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Iomart Group PLC (GB:IOM)
LSE:IOM

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:
11.50 p
▼(-34.84% Downside)
Action:ReiteratedDate:03/03/26
The score is held down primarily by weak financial performance (sharp margin collapse, higher leverage, and declining free cash flow). Technical indicators also reflect a sustained downtrend. Valuation provides limited support because the company is loss-making and no dividend yield is available.
Positive Factors
Recurring revenue model
Iomart’s core business is subscription-based cloud, hosting and managed services with multi-month/ multi-year contracts, creating predictable recurring revenue. This contract stickiness supports stable cash inflows, customer retention and planning visibility over the coming months.
Negative Factors
Profitability deterioration
A collapse in net margin from +5.07% to -38.42% and negative EBIT/EBITDA reflect structural cost or pricing pressures. Sustained negative operating profitability threatens equity returns and requires meaningful cost or revenue mix changes to restore durable profitability over the next several quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Recurring revenue model
Iomart’s core business is subscription-based cloud, hosting and managed services with multi-month/ multi-year contracts, creating predictable recurring revenue. This contract stickiness supports stable cash inflows, customer retention and planning visibility over the coming months.
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 results are weak overall: profitability deteriorated sharply (net margin fell from 5.07% to -38.42% and EBIT/EBITDA turned negative), leverage increased materially (debt-to-equity rose from 0.47 to 1.81), and free cash flow declined (-35.10% growth), despite 12.99% revenue growth.
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
Negative
Last Price17.65
Price Trends
50DMA
15.33
Negative
100DMA
17.75
Negative
200DMA
20.48
Negative
Market Momentum
MACD
-0.98
Negative
RSI
28.17
Positive
STOCH
40.21
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:IOM, the sentiment is Negative. The current price of 17.65 is above the 20-day moving average (MA) of 12.55, above the 50-day MA of 15.33, and below the 200-day MA of 20.48, indicating a bearish trend. The MACD of -0.98 indicates Negative momentum. The RSI at 28.17 is Positive, neither overbought nor oversold. The STOCH value of 40.21 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative 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
76
Outperform
£677.44M8.8660.89%5.54%7.83%2.36%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
61
Neutral
£61.46M9.55-3.99%-5.43%-292.31%
60
Neutral
£113.44M-23.062.17%26.09%32.43%
45
Neutral
£11.30M-3.01-9.36%-7.45%78.23%
43
Neutral
£13.29M-0.96-99.34%23.79%25.44%-1877.56%
42
Neutral
£1.96M-4.20
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:IOM
Iomart Group plc
11.70
-19.30
-62.26%
GB:CLCO
CloudCoCo Group
0.21
0.12
133.33%
GB:CNS
Corero Network Security
12.00
-2.10
-14.89%
GB:SYS
SysGroup
13.50
-6.50
-32.50%
GB:BKS
Beeks Financial Cloud Group Plc
166.00
-48.00
-22.43%
GB:BYIT
Bytes Technology Group Plc
286.60
-151.53
-34.59%

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: Mar 03, 2026