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Wondering if Regis Resources at A$6.85 still offers value after a strong run, or if the easy gains are behind it? This article focuses on what the current price might imply about the stock's valuation. Regis Resources has had a mixed share price experience recently, with a 3% decline over the last week, a 7.1% decline over the last month, and a 10.2% decline year to date, set against a 45.3% return over the last year and a very large 3 year gain. Recent news coverage has largely centred on how ASX gold producers are reacting to moves in the gold price and shifting investor appetite for resources stocks. Within that context, Regis Resources has often been mentioned alongside peers as investors reassess risk and potential returns in the materials sector. Against this backdrop, Regis Resources currently holds a value score of 6 out of 6. The next sections will walk through what different valuation methods suggest about the stock, before finishing with a broader way to think about valuation beyond the usual models.

Find out why Regis Resources's 45.3% return over the last year is lagging behind its peers.

Approach 1: Regis Resources Discounted Cash Flow (DCF) Analysis

A Discounted Cash Flow, or DCF, model takes projected future cash flows and discounts them back to today, to estimate what the entire business might be worth right now in A$.

For Regis Resources, the model used is a 2 Stage Free Cash Flow to Equity approach. The latest twelve month free cash flow is A$688.75m. Analysts provide forecasts for several years ahead, and beyond that Simply Wall St extrapolates the trend to build a ten year path of cash flows. Within that set of projections, one reference point is A$1,189.46m of free cash flow in 2035, all expressed in A$ and discounted back to today using the model assumptions.

Adding up these discounted cash flows produces an estimated intrinsic value of A$24.87 per share, compared with the current share price of A$6.85. On this DCF view, the stock screens as about 72.5% undervalued.

Result: UNDERVALUED

Our Discounted Cash Flow (DCF) analysis suggests Regis Resources is undervalued by 72.5%. Track this in your watchlist or portfolio, or discover 10 more high quality undervalued stocks.RRL Discounted Cash Flow as at May 2026

Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Regis Resources.

Approach 2: Regis Resources Price vs Earnings (P/E)

For a profitable company, the P/E ratio is a straightforward way to see how much investors are paying for each dollar of earnings. A higher or lower P/E usually reflects what the market expects for future growth and how much risk investors see in those earnings.

Story Continues

Regis Resources currently trades on a P/E of 10.62x. That sits below the Metals and Mining industry average of 12.81x and well below the selected peer average of 26.16x. On those simple comparisons, the stock looks inexpensive relative to both its industry and peers.

Simply Wall St also calculates a “Fair Ratio” of 18.85x for Regis Resources. This is a proprietary estimate of what the P/E might be given factors such as earnings growth, profit margins, industry, market capitalization and company specific risks. Because it explicitly folds these elements into one number, the Fair Ratio can be more informative than a basic comparison with industry or peer averages.

Comparing the Fair Ratio of 18.85x with the actual P/E of 10.62x suggests the stock trades below that modelled fair level, which points to undervaluation on this metric.

Result: UNDERVALUEDASX:RRL P/E Ratio as at May 2026

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Upgrade Your Decision Making: Choose your Regis Resources Narrative

Earlier it was mentioned that there is an even better way to understand valuation, so Narratives are introduced as a simple tool on Simply Wall St's Community page that lets you set a story for Regis Resources, link that story to your own forecasts for revenue, earnings and margins, and then see a Fair Value that you can compare with the current price to help decide whether to buy, hold or sell. The numbers update automatically as new news or earnings arrive. For example, one Regis Resources Narrative might lean toward the lower A$7.00 fair value with more cautious assumptions about future margins and project risks, while another might lean toward the higher A$11.00 fair value with a stronger view on long term earnings potential and cash generation. This gives you a clear, side by side view of how different perspectives translate into different valuations.

Do you think there's more to the story for Regis Resources? Head over to our Community to see what others are saying!ASX:RRL 1-Year Stock Price Chart

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.

Companies discussed in this article include RRL.AX.

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