Rankings Autos & parts Pirelli
Pirelli
80
15070100
A view of the same findings, not a new score. How it works
A strong score: the model found few serious problems, but analysts see limited upside from here.
Biggest deductions
- ROIC−4
- Multiples vs own history−4
- Shareholder conflict and US rules−4
Strengths
- Confirmed guidance and rising earnings+2
- Reduced debt+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 3 Nov 2026. Analyst targets tend to be optimistic; read upside as a hint, not a forecast.
- Price
- 6.63 EUR
- Median analyst target
- 7.30 EUR
- Upside to median
- +10.0%
- Analysts
- 15
- Target range
- 6.50 – 7.80 EUR
- 52-week change
- +9%
- P/E (trailing)
- 13.2
- Forward P/E
- 12.2
- PEG
- n/a
Findings
Every deduction and every plus, with its source. Open a step to read them.
Business
Is the company getting stronger, not just bigger? · 3 findings−9 of −30
- −4ROICROIC 7.2% (TTM) is below the WACC of 8.0% and falling from 8.6% in 2024; ROE only 9.1%. Goodwill and brands from the ChemChina takeover weigh on the capital base (P/TBV 5.5).
- −3Quality of growthRevenue has stood still at about €6.9–7.1bn since 2022 and is guided to €6.75–6.95bn in 2026 (a decline); EPS is €0.50 vs €0.48 in 2023. H1 2026 revenue was unchanged (organic +2.5%).
- −2Cash flowFCF fell 32% to €717m (TTM) and FCF after leases to €578m (€824m in 2025), as investments rose to €473m and working capital drained €161m.
Price
Today's multiples against the company's own history and its peers. · 2 findings−6 of −35
- −4Multiples vs own historyForward P/E 11.9 vs 7.4–11.7 in 2021–2025 and P/FCF 10.0 vs 4.8–9.2 – both at the top of the range – while earnings stand still; EV/EBITDA 6.4 is at the bottom (6.4–10.4).
- −2PeersForward P/E 11.9 and EV/EBITDA 6.4 vs Michelin (11.3 and 5.8) – slightly more expensive than the largest competitor, which has larger buybacks.
Cracks
Cash flow, customers, debt, insiders, guidance and what sits behind the headline numbers. · 3 findings−8 of −35
- −4Shareholder conflict and US rulesChinese Sinochem still owns 20.1% after selling 14% in July; Italy has limited Sinochem's board seats via 'golden power', and Sinochem's three board members voted against the $1.2bn investment in Georgia on 23/9. Access to the US market for Cyber Tyre depends on keeping Chinese control out.
- −2Growth marketsRevenue in South America has fallen from €902m (2022) to €672m (TTM) with hyperinflation in Argentina, and the Russia and MEAI region accounts for €457m (about 7% of revenue).
- −2Large investment programmeThe expansion in Rome, Georgia ($1.2bn, 2027–2033) is to increase capacity 15 times to 6m tyres; it ties up capital for many years in a business with ROIC below the cost of capital.
Plus
Only documented strengths. · 2 findings+3 of +15
- +2Confirmed guidance and rising earningsNet income rose 13.3% to €299m in H1 2026, adjusted EBIT margin held at 16%, and the 2026 targets were confirmed.
- +1Reduced debtGross debt has been reduced from EUR 5.3bn (2021) to 3.1bn, and net debt/EBITDA is expected to fall to about 0.75x by the end of 2026 (3.3x in 2021).
Caveats
What the score does not capture, or where the data is weak.
Cyclical = yes (tyres/car parts, consistent with Michelin, Renault and Stellantis), even though about 82% of sales are High Value tyres, mainly for the replacement market. Adjusted EBIT margin 16% (company metric) vs reported operating margin 13.1% TTM; analysts' EPS is adjusted. Stockanalysis shows a share count increase of 4.6% over a year, but there is no share issuance in the cash flow – probably conversion of a convertible bond; no points given. The share price (EUR 6.59) is close to the EUR 6.50 that Lumina Crown (Michal Strnad/CSG) paid for 14% from Sinochem in July. Price targets were last updated 18/8. Insider trading and Russia exposure not investigated in detail.
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