Historical Valuation
XP Inc (XP) is now in the Undervalued zone, suggesting that its current forward PE ratio of 8.68 is considered Undervalued compared with the five-year average of 17.08. The fair price of XP Inc (XP) is between 21.03 to 51.96 according to relative valuation methord. Compared to the current price of 17.10 USD , XP Inc is Undervalued By 18.68%.
Relative Value
Fair Zone
21.03-51.96
Current Price：17.10
18.68%
Undervalued
P/E
EV/EBITDA
EV/EBIT
P/S
P/OCF
P/FCF
1Y
3Y
5Y
Trailing
Forward
XP Inc (XP) has a current Price-to-Book (P/B) ratio of 1.95. Compared to its 3-year average P/B ratio of 2.67 , the current P/B ratio is approximately -27.02% higher. Relative to its 5-year average P/B ratio of 4.45, the current P/B ratio is about -56.19% higher. XP Inc (XP) has a Forward Free Cash Flow (FCF) yield of approximately 39.68%. Compared to its 3-year average FCF yield of 14.90%, the current FCF yield is approximately 166.39% lower. Relative to its 5-year average FCF yield of 8.16% , the current FCF yield is about 386.06% lower.
P/B
Median3y
2.67
Median5y
4.45
FCF Yield
Median3y
14.90
Median5y
8.16
Competitors Valuation Multiple
AI Analysis for XP
The average P/S ratio for XP competitors is 5.02, providing a benchmark for relative valuation. XP Inc Corp (XP.O) exhibits a P/S ratio of 2.30, which is -54.25% above the industry average. Given its robust revenue growth of 7.92%, this premium appears unsustainable.
Performance Decomposition
AI Analysis for XP
1Y
3Y
5Y
Market capitalization of XP increased by 0.00% over the past 1 year. The primary factor behind the change was an decrease in Unknown from 0.00 to 0.00.
The secondary factor is the Unknown, contributed 0.00%to the performance.
Overall, the performance of XP in the past 1 year is driven by Unknown.
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Frequently Asked Questions
Is XP currently overvalued or undervalued?
XP Inc (XP) is now in the Undervalued zone, suggesting that its current forward PE ratio of 8.68 is considered Undervalued compared with the five-year average of 17.08. The fair price of XP Inc (XP) is between 21.03 to 51.96 according to relative valuation methord. Compared to the current price of 17.10 USD , XP Inc is Undervalued By 18.68% .
What is XP Inc (XP) fair value?
XP's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of XP Inc (XP) is between 21.03 to 51.96 according to relative valuation methord.
How does XP's valuation metrics compare to the industry average?
The average P/S ratio for XP's competitors is 5.02, providing a benchmark for relative valuation. XP Inc Corp (XP) exhibits a P/S ratio of 2.30, which is -54.25% above the industry average. Given its robust revenue growth of 7.92%, this premium appears unsustainable.
What is the current P/B ratio for XP Inc (XP) as of Jan 10 2026?
As of Jan 10 2026, XP Inc (XP) has a P/B ratio of 1.95. This indicates that the market values XP at 1.95 times its book value.
What is the current FCF Yield for XP Inc (XP) as of Jan 10 2026?
As of Jan 10 2026, XP Inc (XP) has a FCF Yield of 39.68%. This means that for every dollar of XP Inc’s market capitalization, the company generates 39.68 cents in free cash flow.
What is the current Forward P/E ratio for XP Inc (XP) as of Jan 10 2026?
As of Jan 10 2026, XP Inc (XP) has a Forward P/E ratio of 8.68. This means the market is willing to pay $8.68 for every dollar of XP Inc’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for XP Inc (XP) as of Jan 10 2026?
As of Jan 10 2026, XP Inc (XP) has a Forward P/S ratio of 2.30. This means the market is valuing XP at $2.30 for every dollar of expected revenue over the next 12 months.