Arbuthnot Banking Group PLC (GB:ARBB)
LSE:ARBB
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Arbuthnot Banking
(LSE:ARBB)
Select Model
Select Model
Rating:70Outperform
Price Target:
966.00 p
▲(9.46% Upside)
Action:UpgradedDate:03/27/26
The score is driven primarily by improving but mixed financial performance (strong revenue trajectory and improved 2025 leverage, offset by inconsistent earnings and volatile cash flow) and very attractive valuation (low P/E and high dividend yield). Technical signals are neutral-to-weak, with negative MACD and the price still below longer-term moving averages.
Positive Factors
Stronger balance sheet and debt reduction
A meaningful reduction in total debt and steady equity growth materially improve solvency and funding flexibility. Lower leverage reduces interest expense and regulatory strain, increasing capacity to originate loans and absorb credit losses over the medium term.
Negative Factors
Volatile cash generation
Marked swings in operating and free cash flow reduce the firm's ability to fund lending growth, dividends, or capital buffers internally. This variability increases reliance on external funding and heightens refinancing and liquidity risk during adverse cycles.
Read all positive and negative factors
Positive Factors
Negative Factors
Stronger balance sheet and debt reduction
A meaningful reduction in total debt and steady equity growth materially improve solvency and funding flexibility. Lower leverage reduces interest expense and regulatory strain, increasing capacity to originate loans and absorb credit losses over the medium term.
Read all positive factors
Arbuthnot Banking (ARBB) vs. iShares MSCI United Kingdom ETF (EWC)
Market Cap
£141.23M
Dividend Yield5.68%
Average Volume (3M)3.22K
Price to Earnings (P/E)3.3
Beta (1Y)0.16
Revenue Growth1.68%
EPS Growth-46.69%
CountryUK
Employees883
SectorFinancial
Sector Strength70
IndustryBanks - Regional
Share Statistics
EPS (TTM)0.67
Shares Outstanding16,186,344
10 Day Avg. Volume3,561
30 Day Avg. Volume3,219
Financial Highlights & Ratios
PEG Ratio-0.29
Price to Book (P/B)0.52
Price to Sales (P/S)0.47
P/FCF Ratio2.71
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)1
Revenue Forecast (FY)£186.90M
Arbuthnot Banking Business Overview & Revenue Model
Company Description
Arbuthnot Banking Group PLC, together with its subsidiaries, provides private and commercial banking products and services in the United Kingdom. It operates through Banking, Wealth Management, Mortgage Portfolios, Renaissance Asset Finance, Arbut...
How the Company Makes Money
Arbuthnot Banking Group primarily makes money by earning net interest income and fee/commission income from its banking and specialist lending activities.
1) Net interest income (core earnings): The group takes customer deposits (and other fundin...
Arbuthnot Banking Financial Statement Overview
Summary
Income Statement
73
Positive
Balance Sheet
67
Positive
Cash Flow
56
Neutral
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 304.30M | 229.73M | 178.25M | 160.48M | 105.41M |
| Gross Profit | 172.73M | 229.73M | 220.25M | 128.93M | 88.83M |
| EBITDA | 88.50M | 0.00 | 0.00 | 31.93M | 12.60M |
| Net Income | 17.81M | 24.85M | 35.38M | 16.46M | 6.79M |
Balance Sheet | |||||
| Total Assets | 5.00B | 4.73B | 4.34B | 3.61B | 3.36B |
| Cash, Cash Equivalents and Short-Term Investments | 437.55M | 911.89M | -119.82M | 848.52M | 888.14M |
| Total Debt | 98.33M | 285.72M | 284.90M | 281.49M | 298.38M |
| Total Liabilities | 4.72B | 4.46B | 4.09B | 3.40B | 3.16B |
| Stockholders Equity | 276.40M | 266.96M | 252.44M | 211.98M | 200.88M |
Cash Flow | |||||
| Free Cash Flow | 52.91M | 7.59M | -29.02M | 21.80M | -3.54M |
| Operating Cash Flow | 54.01M | 369.16M | -24.18M | 29.04M | 37.49M |
| Investing Cash Flow | -715.09M | -282.87M | -543.47M | -305.71M | -242.96M |
| Financing Cash Flow | 237.26M | -13.37M | 625.08M | 237.06M | 346.54M |
Arbuthnot Banking Technical Analysis
Neutral
882.50
Price Trends
873.45
Negative
879.98
Negative
918.78
Negative
Market Momentum
-1.17
Negative
50.89
Neutral
54.55
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:ARBB, the sentiment is Neutral. The current price of 882.5 is above the 20-day moving average (MA) of 870.75, above the 50-day MA of 873.45, and below the 200-day MA of 918.78, indicating a neutral trend. The MACD of -1.17 indicates Negative momentum. The RSI at 50.89 is Neutral, neither overbought nor oversold. The STOCH value of 54.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:ARBB.
Arbuthnot Banking Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
70 Outperform | £141.23M | 3.30 | 6.10% | 5.68% | 1.68% | -46.69% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
66 Neutral | £1.35B | 0.87 | 11.68% | ― | 24.32% | 122.52% | |
65 Neutral | £1.38B | 5.39 | 12.70% | 4.74% | -4.98% | 3.02% | |
54 Neutral | £248.34M | -24.74 | 4.70% | 2.66% | 9.09% | -9.36% | |
47 Neutral | £821.51M | 11.65 | 5.16% | ― | -29.12% | 964.19% |
* Financial Sector Average
GB:ARBB
Arbuthnot Banking
872.50
77.28
9.72%
GB:BGEO
Bank of Georgia Group Plc
9,700.00
5,215.91
116.32%
GB:MTRO
Metro Bank
122.00
40.90
50.43%
GB:NBS
Nationwide Building Society
12,800.00
-300.00
-2.29%
GB:PAG
Paragon Banking Group PLC
735.00
72.90
11.01%
GB:STB
Secure Trust Bank
1,330.00
823.01
162.33%
Arbuthnot Banking Corporate Events
Business Operations and StrategyRegulatory Filings and Compliance
Arbuthnot Banking Chief Sir Henry Angest Tightens Grip With Major Share Purchase
Positive
Mar 26, 2026
Arbuthnot Banking Group PLC has disclosed that its Chairman and Chief Executive, Sir Henry Angest, has purchased 300,000 ordinary shares at £8.60 each on the London Stock Exchange. Following this transaction, he now holds 9,692,185 ordinary s...
Business Operations and StrategyDividendsFinancial Disclosures
Arbuthnot Banking Group Delivers Resilient 2025 as Deposits and Assets Grow Despite Profit Dip
Neutral
Mar 26, 2026
Arbuthnot Banking Group reported a resilient 2025 performance, with profit before tax down to £24.2m from £35.1m as lower interest rates and high surplus liquidity weighed on income, while operating income slipped to £169.5m and ear...
Business Operations and StrategyFinancial Disclosures
Arbuthnot Banking Expects Full-Year Profits at Top of Market Range
Positive
Feb 19, 2026
Arbuthnot Banking Group PLC reported solid trading momentum in the fourth quarter of 2025, ahead of its forthcoming full-year results for the period ended 31 December 2025. The bank now expects to deliver pre-tax profits at the upper end of curren...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.