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Peel Hunt Limited (GB:PEEL)
LSE:PEEL
UK Market

Peel Hunt Limited (PEEL) AI Stock Analysis

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Peel Hunt Limited

(LSE:PEEL)

Rating:49Neutral
Price Target:
Peel Hunt Limited's stock score is driven by mixed financial performance, bearish technical indicators, and challenging valuation metrics, offset by positive corporate developments. While revenue growth and strategic initiatives are promising, ongoing profitability issues and negative investor sentiment weigh heavily on the stock's outlook.

Peel Hunt Limited (PEEL) vs. iShares MSCI United Kingdom ETF (EWC)

Peel Hunt Limited Business Overview & Revenue Model

Company DescriptionPeel Hunt Limited (PEEL) is a leading UK-based investment bank focused on serving mid and small-cap companies. The firm operates in three main business areas: Investment Banking, Research & Distribution, and Execution Services. Peel Hunt provides a range of services including corporate finance advisory, equity research, trading, and sales to institutional investors and corporate clients, primarily in the UK market.
How the Company Makes MoneyPeel Hunt Limited generates revenue through various streams associated with its core business areas. In Investment Banking, the company earns fees from advisory services related to mergers and acquisitions, fundraising, and other corporate finance activities. In the Research & Distribution segment, Peel Hunt provides equity research and distributes this to institutional investors, generating income via commissions and fees. Execution Services involve facilitating trades for institutional clients, with Peel Hunt earning revenue from trading commissions and the provision of execution platforms. The firm benefits from long-standing relationships with corporate clients and institutional investors, which underpin its revenue generation capabilities.

Peel Hunt Limited Financial Statement Overview

Summary
Peel Hunt Limited's financial performance indicates challenges in profitability and cash flow despite stable revenue. The income statement shows revenue growth but declining net income and negative profit margins. While the balance sheet is sound, with a manageable debt-to-equity ratio, negative return on equity is concerning. Cash flow improvement is noted, but cash generation relative to net income remains an issue.
Income Statement
45
Neutral
Peel Hunt Limited shows a mixed performance in its income statement. While there was a modest revenue growth rate of 4.25% from 2023 to 2024, the company has experienced declining net income over the years, with a negative net profit margin of -3.73% in 2024. Additionally, EBIT and EBITDA margins have deteriorated, indicating profitability challenges. However, the gross profit margin remains strong at 100% due to the nature of the revenue structure.
Balance Sheet
60
Neutral
The balance sheet reflects a sound equity position with an equity ratio of 13.02% for 2024. Despite a manageable debt-to-equity ratio of 0.54, the company has seen a reduction in stockholders' equity, which can be a concern. Return on equity has been negative due to net losses, highlighting potential inefficiencies in using shareholder funds.
Cash Flow
50
Neutral
Peel Hunt's cash flow statement shows improvement in operating cash flow, turning positive in 2024 from a substantial negative in 2023. The free cash flow growth rate is significant, moving to positive territory. However, the operating cash flow to net income ratio indicates that cash generation relative to net income remains challenging.
BreakdownTTMMar 2024Mar 2023Mar 2022Mar 2021Mar 2020
Income Statement
Total Revenue94.71M85.83M80.02M131.05M196.87M95.55M
Gross Profit98.75M43.96M80.02M97.87M196.87M95.55M
EBITDA580.00K2.15M0.0046.98M125.46M37.11M
Net Income-1.63M-3.20M-1.32M10.95M3.73M3.66M
Balance Sheet
Total Assets575.57M692.73M594.01M727.67M721.89M623.37M
Cash, Cash Equivalents and Short-Term Investments539.49M37.93M553.06M686.54M681.84M612.04M
Total Debt29.35M48.71M42.06M50.19M46.56M36.88M
Total Liabilities480.80M600.98M500.86M627.54M673.52M577.84M
Stockholders Equity93.42M90.17M93.15M100.13M48.37M45.53M
Cash Flow
Free Cash Flow3.27M6.95M-31.41M-69.37M75.12M10.05M
Operating Cash Flow3.47M7.03M-30.90M-68.02M84.58M10.90M
Investing Cash Flow-653.00K-1.73M-1.60M-1.30M-9.46M-778.00K
Financing Cash Flow-7.33M5.23M-16.81M42.68M-14.05M15.93M

Peel Hunt Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price98.00
Price Trends
50DMA
82.22
Positive
100DMA
81.42
Positive
200DMA
94.83
Positive
Market Momentum
MACD
3.75
Negative
RSI
83.41
Negative
STOCH
86.11
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:PEEL, the sentiment is Positive. The current price of 98 is above the 20-day moving average (MA) of 90.13, above the 50-day MA of 82.22, and above the 200-day MA of 94.83, indicating a bullish trend. The MACD of 3.75 indicates Negative momentum. The RSI at 83.41 is Negative, neither overbought nor oversold. The STOCH value of 86.11 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:PEEL.

Peel Hunt Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (64)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
GBFSJ
76
Outperform
£178.05M3.8327.40%-11.79%
GBSUS
76
Outperform
£222.97M12.457.59%4.48%0.15%-29.58%
GBHAT
76
Outperform
£278.35M12.5112.03%3.45%20.20%6.12%
64
Neutral
$6.65B10.946.59%5.05%24.65%0.99%
49
Neutral
£114.33M-3.06%15.48%23.67%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:PEEL
Peel Hunt Limited
98.00
-38.00
-27.94%
GB:FSJ
James Fisher & Sons
352.00
33.00
10.34%
GB:SUS
S&U plc
1,785.00
-15.62
-0.87%
GB:HAT
H&T Group plc
638.00
276.04
76.26%

Peel Hunt Limited Corporate Events

Private Placements and Financing
Peel Hunt’s RetailBook Completes £500,000 Fundraising
Neutral
Apr 16, 2025

Peel Hunt Limited announced that RetailBook, a technology platform for accessing retail capital in the UK, completed a £500,000 fundraising to support its growth and regulatory capital needs. Although Peel Hunt did not participate, it holds a majority stake in RetailBook, making the participation of two RetailBook directors in the fundraising a related party transaction. Peel Hunt’s directors, after consulting with their adviser, deemed the terms fair and reasonable for shareholders.

Spark’s Take on GB:PEEL Stock

According to Spark, TipRanks’ AI Analyst, GB:PEEL is a Neutral.

Peel Hunt’s overall stock score reflects challenges in profitability and valuation, with the negative P/E ratio and absence of dividends as key concerns. Despite positive corporate events and improving cash flow, technical indicators suggest weak momentum.

To see Spark’s full report on GB:PEEL stock, click here.

Business Operations and StrategyFinancial Disclosures
Peel Hunt Reports Revenue Growth Amid Market Challenges
Positive
Apr 1, 2025

Peel Hunt Limited reported a 5% increase in group revenues for the financial year ending 31 March 2025, despite challenging market conditions. The company made strategic progress by attracting high-quality mid-cap and growth companies, acting for 52 FTSE 350 clients, and maintaining a promising pipeline of M&A and IPO transactions.

Other
Peel Hunt Director’s Share Transaction Leaves Holdings Unchanged
Neutral
Mar 13, 2025

Peel Hunt Limited announced a transaction involving its Non-Executive Director, Richard Brearley, and his wife, Sarah Brearley. Sarah sold 30,000 ordinary shares at 75 pence each, while Richard purchased the same number of shares at 76 pence each, leaving their beneficial interest in the company unchanged at 30,000 shares. This transaction, conducted on the London Stock Exchange, reflects internal share dealings without altering the overall shareholding of the Brearleys.

Executive/Board ChangesBusiness Operations and Strategy
RetailBook Enhances Senior Team to Boost Retail Market Access
Positive
Feb 12, 2025

RetailBook, originally created by Peel Hunt as a retail access technology platform, has announced significant senior hires from PrimaryBid to enhance its retail market capabilities. This strategic move aims to equalize opportunities for retail investors with institutional investors, potentially strengthening RetailBook’s position in the market and its future growth independent of Peel Hunt.

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 22, 2025