De'Longhi (BIT:DLG) Could Be 6% Undervalued On Confirmed 2026 Guidance

De'Longhi (BIT:DLG) is in focus after confirming full year 2026 earnings guidance with an expected mid single digit revenue growth rate, alongside half year 2026 sales of €1,676.3m and net income of €141.4m.

See our latest analysis for De'Longhi.

The confirmed 2026 guidance comes after a period of strong momentum in De'Longhi's stock, with a 90 day share price return of 22.52% and a 1 year total shareholder return of 48.02%. The 3 year total shareholder return of 91.17% points to a longer track record that investors are still responding to.

If you want to see what else fits this kind of improving story, it could be worth checking a curated list of 106 top founder-led companies

Given De'Longhi's recent share price gains, confirmed 2026 guidance, and higher half-year sales and net income compared with a year ago, how much of this move reflects the business itself rather than shifting sentiment around the stock?

Most Popular Narrative: 6.3% Undervalued

De'Longhi's most followed valuation narrative places fair value at €43.21, slightly above the recent €40.48 close. This frames the current rally in a more measured way.

Ongoing operational focus on innovation, category expansion, and margin accretive professional segment growth (with Professional EBITDA margins above 25%) strengthens net profitability and positions De'Longhi to benefit disproportionately from long-term global trends in premium appliances.

Read the complete narrative.

The fair value story leans heavily on steady revenue gains, firmer margins and a richer earnings multiple. Analysts are effectively pricing in a higher quality, higher profitability De'Longhi than today.

Result: Fair Value of €43.21 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, you still need to weigh risks such as rising cost inflation from tariffs and heavier discounting in key markets, which could put pressure on De'Longhi's margins.

Find out about the key risks to this De'Longhi narrative.

Another View On De'Longhi's Value

The analyst narrative points to De'Longhi trading about 6.3% below a fair value of €43.21, using earnings forecasts and a future P/E. Our DCF model presents a different view. It places fair value nearer €22.97, which implies the current €40.48 price is well above that estimate.

This gap between a P/E-based fair value and the SWS DCF model comes down to what you believe about future cash generation and required returns. It serves as a reminder to assess which set of assumptions appears more realistic before relying on any single figure.

Look into how the SWS DCF model arrives at its fair value.

Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out De'Longhi for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 259 high quality undervalued stocks. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity.

Next Steps

With De'Longhi attracting both optimism and concern, it is worth moving quickly to review the key data points yourself and decide how convincing the story really feels in light of its 2 key rewards and 1 important warning sign

Looking for more investment ideas beyond De'Longhi?

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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