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Iomart Group PLC (GB:IOM)
LSE:IOM
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Iomart Group plc (IOM) AI Stock Analysis

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GB:IOM

Iomart Group plc

(LSE:IOM)

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Neutral 43 (OpenAI - 5.2)
Rating:43Neutral
Price Target:
20.00 p
▲(13.31% Upside)
Action:Reiterated
Date:04/30/26
The score is driven primarily by weak financial performance, with sharp profitability deterioration, higher leverage, and declining free cash flow outweighing revenue growth. Technicals are supportive but appear overbought, raising near-term downside risk. Valuation is constrained by losses (negative P/E) and no provided dividend yield.
Positive Factors
Recurring, contract-based revenue model
Iomart’s core revenue comes from subscription and managed-service contracts, creating predictable, recurring cash flows and high customer retention potential. This business model supports long-term revenue visibility, easier budgeting, and steady ARR expansion through upsells and renewals.
Negative Factors
Sharp profitability deterioration
A swing from modest profit to a large net loss signals structural profitability issues: cost escalation, pricing pressure, or operational inefficiencies. Persistently negative EBIT/EBITDA margins threaten reinvestment capacity, equity value and the viability of growth unless margins are restored.
Read all positive and negative factors
Positive Factors
Negative Factors
Recurring, contract-based revenue model
Iomart’s core revenue comes from subscription and managed-service contracts, creating predictable, recurring cash flows and high customer retention potential. This business model supports long-term revenue visibility, easier budgeting, and steady ARR expansion through upsells and renewals.
Read all positive factors

Iomart Group plc (IOM) vs. iShares MSCI United Kingdom ETF (EWC)

Iomart Group plc Business Overview & Revenue Model

Company Description
iomart Group plc provides managed cloud services in the United Kingdom and internationally. It operates in two segments, Cloud Services and Easyspace. The company offers a range of shared hosting and domain registration services to micro and SME c...
How the Company Makes Money
Iomart primarily makes money by charging businesses recurring fees to host and run their IT workloads on Iomart’s infrastructure and in its data centres. Key revenue streams generally include: (1) Cloud and hosting services: subscription/contract-...

Iomart Group plc Financial Statement Overview

Summary
Financial performance is weak: profitability deteriorated sharply (net margin fell from 5.07% in 2024 to -38.42% in 2025) with negative EBIT/EBITDA margins. Leverage increased materially (debt-to-equity rose to 1.81) and ROE turned negative. Free cash flow declined (-35.10% in 2025), though free cash flow to net income remains positive.
Income Statement
35
Negative
Balance Sheet
40
Negative
Cash Flow
45
Neutral
BreakdownTTMMar 2024Mar 2023Mar 2022Mar 2021Mar 2020
Income Statement
Total Revenue159.25M143.46M127.05M115.64M103.02M111.88M
Gross Profit45.00M70.46M69.58M63.56M61.31M67.64M
EBITDA-24.47M-20.24M35.80M33.72M37.21M39.72M
Net Income-60.57M-55.12M6.44M7.00M9.40M10.20M
Balance Sheet
Total Assets241.70M254.69M230.87M218.68M208.34M228.48M
Cash, Cash Equivalents and Short-Term Investments5.09M13.09M15.76M13.82M15.33M23.04M
Total Debt114.73M115.01M58.09M53.58M56.62M77.66M
Total Liabilities183.30M191.16M107.47M98.12M89.45M111.91M
Stockholders Equity58.40M63.53M123.40M120.56M118.89M116.57M
Cash Flow
Free Cash Flow8.79M14.10M24.13M23.04M24.52M23.00M
Operating Cash Flow16.62M25.35M35.94M33.89M35.46M40.06M
Investing Cash Flow-58.85M-62.21M-21.69M-21.16M-10.23M-19.15M
Financing Cash Flow-19.90M34.20M-12.31M-14.24M-32.93M-13.36M

Iomart Group plc Technical Analysis

Technical Analysis Sentiment
Positive
Last Price17.65
Price Trends
50DMA
15.62
Positive
100DMA
16.53
Positive
200DMA
19.00
Positive
Market Momentum
MACD
1.75
Positive
RSI
59.85
Neutral
STOCH
40.35
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:IOM, the sentiment is Positive. The current price of 17.65 is below the 20-day moving average (MA) of 19.91, above the 50-day MA of 15.62, and below the 200-day MA of 19.00, indicating a bullish trend. The MACD of 1.75 indicates Positive momentum. The RSI at 59.85 is Neutral, neither overbought nor oversold. The STOCH value of 40.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:IOM.

Iomart Group plc Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
82
Outperform
£832.56M14.1864.69%5.54%1.58%-6.06%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
61
Neutral
£60.18M9.55-3.99%0.46%-257.14%
60
Neutral
£107.63M-23.062.17%11.02%-59.83%
49
Neutral
£2.10M0.95
46
Neutral
£13.81M-3.01-9.36%-7.45%78.23%
43
Neutral
£24.54M-0.96-99.34%23.79%25.44%-1877.56%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:IOM
Iomart Group plc
20.50
-7.50
-26.79%
GB:CLCO
CloudCoCo Group
0.23
0.07
40.63%
GB:CNS
Corero Network Security
11.00
-5.50
-33.33%
GB:SYS
SysGroup
19.50
-2.50
-11.36%
GB:BKS
Beeks Financial Cloud Group Plc
156.50
-56.00
-26.35%
GB:BYIT
Bytes Technology Group Plc
361.40
-113.09
-23.83%

Iomart Group plc Corporate Events

Regulatory Filings and Compliance
Iomart Updates Block Listing for Employee Share Schemes
Neutral
Mar 3, 2026
Iomart Group plc reported its latest six‑monthly block listing return for shares issued under its employee share schemes, covering the period from 1 September 2025 to 28 February 2026. The filing shows movements and remaining capacity in bot...
Regulatory Filings and Compliance
Iomart Updates Market on Total Voting Rights and Share Capital
Neutral
Mar 2, 2026
Iomart Group plc has confirmed that, as of 28 February 2026, it has 113,728,770 ordinary shares of 1 pence in issue, with 140,773 of these held within its Employee Benefit Trust and none held in treasury. This results in a total of 113,587,997 vot...
Business Operations and StrategyExecutive/Board ChangesFinancial Disclosures
Iomart CFO to Exit as Softer Trading Pulls EBITDA Below Forecasts
Negative
Feb 11, 2026
Iomart Group plc has announced that Chief Financial Officer Scott Cunningham will step down after more than seven years with the company to pursue a role in a private business outside the IT sector. He will remain in post through the March 2026 ye...
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.Date of analysis: Apr 30, 2026