Liontrust Asset Management (LIO) AI Stock Analysis

• Market Cap: £187.27M
• Dividend Yield: 22.98%
• Average Volume (3M): 489.96K
• Price to Earnings (P/E): 11.4
• Beta (1Y): 1.73
• Revenue Growth: -15.65%
• EPS Growth: -12.27%
• Country: UK
• Employees: 213
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): 0.19
• Shares Outstanding: 63,764,614
• 10 Day Avg. Volume: 366,663
• 30 Day Avg. Volume: 489,963
• PEG Ratio: -0.02
• Price to Book (P/B): 1.71
• Price to Sales (P/S): 1.39
• P/FCF Ratio: 11.80
• 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: £364.17
• Price Target Upside: 42.25% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 64 Neutral
• Price Target: 274.00p ▲(7.03% Upside)

Liontrust Asset Management's overall stock score is driven by its strong valuation metrics, including a low P/E ratio and high dividend yield, which suggest potential undervaluation. However, bearish technical indicators and challenges in financial performance, such as declining revenue and free cash flow, weigh on the score. The company's strategic corporate actions, like share buybacks, provide some positive outlook but are not included in the weighted calculation.

Positive Factors

Operational Efficiency

Strong operational efficiency indicates effective management and cost control, contributing to sustained profitability and competitive advantage.

Balance Sheet Health

A robust balance sheet with low leverage enhances financial stability and provides flexibility for strategic investments and growth opportunities.

Cash Flow Generation

Consistent positive cash flow generation supports operational needs and strategic initiatives, ensuring long-term business sustainability.

Negative Factors

Revenue Decline

Declining revenue trends can impact growth prospects and market position, necessitating strategic adjustments to reverse the trend.

Net Profit Margin Volatility

Volatile net profit margins indicate potential issues in cost management and pricing strategy, affecting long-term profitability.

Free Cash Flow Decline

A decline in free cash flow growth rate poses risks to future cash flow stability and may limit investment capacity and shareholder returns.

Liontrust Asset Management Business Overview & Revenue Model

Company Description

Liontrust Asset Management Plc is a publicly owned investment manager. The firm also launches equity, fixed income, , multi-asset and managed funds for its clients. It invests into the public equity and multi-asset markets across the globe. The firm was formerly known as River and Mercantile Investment Management Limited. Liontrust Asset Management Plc was founded in 1994 and is based in London, United Kingdom.

How the Company Makes Money

Liontrust Asset Management generates revenue primarily through management fees charged on the assets it manages. These fees are typically a percentage of the total assets under management (AUM), which can vary depending on the type of fund and the specific investment strategy employed. Additionally, the company earns performance fees when its funds exceed certain benchmarks or performance targets. Significant partnerships with financial advisors and institutional clients enhance its distribution capabilities, contributing to the growth of AUM and, consequently, its revenue. The firm also benefits from a growing interest in sustainable investment strategies, aligning with global trends towards responsible investing, which can lead to increased inflows into its funds.

Liontrust Asset Management Financial Statement Overview

Summary

Liontrust Asset Management shows strong operational efficiency with high gross profit margins and a robust balance sheet characterized by low leverage. However, the company faces challenges in sustaining revenue and net income growth, with declining trends in revenue and free cash flow posing risks to future financial health.

Income Statement

Liontrust Asset Management has experienced fluctuating revenue, with a significant decline from 2023 to 2024, followed by a further decrease in 2025. Gross profit margins remain high, indicating strong operational efficiency. However, net profit margins have been inconsistent, reflecting challenges in managing costs and profitability, particularly in 2024. The EBIT margin has also been volatile, which suggests difficulties in maintaining stable operational profits.

Balance Sheet

The company's balance sheet appears solid with a low debt-to-equity ratio, indicating prudent leverage management. Stockholders’ equity has decreased over the years but still represents a significant portion of total assets, resulting in a stable equity ratio. Return on equity fluctuated, corresponding to varying net income levels, but overall, the firm maintains a healthy financial position with a strong asset base.

Cash Flow

Operating cash flow has remained positive, though it decreased in 2025, indicating some pressure on cash generation. Free cash flow has been positive consistently, which is a strength, although 2025 saw a reduction. The operating cash flow to net income ratio suggests that the company effectively converts its net income into cash. However, the free cash flow growth rate has been negative, indicating a potential risk to future cash flow stability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	169.88M	169.88M	197.89M	243.34M	245.57M	175.08M
Gross Profit	81.07M	146.58M	186.06M	229.77M	231.32M	154.88M
EBITDA	31.53M	31.56M	13.56M	92.35M	91.55M	42.49M
Net Income	16.70M	16.70M	-3.49M	39.33M	59.20M	27.67M
Balance Sheet
Total Assets	354.48M	354.48M	426.36M	505.23M	466.92M	481.54M
Cash, Cash Equivalents and Short-Term Investments	79.77M	79.77M	112.47M	130.96M	125.02M	74.09M
Total Debt	1.51M	1.51M	2.54M	2.17M	3.67M	5.02M
Total Liabilities	216.32M	216.32M	255.13M	284.25M	282.75M	318.15M
Stockholders Equity	138.16M	138.16M	171.23M	220.98M	184.17M	163.39M
Cash Flow
Free Cash Flow	20.04M	20.04M	28.06M	43.16M	11.61M	43.39M
Operating Cash Flow	20.63M	20.63M	28.21M	43.42M	12.12M	43.64M
Investing Cash Flow	3.32M	3.32M	2.76M	11.27M	-2.54M	-53.16M
Financing Cash Flow	-52.37M	-52.37M	-47.68M	-54.50M	-42.10M	41.12M

Liontrust Asset Management Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 256.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:LIO, the sentiment is Negative. The current price of 256 is below the 20-day moving average (MA) of 267.93, below the 50-day MA of 291.66, and below the 200-day MA of 318.57, indicating a bearish trend. The MACD of -11.50 indicates Positive momentum. The RSI at 27.11 is Positive, neither overbought nor oversold. The STOCH value of 11.92 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:LIO.

Liontrust Asset Management Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BRK	80 Outperform	£254.76M	25.02	7.58%	4.95%	-13.29%	63.87%
IPX	76 Outperform	£228.97M	7.68	16.48%	18.10%	-16.53%	-44.15%
POLR	76 Outperform	£561.98M	15.94	31.19%	8.47%	7.71%	-7.39%
JUP	73 Outperform	£766.63M	13.44	7.11%	2.86%	-4.38%	―
FSG	73 Outperform	£540.35M	16.41	―	5.90%	―	―
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
LIO	64 Neutral	£187.27M	11.39	9.72%	22.98%	-15.65%	-12.27%

Liontrust Asset Management Corporate Events

Liontrust Executes Share Buyback, Reducing Issued Capital

Liontrust Asset Management has announced the purchase of 9,856 of its own ordinary shares at an average price of 254.06 pence per share as part of its Share Buyback programme. This transaction, which follows regulatory guidelines, reduces the company’s total issued share capital, potentially impacting shareholder voting rights and interest notifications.

Liontrust Executes Share Buyback to Enhance Shareholder Value

Liontrust Asset Management has executed a share buyback program, purchasing 31,832 of its ordinary shares at an average price of 254.91 pence per share, which will be cancelled. This transaction reflects the company’s strategic move to manage its share capital and potentially enhance shareholder value, impacting its market positioning by reducing the number of shares in circulation.

Liontrust Executes Share Buyback to Optimize Capital Structure

Liontrust Asset Management Plc has executed a share buyback, purchasing 59,640 of its ordinary shares at an average price of 257.14 pence per share. This move is part of the company’s ongoing share buyback program, which aims to optimize its capital structure and potentially enhance shareholder value by reducing the number of shares in circulation.

Liontrust Asset Management Announces Total Voting Rights

Liontrust Asset Management Plc announced its total issued share capital as of November 30, 2025, consists of 63,664,615 ordinary shares, all carrying voting rights. This information is crucial for shareholders to determine their notification requirements under the FCA’s Disclosure Guidance and Transparency Rules.

Liontrust Executes Share Buyback to Enhance Shareholder Value

Liontrust Asset Management announced the purchase and cancellation of 25,000 of its ordinary shares as part of its Share Buyback programme. This transaction, executed at an average price of 261.48 pence per share, reflects the company’s strategic move to manage its share capital and potentially enhance shareholder value.

Liontrust Asset Management Executes Share Buyback

Liontrust Asset Management announced the purchase of 75,000 of its ordinary shares as part of its Share Buyback programme. This transaction, executed at an average price of 256.6p per share, will result in the cancellation of the purchased shares, impacting the company’s total issued share capital, which now stands at 63,689,615 shares. This move is likely aimed at enhancing shareholder value and optimizing the company’s capital structure.

Liontrust Announces £10 Million Share Buyback Program

Liontrust Asset Management has announced the launch of a share buyback program to repurchase up to £10 million worth of its ordinary shares by June 2026. This initiative, managed by Panmure Liberum, aims to reduce the company’s issued share capital and is funded by existing cash resources, reflecting Liontrust’s strategic efforts to enhance shareholder value.

Liontrust Cancels SAYE Options for CEO and CFO

Liontrust Asset Management Plc has announced the cancellation of certain options granted to its CEO, John Ions, and CFO, Vinay Abrol, under the 2024 Save as You Earn (SAYE) scheme. Both executives have applied to participate in the 2025 SAYE scheme, with new options expected to be granted following approval. This move reflects the company’s ongoing adjustments in its employee compensation schemes, which may impact its managerial operations and stakeholder interests.

Liontrust Chair Luke Savage Acquires 5,000 Shares

Liontrust Asset Management announced that Luke Savage, the Non-executive Chair, has purchased 5,000 ordinary shares of the company. This transaction, conducted on the London Stock Exchange, signifies a vote of confidence in the company’s prospects by a key figure in its leadership, potentially impacting stakeholder perceptions and market positioning.

Liontrust Asset Management Reports H1 2025 Results and Strategic Initiatives

Liontrust Asset Management reported a decrease in adjusted profit before tax for the first half of 2025, alongside a series of strategic initiatives aimed at strengthening its financial position and expanding its client base. The company announced cost efficiencies, a share buyback program, and the acquisition of two institutional mandates worth £250 million. Despite challenges in returning to net inflows, Liontrust remains optimistic about future growth, driven by client engagement and a focus on diversification away from US large-cap stocks.

Liontrust Announces Live Presentation of Half Year Results

Liontrust Asset Management has announced a live presentation of its Half Year Results, to be conducted by CEO John Ions and CFO Vinay Abrol on November 25, 2025. This event is accessible to all current and potential shareholders, allowing them to submit questions in advance or during the presentation, highlighting the company’s commitment to transparency and stakeholder engagement.

Liontrust Asset Management Reports £1.2 Billion Net Outflows Amid Positive Outlook for Active Management

Liontrust Asset Management reported net outflows of £1.2 billion for the quarter ending September 2025, with assets under management and advice decreasing by 2.7% to £22 billion. Despite the challenging period, the company sees a positive outlook for active management, driven by increased client interest in diversifying away from the US and towards active strategies. Liontrust is experiencing success among institutional investors and wealth managers, particularly internationally, and is confident in its broadening distribution and strong investment processes, which are expected to enhance its market positioning and client engagement.

Liontrust Asset Management Secures Approval for AGM Resolutions

Liontrust Asset Management PLC announced the successful passage of all resolutions at its Annual General Meeting held on 18 September 2025. The resolutions, which included both ordinary and special resolutions, were approved by the requisite majority of shareholders. Notably, the company acknowledged the significant support for the Directors Remuneration Report and the further disapplication of pre-emption rights, while committing to ongoing engagement with shareholders to address any concerns. This outcome reflects shareholder confidence in the company’s governance and strategic direction.