As of 2025-07-07, the Fair Value of M Winkworth PLC (WINK.L) is 210.64 GBP. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 206 GBP, the upside of M Winkworth PLC is 2.3%.
With the market price of 206 GBP and our fair value calculation, M Winkworth PLC (WINK.L) is a good investment. Investing in WINK.L stocks now will result in a potential gain of 2.3%.
Peter Lynch's formula is:
The earnings growth rate we use in the formula is the average growth rate of net income/earnings over the last 5 years. If the average growth rate is smaller than 5%, we set it to 5%. If it is larger than 25%, we set it to 25%. If the TTM EPS is negative, Peter Lynch Fair Value's result can be unreliable.
Historical Earnings | ||||||
12-2020 | 12-2021 | 12-2022 | 12-2023 | 12-2024 | 5Y Avg | |
Net income | 1.17 | 2.52 | 1.95 | 1.67 | 1.77 | 2 |
YoY growth | -9.3% | 115.4% | -22.6% | -14.5% | 6.2% | 15% |
Market Cap (mil) | 26 |
P/E | 14.7x |
Forward P/E | 13.2x |
EPS | 14 |
Avg earnings growth rate | 15% |
TTM earnings | 2 |
Peter Lynch is one of the most legendary investors/fund managers of all time. His philosophy for stock investing is very simple and straightforward: he invests in stocks that are undervalued, meaning its P/E is less than or equal to its earnings growth rate. He believes that if a stock is trading at its fair value, the PEG ratio, which was also invented by him, should be 1.
Therefore, his formula to determine a company's fair value is:
Peter Lynch Fair Value = Earnings Growth Rate * EPS * PEG
PEG is set to 1 so we can ignore it in the calculation. Based on the formula, if the earnings growth rate of a company is 15%, Peter Lynch is willing to buy its share up to P/E = 15.