City of London Investment (CLIG) AI Stock Analysis

• Market Cap: £188.31M
• Dividend Yield: 8.15%
• Average Volume (3M): 56.95K
• Price to Earnings (P/E): 12.6
• Beta (1Y): 0.73
• Revenue Growth: 1.29%
• EPS Growth: 11.17%
• Country: UK
• Employees: 117
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): 0.16
• Shares Outstanding: 50,679,096
• 10 Day Avg. Volume: 35,880
• 30 Day Avg. Volume: 56,949
• PEG Ratio: 0.10
• Price to Book (P/B): 1.12
• Price to Sales (P/S): 2.33
• P/FCF Ratio: 6.80
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 76 Outperform
• Price Target: 407.00p ▲(9.12% Upside)

City of London Investment's strong financial performance and positive corporate events are the primary drivers of its score. The stock's reasonable valuation and high dividend yield add to its attractiveness. However, technical indicators suggest caution due to bearish trends and weak momentum.

Positive Factors

Revenue Growth

The significant revenue growth indicates robust business expansion, suggesting the company is effectively capturing market opportunities and increasing its market share.

Cash Generation

Strong cash generation capabilities provide the company with the flexibility to invest in growth opportunities, pay dividends, and reduce debt, supporting long-term financial health.

Balance Sheet Health

A low debt-to-equity ratio indicates conservative leverage and financial stability, which enhances the company’s ability to withstand economic downturns and invest in future growth.

Negative Factors

Rising Operational Costs

A decline in EBIT margin suggests rising operational costs, which could pressure profitability if not managed effectively, potentially impacting long-term financial performance.

Debt Monitoring

Although leverage is currently low, any increase in debt levels should be monitored to ensure it does not compromise financial flexibility or increase risk.

EBIT Margin Decline

A decrease in EBIT margin could indicate challenges in maintaining cost efficiency, which may affect profitability and require strategic adjustments to sustain margins.

City of London Investment Business Overview & Revenue Model

Company Description

City of London Investment Group PLC is a publically owned investment manager. The firm provides client focused equity portfolios. It invests in public equity markets across the globe. The firm invests in small cap companies in emerging markets to create its portfolios. It uses combination of macroeconomic, qualitative, and top down company analysis to make its investments. The firm uses in house research to make its investments. It benchmarks the performance of its portfolios with S&P EM Frontier Super Comp., MSCI Emerging Markets Index, HSBC Global Mining Index, and MSCI ACWI ex US Index. City of London Investment Group PLC was founded in 1991 and is based in London, United Kingdom with additional offices in Dubai, United Arab Emirates, Singapore, Coatesville, Pennsylvania, Bellevue, Washington.

How the Company Makes Money

CLIG generates revenue primarily through management fees charged on the assets under management (AUM) of its various investment funds. These fees are typically a percentage of the AUM and can vary based on the fund type and investment strategy. Additionally, the company may earn performance fees based on the investment returns achieved above certain benchmarks. Key revenue streams include fees from institutional investors, such as pension funds, endowments, and family offices, as well as retail investors through mutual funds. CLIG also engages in strategic partnerships with other financial institutions to expand its investment offerings and reach, which can further enhance its revenue potential.

City of London Investment Financial Statement Overview

Summary

City of London Investment demonstrates strong revenue growth and profitability, supported by a stable balance sheet with low leverage. Cash flow generation is robust, providing a solid foundation for future growth. Monitoring operational costs and debt levels will be important to sustain this performance.

Income Statement

City of London Investment demonstrates strong revenue growth with a 27.23% increase in the latest year, indicating robust business expansion. The company maintains healthy margins, with a gross profit margin of 75.59% and a net profit margin of 26.95%, reflecting efficient cost management and profitability. However, there is a slight decline in EBIT margin from the previous year, which could suggest rising operational costs.

Balance Sheet

The company exhibits a solid financial position with a low debt-to-equity ratio of 0.055, indicating conservative leverage and financial stability. Return on equity stands at 12.91%, showcasing effective use of shareholder funds. The equity ratio is strong, suggesting a well-capitalized balance sheet. However, the slight increase in total debt over the year warrants monitoring.

Cash Flow

City of London Investment shows impressive free cash flow growth of 34.02%, highlighting strong cash generation capabilities. The operating cash flow to net income ratio of 2.31 indicates efficient cash conversion. The free cash flow to net income ratio is nearly 1, suggesting that the company is effectively converting its profits into cash. Overall, the cash flow position is robust, supporting future growth and investment.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	57.42M	73.04M	54.87M	57.65M	61.29M	55.12M
Gross Profit	55.22M	55.22M	40.52M	49.60M	53.46M	48.48M
EBITDA	24.78M	32.94M	23.37M	23.49M	28.04M	28.08M
Net Income	15.43M	19.68M	10.74M	24.06M	22.82M	9.52M
Balance Sheet
Total Assets	175.88M	175.88M	178.97M	140.98M	150.01M	141.38M
Cash, Cash Equivalents and Short-Term Investments	35.49M	35.49M	33.74M	22.49M	22.68M	25.51M
Total Debt	8.83M	8.83M	5.73M	2.16M	2.60M	2.74M
Total Liabilities	23.42M	23.42M	25.33M	18.63M	21.24M	21.07M
Stockholders Equity	152.46M	152.46M	121.38M	122.34M	128.77M	120.13M
Cash Flow
Free Cash Flow	19.56M	25.02M	16.66M	18.59M	24.69M	22.93M
Operating Cash Flow	19.67M	25.15M	17.05M	19.07M	24.95M	23.02M
Investing Cash Flow	-103.67K	-132.00K	4.90M	-479.76K	-4.13M	852.72K
Financing Cash Flow	-17.95M	-23.27M	-16.83M	-18.99M	-24.24M	-12.87M

City of London Investment Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 373.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:CLIG, the sentiment is Positive. The current price of 373 is below the 20-day moving average (MA) of 375.40, above the 50-day MA of 371.51, and above the 200-day MA of 355.32, indicating a bullish trend. The MACD of 3.04 indicates Negative momentum. The RSI at 60.37 is Neutral, neither overbought nor oversold. The STOCH value of 67.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:CLIG.

City of London Investment Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CLIG	76 Outperform	£188.31M	12.56	13.07%	8.15%	1.29%	11.17%
BRK	72 Outperform	£253.21M	24.87	7.58%	5.14%	-13.29%	63.87%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
LIO	64 Neutral	£151.07M	12.14	9.72%	21.31%	-15.65%	-12.27%
IPX	62 Neutral	£180.46M	9.35	16.48%	17.93%	-16.53%	-44.15%
PMI	54 Neutral	£90.31M	74.36	1.05%	11.43%	-3.99%	-36.07%

City of London Investment Corporate Events

City of London Investment Group Awards Shares to COO

City of London Investment Group PLC announced that Edward Sevick, the Chief Operating Officer, has been granted 3,468 Restricted Share Awards as part of the company’s Employee Incentive Plan. This award, which includes Deferred Shares and Bonus Shares, reflects the company’s ongoing commitment to aligning managerial interests with shareholder value, potentially impacting the company’s operational dynamics and stakeholder relations.

The most recent analyst rating on (GB:CLIG) stock is a Buy with a £454.00 price target. To see the full list of analyst forecasts on City of London Investment stock, see the GB:CLIG Stock Forecast page.

City of London Investment Group Awards Shares to CFO

City of London Investment Group PLC announced that its Chief Financial Officer, Deepranjan Agrawal, has been awarded 16,514 Restricted Share Awards under the company’s Employee Incentive Plan. This award, which includes both Deferred Shares and Bonus Shares, reflects the company’s commitment to incentivizing its key personnel and aligns with its strategic goals of retaining top talent. The transaction, conducted on the London Stock Exchange, enhances Mr. Agrawal’s stake in the company, representing approximately 0.3% of the issued share capital, which may positively impact stakeholder confidence in the company’s leadership and future performance.

The most recent analyst rating on (GB:CLIG) stock is a Buy with a £454.00 price target. To see the full list of analyst forecasts on City of London Investment stock, see the GB:CLIG Stock Forecast page.

City of London Investment Group Awards Shares to Key Executive

City of London Investment Group PLC announced the awarding of 20,592 Restricted Share Awards to Daniel Lippincott, a person discharging managerial responsibilities. This award, part of the company’s Employee Incentive Plan, includes both Deferred Shares and Bonus Shares, reflecting the company’s strategy to incentivize key personnel and align their interests with those of the shareholders.

The most recent analyst rating on (GB:CLIG) stock is a Buy with a £454.00 price target. To see the full list of analyst forecasts on City of London Investment stock, see the GB:CLIG Stock Forecast page.

City of London Investment Group Awards Shares Under Employee Incentive Plan

City of London Investment Group PLC announced the awarding of Restricted Share Awards to Michael Edmonds and Courtney Edmonds under the company’s Employee Incentive Plan. Michael Edmonds received 18,104 shares, while Courtney Edmonds was awarded 3,496 shares. Additionally, both individuals sold a portion of their shares, impacting their beneficial interests in the company. These transactions reflect the company’s ongoing efforts to align employee incentives with shareholder interests.

The most recent analyst rating on (GB:CLIG) stock is a Buy with a £454.00 price target. To see the full list of analyst forecasts on City of London Investment stock, see the GB:CLIG Stock Forecast page.

City of London Investment Group’s AGM Resolutions Passed Successfully

City of London Investment Group PLC announced the successful passage of all resolutions during its Annual General Meeting held on October 27, 2025. The resolutions included both ordinary and special resolutions, covering topics such as director elections, remuneration policies, and share allotments. The approval of these resolutions reflects strong shareholder support and is indicative of the company’s stable governance and strategic direction. This outcome is expected to reinforce the company’s market position and provide confidence to stakeholders regarding its future operations.

The most recent analyst rating on (GB:CLIG) stock is a Buy with a £454.00 price target. To see the full list of analyst forecasts on City of London Investment stock, see the GB:CLIG Stock Forecast page.

City of London Investment Group Director Increases Shareholding

City of London Investment Group PLC announced that Peter Roth, a Non-Executive Director, purchased 5,000 shares at £3.6801 each, increasing his total beneficial interest to 10,000 shares, which represents about 0.02% of the company’s issued share capital. This transaction, conducted on the London Stock Exchange, reflects managerial confidence in the company’s prospects and could influence stakeholder perceptions positively.

The most recent analyst rating on (GB:CLIG) stock is a Buy with a £422.00 price target. To see the full list of analyst forecasts on City of London Investment stock, see the GB:CLIG Stock Forecast page.

City of London Investment Group Reports 4% Increase in Funds under Management

City of London Investment Group PLC reported a 4% increase in Funds under Management (FuM) to $11.2 billion for the quarter ending 30 September 2025. The company’s Emerging Markets and Listed Private Equity strategies showed strong performance, significantly outperforming their benchmarks, while the Opportunistic Value strategy lagged. Despite net investment outflows of $419 million, the Group’s strategies continue to attract interest due to persistent discount volatility and strong performance, with new mandates and inflows recorded in several strategies.

The most recent analyst rating on (GB:CLIG) stock is a Buy with a £422.00 price target. To see the full list of analyst forecasts on City of London Investment stock, see the GB:CLIG Stock Forecast page.