Tatton Asset Management Plc (TAM) AI Stock Analysis

• Market Cap: £355.55M
• Dividend Yield: 3.21%
• Average Volume (3M): 102.05K
• Price to Earnings (P/E): 12.1
• Beta (1Y): 0.35
• Revenue Growth: 20.46%
• EPS Growth: 9.72%
• Country: UK
• Employees: 103
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): 0.16
• Shares Outstanding: 61,301,834
• 10 Day Avg. Volume: 150,222
• 30 Day Avg. Volume: 102,053
• PEG Ratio: 0.97
• Price to Book (P/B): 7.39
• Price to Sales (P/S): 8.25
• P/FCF Ratio: 20.48
• 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: 74 Outperform
• Price Target: 656.00 p ▲(11.56% Upside)
• Action: Reiterated Date: 12/07/25
• Date: Action: Reiterated 12/07/25

Tatton Asset Management Plc's strong financial performance and positive corporate events are the primary drivers of its overall score. While the technical analysis suggests some bearish trends, the company's robust financial health and positive insider activity provide a solid foundation for future growth. The valuation is reasonable, offering a balance between growth potential and income through dividends.

Positive Factors

Balance sheet strength

Extremely low financial leverage and a high equity ratio provide durable financial flexibility. With minimal debt and a strong ROE, the firm can fund growth, maintain dividends or weather drawdowns without heavy refinancing, supporting long-term stability and strategic optionality.

Revenue growth & margins

Consistent multi-year revenue expansion combined with very high gross and improving net margins indicate a scalable, fee-based business model. Recurring AUM fees and efficient operating structure make margins resilient, enabling reinvestment and shareholder returns over multiple market cycles.

Cash generation

Reliable operating cash flow growth and high free cash flow conversion underpin sustainable dividend capacity and reinvestment funding. Strong cash generation reduces dependence on external finance and supports long-term capital allocation, enhancing overall business durability.

Negative Factors

Adviser distribution reliance

Heavy reliance on UK adviser channels and third-party platforms is a structural concentration risk. Changes in adviser preferences, platform economics, or distribution competition could materially constrain organic AUM growth and make client access sensitive to partner decisions over the medium term.

Financing cash flow volatility

While operating cash flow is strong, irregular and material financing outflows suggest uncertain capital allocation (dividends, buybacks or other uses). Persistent financing volatility can reduce balance sheet optionality and complicate planning for investments or distribution during adverse markets.

Revenue sensitivity to markets

Business revenues are structurally tied to AUM and market performance, making earnings cyclical. Prolonged market declines or net client outflows can compress fee income and margin absorption, limiting predictable growth and stressing payout capacity across multi-quarter downturns.

Tatton Asset Management Plc Business Overview & Revenue Model

Company Description

Tatton Asset Management plc provides fund management, compliance consultancy, and technical support services to independent financial advisors in the United Kingdom. The company operates through two segments, Tatton and Paradigm. It also offers mortgage adviser support, and mortgage and insurance product distribution services. The company was incorporated in 2017 and is based in Wilmslow, the United Kingdom.

How the Company Makes Money

TAM primarily makes money by charging ongoing investment management fees on assets under management (AUM) for its discretionary and model portfolio services. These fees are generally calculated as a percentage of client assets managed within TAM’s portfolios and are earned on a recurring basis, so revenue scales mainly with AUM levels (net inflows/outflows) and market movements. AUM is typically sourced through relationships with UK financial advisers who place client money into TAM-managed solutions (often using third-party investment platforms), meaning adviser distribution and platform accessibility are important drivers of growth. Where applicable, TAM may also earn revenue from managing or advising on funds/portfolios it runs (e.g., fund management/portfolio management charges embedded in the solutions), but specific product-by-product fee schedules, performance-fee arrangements (if any), or named partnership economics are not available here and are therefore null.

Tatton Asset Management Plc Financial Statement Overview

Summary

Tatton Asset Management Plc exhibits strong financial health with impressive revenue and profit growth, efficient operations, and a robust balance sheet. The company maintains high profitability margins and low leverage. Despite some variability in cash flow from financing activities, the overall cash flow profile is healthy, supporting future growth.

Income Statement

Tatton Asset Management Plc has demonstrated robust revenue growth, with a CAGR of approximately 16% over the past five years. Gross profit margins consistently stand at 100%, reflecting efficient cost management. Net profit margin has improved to 35.6% in the latest year, up from 28.6% in the previous year, indicating enhanced profitability. EBIT and EBITDA margins are strong, showcasing operational efficiency.

Balance Sheet

The company maintains a healthy balance sheet with a debt-to-equity ratio of 0.02, signifying low leverage and reduced financial risk. The equity ratio is high at 81%, indicating a strong capital base. Return on equity has improved to 31.9%, reflecting the company's ability to generate substantial returns for shareholders. The firm’s liquidity and solvency positions are solid.

Cash Flow

Operating cash flow has shown consistent growth, supporting strong free cash flow generation. The free cash flow to net income ratio is high, indicating effective cash conversion. However, volatility in financing cash flow due to significant outflows might raise concerns over cash utilization strategies. Overall, cash flow management remains robust with strong operational cash generation.

Breakdown	TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	49.34M	45.31M	36.81M	32.33M	29.36M	23.35M
Gross Profit	25.10M	45.31M	36.81M	32.33M	29.36M	23.35M
EBITDA	23.64M	22.85M	18.47M	17.78M	12.54M	8.23M
Net Income	17.00M	16.14M	12.99M	9.24M	6.11M	8.36M
Balance Sheet
Total Assets	66.89M	62.44M	52.46M	51.95M	41.35M	31.55M
Cash, Cash Equivalents and Short-Term Investments	35.30M	33.25M	24.94M	26.62M	21.86M	17.10M
Total Debt	1.21M	848.00K	659.00K	268.00K	539.00K	743.00K
Total Liabilities	10.97M	11.89M	9.13M	10.16M	10.30M	7.10M
Stockholders Equity	55.96M	50.59M	43.28M	41.78M	31.04M	24.45M
Cash Flow
Free Cash Flow	18.88M	18.25M	13.66M	12.91M	13.35M	8.47M
Operating Cash Flow	19.05M	18.75M	14.02M	13.23M	13.64M	8.82M
Investing Cash Flow	-1.22M	-1.00M	-1.55M	-470.00K	-3.11M	-509.00K
Financing Cash Flow	-10.69M	-10.47M	-14.12M	-7.98M	-5.75M	-4.13M

Tatton Asset Management Plc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 588.00
• 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:TAM, the sentiment is Negative. The current price of 588 is below the 20-day moving average (MA) of 643.20, below the 50-day MA of 658.32, and below the 200-day MA of 680.59, indicating a bearish trend. The MACD of -24.63 indicates Positive momentum. The RSI at 28.90 is Positive, neither overbought nor oversold. The STOCH value of 13.46 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:TAM.

Tatton Asset Management Plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
POLR	76 Outperform	£614.60M	5.68	30.00%	8.73%	7.71%	-7.39%
TAM	74 Outperform	£355.55M	12.13	31.92%	3.21%	20.46%	9.72%
JUP	74 Outperform	£966.45M	8.25	7.11%	2.70%	-4.38%	―
BRK	72 Outperform	£242.41M	13.32	7.58%	5.14%	-13.29%	63.87%
RAT	70 Outperform	£2.14B	17.89	4.75%	4.91%	14.05%	-3.07%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
LIO	64 Neutral	£156.52M	11.47	9.72%	21.31%	-15.65%	-12.27%

Tatton Asset Management Plc Corporate Events

Tatton CIO Increases Stake with Purchase of Additional Shares

Tatton Asset Management plc disclosed that its Chief Investment Officer, Lothar Mentel, has purchased 1,757 ordinary shares in the company on 5 March 2026 on AIM at a price of 589.9p per share. Following this transaction, Mentel’s total holding has risen to 1,372,699 shares, representing 2.24% of the company’s issued share capital, signaling continued executive alignment with shareholder interests and confidence in the group’s prospects.

The most recent analyst rating on (GB:TAM) stock is a Buy with a £666.00 price target. To see the full list of analyst forecasts on Tatton Asset Management Plc stock, see the GB:TAM Stock Forecast page.

Tatton CIO Exercises Share Options, Increases Stake to 2.24%

Tatton Asset Management has disclosed that its Chief Investment Officer, Lothar Mentel, has exercised options over 19,500 ordinary shares under the company’s 2017 EMI Scheme. The shares were satisfied through the firm’s Employee Benefit Trust, a common mechanism for delivering equity-based incentives without issuing new stock.

Following the transaction, Mentel’s holding has increased to 1,370,942 ordinary shares, representing 2.24% of Tatton’s issued share capital. The move marginally raises insider ownership and may be viewed by investors as a signal of executive confidence in the company’s prospects, while having no dilutive impact on existing shareholders.

The most recent analyst rating on (GB:TAM) stock is a Buy with a £664.00 price target. To see the full list of analyst forecasts on Tatton Asset Management Plc stock, see the GB:TAM Stock Forecast page.

Tatton CEO Trims Stake but Retains Major Holding in Asset Manager

Tatton Asset Management has disclosed that its chief executive officer, Paul Hogarth, has sold 100,000 ordinary shares in the company at a price of 700 pence per share. Following the disposal, Hogarth remains a significant shareholder, retaining an interest in 8,986,227 ordinary shares, representing 14.66% of the company’s issued share capital.

The transaction, conducted on 12 February 2026 on AIM, has been notified in line with EU Market Abuse Regulation as applied in UK law. The sale provides transparency over dealings by senior management but does not in itself signal any stated change in strategy or operations for the investment management group.

The most recent analyst rating on (GB:TAM) stock is a Buy with a £741.00 price target. To see the full list of analyst forecasts on Tatton Asset Management Plc stock, see the GB:TAM Stock Forecast page.

Tatton Asset Management Fully Utilises Block Listing for 2022 SAYE Scheme

Tatton Asset Management has provided an update on its existing block listing arrangements for shares issued under its 2022 Save As You Earn (SAYE) employee share scheme, confirming that all 19,929 previously unallotted securities covered by the block admission were issued or allotted during the period from 1 September 2025 to 30 January 2026, leaving no remaining balance under this specific block scheme. The update, which relates to the original admission of 45,046 ordinary shares on 1 September 2025, indicates that the current SAYE block admission capacity has now been fully utilised, signalling the completion of this tranche of employee share option exercises and associated share issuance under the 2022 scheme.

The most recent analyst rating on (GB:TAM) stock is a Buy with a £741.00 price target. To see the full list of analyst forecasts on Tatton Asset Management Plc stock, see the GB:TAM Stock Forecast page.

Tatton CEO’s Associate Increases Stake, Lifting Executive Holding to Nearly 15%

Tatton Asset Management plc has disclosed that Judith Hogarth, a person closely associated with chief executive Paul Hogarth, has purchased 1,528 ordinary shares in the company at a price of 654.24p per share. Following this transaction, Paul Hogarth’s total interest has risen to 9,086,227 ordinary shares, representing 14.82% of the company’s issued share capital, signalling continued strong insider alignment with shareholders and confidence in the group’s prospects.

The most recent analyst rating on (GB:TAM) stock is a Buy with a £744.00 price target. To see the full list of analyst forecasts on Tatton Asset Management Plc stock, see the GB:TAM Stock Forecast page.

Tatton Asset Management’s CIO Executes Strategic Share Transfer

Tatton Asset Management Plc announced a transaction involving its Chief Investment Officer, Lothar Mentel, who transferred shares from a General Investment Account to an Individual Savings Account. This transaction, conducted on the London Stock Exchange’s AIM market, reflects a strategic move by a key executive, potentially impacting the company’s stock dynamics and stakeholder perceptions.

The most recent analyst rating on (GB:TAM) stock is a Buy with a £875.00 price target. To see the full list of analyst forecasts on Tatton Asset Management Plc stock, see the GB:TAM Stock Forecast page.