Formula One Group (FWON.K) Shares Sit 74% Above Fair Value Following Las Vegas Update

Formula One Group (FWON.K) is back in focus after Formula 1 outlined updated programming and new VIP offerings for the F1 Business Summit at the 2026 Las Vegas Grand Prix weekend.

Recent trading has been softer, with Formula One Group’s share price down 8.57% over the past 30 days and 5.06% year to date, while the 1-year total shareholder return has slipped 10.89%. This return remains supported by a 38.64% 3-year and 82.08% 5-year total return, indicating that long term holders have still seen meaningful gains even as near term momentum has faded.

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Formula One Group now trades after a clear pullback, with long term returns still well in the green. The question for investors is whether that reset leaves enough potential upside in the current valuation to justify taking on the risks from here.

Most Popular Narrative: 74% Overvalued

Compared with the narrative fair value of $53.37, Formula One Group at a last close of $93.08 is priced well above that estimate, which puts more weight on how durable the current fan and sponsor enthusiasm really is.

And that is the core narrative: at the moment, Formula One is riding high and arguably the most popular it has ever been. But this popularity, the movies, the Netflix shows, are hiding real questions bubbling underneath the surface about what actually is Formula One, and the answers to that question can have a real impact on what Formula One looks like in the future, for better or worse.

See why 4 investors see Formula One Group as 74% overvalued.

Result: Fair Value of $53.37 (OVERVALUED)

Still, the narrative could shift quickly if driver dissatisfaction escalates into exits, or if safety concerns grow into real questions over Formula One Group’s flagship product.

Find out about the key risks to this Formula One Group narrative.

Another View: What Formula One Group’s Price Is Baking In

The narrative fair value pins Formula One Group at $53.37, well below the recent $93.08 share price. The market is currently valuing the stock on a much richer P/E of 105.1x, compared with 20.8x for the US Entertainment industry, 37.9x for peers, and a fair ratio estimate of 24.1x that our models suggest the market could eventually gravitate toward.

That kind of gap means investors are paying a heavy premium for the F1 franchise, with limited room for disappointment if brand strength, earnings growth or fan enthusiasm cool from here. The open question is whether you are comfortable underwriting that sort of valuation risk for this story.

See what the numbers say about this price — find out in our valuation breakdown.

Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Formula One Group 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 32 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

Mixed signals across Formula One Group's price and valuation can leave sentiment feeling split, so move quickly, work through the numbers yourself, and weigh the 3 key rewards and 2 important warning signs.

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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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