysts
- 18
- Target range
- 120.00 – 200.00 EUR
- 52-week change
- −11%
- P/E (trailing)
- 26.8
- Forward P/E
- 20.7
- PEG
- 1.46
Findings
Every deduction and every plus, with its source. Open a step to read them.
Business
Is the company getting stronger, not just bigger? · 5 findings−8 of −30
- −1MarginAdjusted operating margin 20.8% in H1 2026 vs 21.0% a year earlier; the full-year target is 20.5–21.0%. Acquisitions dilute the margin (organic margin 20.9%), and the gross margin has fallen from 52.3% (2023) to 50.2% (TTM).
- −2ROIC trendROIC has fallen every year: 13.4% (2022), 13.3% (2023), 12.6% (2024), 12.1% (2025) and 11.0% (TTM). Only slightly above a WACC of 8.3%; acquisitions bring growth but not higher returns.
- −2Quality of growthOf the 17.4% growth (ex currency) in H1, 6.9 percentage points were bought; seven acquisitions with about EUR 450m of annual revenue in H1 and cash acquisitions of EUR 2.2bn (TTM). Organic growth (9.8%) comes almost entirely from North America (+24.2%).
- −2Future segmentGoldman Sachs downgraded the stock because Nvidia's new 800V DC power architecture could make parts of Legrand's data-centre products (in-rack power distribution) less relevant.
- −1Capital allocationThe share count rose 1.7% in a year (2.0% in the latest quarter), and buybacks have shrunk to EUR 67m (TTM) vs 439m in 2023; net debt has almost tripled from EUR 2.0bn (2023) to 5.75bn to fund acquisitions.
Price
Today's multiples against the company's own history and its peers. · 2 findings−11 of −35
- −8Multiples vs own historyAt a price of 145 after the capital markets day: forward P/E about 22.7 vs 17.7–27.4 in 2021–25 (average 21.4); EV/EBITDA about 18.9 vs 12.2–19.4 (average 15.6); P/FCF about 28 vs 15.3–28.2 (average 21.1) – at or above the top of the range on EV and FCF multiples.
- −3Absolute price levelFCF yield about 3.5% vs 3.5–6.5% in 2021–25, dividend yield 1.6% and a P/E of 24 on analysts' 2026 EPS (EUR 6.00).
Cracks
Cash flow, customers, debt, insiders, guidance and what sits behind the headline numbers. · 5 findings−13 of −35
- −4Cash flowH1 FCF only EUR 488m (9.0% of sales), and working capital rose to 14% of sales (normally about 12%). TTM FCF (EUR 1.34bn) is flat even though revenue rose 10%; the FCF margin has fallen from 19.2% (2023) to 13.3%.
- −3Data-centre dependenceData centres are expected to deliver over EUR 3bn in 2026 and over 32% of sales (growth above 30%). A large and growing part of earnings hangs on AI capex at a few hyperscalers.
- −2Customers are shiftingEurope (about 39% of sales) fell 2.4% organically in H1 because of a weak construction market; the rest of the world grew only 2.3%.
- −2DebtNet debt/EBITDA 2.4 (company) / 2.6 (S&P) vs 1.1–2.0 in 2021–25; net debt EUR 5.75bn and the current ratio down from about 2.0 to 1.6.
- −2Insider tradingManagement are clear net sellers: CEO Benoît Coquart sold about EUR 3.0m (May 2025, Feb and March 2026), the CFO and deputy CEO about EUR 2.7m. Board purchases amount to only about EUR 0.4m.
Plus
Only documented strengths. · 5 findings+8 of +15
- +3Raised guidanceOrganic growth guidance for 2026 raised from 4–7% to 8–10% and total growth (ex currency) from 10–15% to 16–19%; data centres now 25–30% organic.
- +2Long-term targets raisedCapital markets day 29/9: 2030 revenue target raised to EUR 16–18bn (from 15), organic growth of 6–8% a year in 2027–30 (from 3–5%) and an operating margin of 21–22% (from about 20%).
- +1Diversified baseSales are spread across North America (45%), Europe (39%) and the rest of the world (17%) and across many customer types and channels; no dominant single customer.
- +1Acquisition historyThe operating margin has been stable at around 19% (GAAP) in 2021–25 despite many acquisitions, and targets are bought at under 11x EBIT.
- +1DividendThe dividend is expected to rise 14.6% to EUR 2.73; dividends and buybacks (about EUR 690m) are clearly below FCF (EUR 1.34bn).
Caveats
What the score does not capture, or where the data is weak.
The price rose about 7% on 29/9 after the capital markets day, so multiples are recalculated at a price of 145; data centres are over 32% of sales; Nvidia's 800V DC architecture may hit parts of the portfolio; peers (Schneider, ABB) have not been compared on multiples
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