Companhia de Saneamento Básico do Estado de São Paulo - SABESP (SBS) Price Target Analysis
Updated Jul 2, 2026
Analyst Rating: Hold
Based on 7 analysts309.5% Below Target
SBS trades 309.5% below Wall Street's consensus target of $23.79.
Current Price$5.81
Average Target$23.79
Low$23.79
Median$23.79
High$23.79
Analyst Target Range
Forward P/E2.7x
(Value)
PEG Ratio0.05
(Undervalued)
Implied Growth-9.7%
(Declining)
Analyst Spread0.0%
(High Agreement)
Price Forecast (1 Year)
Last 12 months price action with 12-month analyst target path
Consensus Scenario Assumptions
The base valuation assumes SBS achieves its forward estimates and maintains a stable P/E multiple of 2.7x. This scenario reflects the blended consensus of 7 Wall Street analysts, balancing both positive catalysts and macroeconomic headwinds over the next 12 months.
SBS Price Target Analysis
Updated July 7, 2026As of July 7, 2026, Companhia de Saneamento Básico do Estado de São Paulo - SABESP (SBS) has a Wall Street consensus price target of $23.79, based on estimates from 7 covering analysts. With the stock currently trading at $5.81, this represents a potential upside of +309.5%. The company has a market capitalization of $19.86B.
Analyst price targets range from a low of $23.79 to a high of $23.79, representing a 0% spread in expectations. The median target of $23.79 aligns closely with the consensus average. The tight target dispersion indicates high conviction among analysts.
The current analyst consensus rating is Hold, with 2 analysts rating the stock as a Buy or Strong Buy,4 rating it Hold, and 1 rating it Sell or Strong Sell. The bearish sentiment suggests caution about the stock at current levels.
From a valuation perspective, SBS trades at a trailing P/E of 12.4x and forward P/E of 2.7x. The forward PEG ratio of 0.05 suggests the stock may be undervalued relative to its growth. Analysts expect EPS to grow -9.7% over the next year.
Our proprietary valuation model, which blends historical multiples with forward estimates, suggests a base-case price target of $29.11, with bear and bull scenarios of $18.34 and $38.35 respectively. Model confidence stands at 52/100, reflecting moderate uncertainty in projections.
Investment Context: Price targets represent analyst expectations for the next 12 months and should be considered alongside your own research. Targets are based on analysts' assumptions about earnings growth, margins, and market conditions which may change. For sector-specific context, view other Utilities stocks.
Analyst Sentiment Comparison
Industry Peer AnalysisAvg Peer Upside
+4.6%
Industry Consensus
Avg Forward P/E
31.7x
(Growth Premium)
Peers with Coverage
7 / 10
Active Analyst Tracking
| Company | Market Cap | Price | Target | Upside Potential | Rating | Fwd P/E | Analysts |
|---|---|---|---|---|---|---|---|
 AWKAmerican Water Works Company, Inc. | $26.0B | $133.09 | $135.00 | +1.4% | Buy | 21.9x | 30 |
 CWTCalifornia Water Service Group | $3.0B | $49.47 | $54.00 | +9.2% | Buy | 18.9x | 10 |
 YORWThe York Water Company | $444M | $30.79 | — | — | Hold | 19.2x | 4 |
 MSEXMiddlesex Water Company | $1.1B | $56.63 | $55.00 | -2.9% | Buy | 22.5x | 4 |
 ARTNAArtesian Resources Corporation | $353M | $34.17 | — | — | Buy | 17.1x | 4 |
 GWRSGlobal Water Resources, Inc. | $202M | $7.03 | $12.50 | +77.8% | Buy | 117.2x | 4 |
 AWRAmerican States Water Company | $3.3B | $83.14 | $89.50 | +7.6% | Hold | 22.7x | 10 |
 UTMDUtah Medical Products, Inc. | $229M | $71.81 | — | — | — | 11.4x | — |
 XYLXylem Inc. | $28.4B | $119.42 | $150.13 | +25.7% | Hold | 21.6x | 40 |
 NGLNGL Energy Partners LP | $1.9B | $15.00 | $2.00 | -86.7% | Hold | 44.1x | 17 |
SBS — Frequently Asked Questions
Quick answers to the most common questions about buying SBS stock.
What is the SBS stock price target for 2026?
The consensus Wall Street price target for SBS is $23.79, representing 309.5% upside from the current price of $5.81. With 7 analysts covering the stock, this strong upside suggests significant value not yet reflected in today's share price.
Is SBS a buy, sell, or hold?
SBS has a consensus rating of "Hold" based on 7 Wall Street analysts. The rating breakdown is mixed, with 4 Hold ratings making up the largest segment. The consensus 12-month price target of $23.79 implies 309.5% upside from current levels.
Is SBS stock overvalued or undervalued?
With a forward P/E of 2.6583x, SBS trades at a relatively low valuation. The consensus target of $23.79 implies 309.5% appreciation, suggesting meaningful undervaluation.
How high can SBS stock go?
The most bullish Wall Street analyst has a price target of $23.7946 for SBS, while the most conservative target is $23.7946. The consensus of $23.79 represents the median expectation. Our quantitative valuation model projects a bull case target of $38 based on optimistic growth and margin assumptions. These targets typically reflect 12-month expectations.
How many analysts cover SBS stock?
SBS is moderately covered, with 7 analysts providing price targets and ratings. Of these, 0 have Strong Buy ratings, 2 have Buy ratings, 4 recommend Hold, and 1 have Sell or Strong Sell ratings. Higher analyst coverage generally indicates greater institutional interest and more reliable consensus estimates.
What is the SBS stock forecast?
The 12-month SBS stock forecast based on 7 Wall Street analysts shows a consensus price target of $23.79, with estimates ranging from $23.7946 (bear case) to $23.7946 (bull case). The median consensus rating is "Hold". Our proprietary valuation model produces a base case fair value of $29, with bear/bull scenarios of $18/$38.
What is SBS's fair value based on fundamentals?
Our quantitative valuation model calculates SBS's fair value at $29 (base case), with a bear case of $18 and bull case of $38. The model uses discounted cash flow analysis, historical growth rates, and margin mean-reversion to project FY+2 earnings, then applies an appropriate P/E multiple. The model confidence score is 52/100.
What is SBS's forward P/E ratio?
SBS trades at a forward P/E ratio of 2.7x based on next-twelve-months earnings estimates compared to a trailing P/E of 12.4x. The lower forward P/E indicates analysts expect earnings growth. A forward P/E is useful for comparing valuations when earnings are expected to change significantly.
Should I buy SBS stock?
Wall Street analysts are very optimistic on SBS, with a "Hold" consensus rating and $23.79 price target (309.5% upside). 2 of 7 analysts rate it Buy or Strong Buy. This information is for educational purposes only. Always conduct your own research, consider your financial situation, and consult a financial advisor before making investment decisions.
Why do SBS price targets vary so much?
SBS analyst price targets range from $23.7946 to $23.7946, a 0% tight range reflecting strong analyst consensus. Differences stem from varying assumptions about revenue growth, profit margins, competitive dynamics, and valuation multiples. The $23.79 consensus represents the middle ground. Our model's $18-$38 range provides an independent fundamental perspective.
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