What is Rolls-Royce Holdings plc (RR.L)'s fair-value range?

EvidInvest does not publish a fair-value range for Rolls-Royce Holdings plc (RR.L). Financials are filed in GBP; our prices are in GBp, so these methods need a conversion we do not yet publish. The filed statements, the filing citations and the growth history are all available at https://evidinvest.com/valuation/RR.L. Not investment advice.

How is Rolls-Royce Holdings plc (RR.L)'s fair value calculated?

Rolls-Royce Holdings plc (RR.L)'s fair value is computed with several independent methods — a discounted cash flow (DCF) model, the Graham number, earnings power value (EPV), and valuation multiples (PE, EV/EBITDA, P/S, P/B) benchmarked against its industry — using EvidInvest's standardized annual and quarterly statements for the company.

What is Rolls-Royce Holdings plc (RR.L)'s PE ratio versus its industry?

EvidInvest shows Rolls-Royce Holdings plc (RR.L)'s current and historical PE ratio alongside its sector and industry averages, so you can see whether the stock trades at a premium or discount to peers. Full breakdown at https://evidinvest.com/valuation/RR.L.

Fair value · Rolls-Royce Holdings plc (RR.L) · updated 2026-09-12 · from annual report FY2025

Rolls-Royce Holdings trades at $1,543.00. We are not reading assumptions out of that price: financials are filed in GBP; our prices are in GBp, so these methods need a conversion we do not yet publish.

Everything below is unaffected: the filed statements, the filing they came from, and RR.L’s growth history are all as reported.

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The filing behind these numbers

Rolls-Royce Holdings plc

Revenue: GBP 21.2B
Diluted EPS: GBP 0.69
Free cash flow: GBP 3.8B; operating cash flow − capital expenditure
Diluted shares: 8.45B; weighted average

annual report FY2025 · fiscal year ended 2025-12-31 · filed 2025-12-31

Trailing-twelve-month EPS also uses the quarterly 6-Ks through Q2 FY2026 (filed 2026-06-30).

Open the annual report list on sec.gov

Valuation tool: build your own RR.L range

Fair Value Summary

Daily Price — RR.L

$1303.00 +16.0% (1Y)

Your range0 of 7 methods

At least two methods need a usable value to draw a range with these inputs.

Range with preset inputs

No preset range for this company yet.

The two ranges are identical because every input sits on a preset.

We don’t tell you what RR.L is worth. Every tab OPENS on what today’s price implies for that method’s key assumption; you decide whether that assumption is reasonable — the growth matrix has RR.L’s filed history and the AI chat will reason it through with you — and the range you build is yours. Our presets are filed history and reference settings, never a recommendation.

Discounted cash flow

N/A

Financials are filed in GBP; our prices are in GBp, so these methods need a conversion we do not yet publish.

Preset inputs — revenue-driven DCF from the latest filing

Implied by today’s price

Financials are filed in GBP; our prices are in GBp, so these methods need a conversion we do not yet publish.

Not solvable from the price — Financials are filed in GBP; our prices are in GBp, so these methods need a conversion we do not yet publish. Showing preset inputs.

This method has no key input to read out of the price. The others below do, and you set them yourself: the growth matrix shows what RR.L has actually filed, and the AI chat will reason it through with you.

Your inputs

Free cash flow grows at your stage-1 rate, then your stage-2 rate, then a terminal rate; everything is discounted at your WACC.

Stage-1 growth60.0%

Yearly free-cash-flow growth for the first stage. Starts below zero so a shrinking-cash-flow case — and the rate today’s price implies — can be set.

-20.0%90.0%

Stage-1 years5 yrs

How long stage-1 growth lasts.

1 yrs10 yrs

Stage-2 growth9.5%

Slower growth after stage 1, before the terminal phase.

-20.0%30.0%

Stage-2 years5 yrs

0 yrs10 yrs

Terminal growth2.5%

Growth forever after the two stages. Above ~3% is rarely justified.

0.0%5.0%

Discount rate (WACC)9.68%

The return you require. Default is the WACC EvidInvest computed for this company. Higher discount rate, lower value.

3.00%15.00%

Net debt ($M)Debt minus cash, from the balance sheet. Subtracted from enterprise value.

Starting FCF ($M)Latest free cash flow from the filing (operating cash flow minus capex).

Shares (M)Diluted shares, from the filing.

Year by year (two-stage model, $M)

PV explicit $190,819M · PV terminal $352,083M · EV $542,902M · equity $544,874M

Year	Stage	FCF	Present value
1	Stage 1	$6,022M	$5,491M
2	Stage 1	$9,636M	$8,010M
3	Stage 1	$15,417M	$11,685M
4	Stage 1	$24,668M	$17,046M
5	Stage 1	$39,468M	$24,866M
6	Stage 2	$43,218M	$24,826M
7	Stage 2	$47,324M	$24,785M
8	Stage 2	$51,819M	$24,744M
9	Stage 2	$56,742M	$24,704M
10	Stage 2	$62,133M	$24,663M

Inputs from the filing

Financials are filed in GBP; our prices are in GBp, so these methods need a conversion we do not yet publish.

Free cash flow: GBP 3.8B; latest full year
EBIT: GBP 3.6B; latest annual
Shares: 8.41B
Total debt: GBP 4.3B
Cash: GBP 6.2B
Net debt: GBP -2.0B; debt − cash

annual report FY2025 · period ended 2025-12-31 · filed 2025-12-31 · sec.gov

Prefer a blank slate with reverse DCF? Open the standalone DCF / reverse DCF for RR.L

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Rolls-Royce Holdings trades at $1,543.00. We are not reading assumptions out of that price: financials are filed in GBP; our prices are in GBp, so these methods need a conversion we do not yet publish.

The filing behind these numbers

Valuation tool: build your own RR.L range

Daily Price — RR.L

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Year by year (two-stage model, $M)

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Valuation tool: build your own RR.L range

Daily Price — RR.L

Your range0 of 7 methods

Range with preset inputs

Your inputs

Year by year (two-stage model, $M)

More on RR.L

Compare with peers

Explore