Marex Group plc (MRX) AI Stock Analysis

• Market Cap: $2.19B
• Dividend Yield: 1.73%
• Average Volume (3M): 1.13M
• Price to Earnings (P/E): 10.4
• Beta (1Y): 0.44
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 2,425
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): 0.96
• Shares Outstanding: 71,231,705
• 10 Day Avg. Volume: 1,125,192
• 30 Day Avg. Volume: 1,129,916
• PEG Ratio: 0.22
• Price to Book (P/B): 2.56
• Price to Sales (P/S): 0.86
• P/FCF Ratio: 2.18
• Enterprise Value/Market Cap: -0.35
• Enterprise Value/Revenue: -0.29
• Enterprise Value/Gross Profit: -0.65
• Enterprise Value/Ebitda: -1.38
• 1Y Price Target: $50.60
• Price Target Upside: 45.03% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: $36.00 ▲(3.18% Upside)

Marex Group plc's strong financial performance and positive earnings call sentiment are key strengths, driving the stock's overall score. However, technical analysis indicates bearish trends, and cash flow challenges pose potential risks. The stock's reasonable valuation and dividend yield provide additional support.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, supporting long-term financial stability.

Strategic Expansion

Strategic expansion in key segments enhances market position and diversifies revenue streams, bolstering future growth prospects.

Management Confidence

Leadership's increased shareholding reflects confidence in the company's growth trajectory, positively influencing investor sentiment.

Negative Factors

Cash Flow Challenges

Significant cash flow decline raises concerns about liquidity and the ability to fund operations and investments without external financing.

High Liabilities

High liabilities can strain financial resources and limit flexibility, posing risks if not managed effectively over the long term.

Market Making Challenges

Declining revenues in Market Making indicate potential difficulties in maintaining competitive advantage in this segment.

Marex Group plc Business Overview & Revenue Model

Company Description

Marex Group plc (MRX) is a leading global commodities broker and financial services firm headquartered in London, specializing in providing a wide range of services across various sectors including commodities, financial derivatives, and institutional trading. The company offers expertise in areas such as energy, metals, and agricultural products, facilitating trading and risk management solutions for clients ranging from producers and consumers to financial institutions.

How the Company Makes Money

Marex Group generates revenue primarily through transaction fees and commissions from its brokerage services, where it acts as an intermediary between buyers and sellers in various commodity markets. Key revenue streams include trading commissions from institutional clients, fees from advisory services, and income from proprietary trading activities. Additionally, the company benefits from strategic partnerships with other financial institutions, enhancing its trading capabilities and market reach. The firm's strong reputation and expertise in the commodities sector also allow it to attract a diverse client base, contributing to its overall earnings.

Marex Group plc Financial Statement Overview

Summary

Marex Group plc shows strong revenue growth and improved profitability, with a robust income statement performance. The balance sheet reflects enhanced equity strength and a favorable debt-to-equity ratio, though high liabilities require careful management. Cash flow challenges, particularly in operating cash flow, highlight potential liquidity issues that need attention.

Income Statement

Marex Group plc demonstrates strong revenue growth with a significant increase from $1.01B in 2022 to $2.36B in 2024. The company's gross profit margin remains high at 100% due to the equivalent gross profit and total revenue figures, indicating efficient cost management. The net profit margin improved to 9.25% in 2024 from 6.80% in 2023, showcasing enhanced profitability. The EBIT margin also reflects significant improvement, highlighting effective operational management. However, the absence of EBITDA data for 2024 limits the comprehensive assessment of operational performance.

Balance Sheet

The balance sheet reflects a solid financial position with increasing stockholders' equity, reaching $976.9M in 2024. The debt-to-equity ratio improved substantially, indicating a stronger equity position relative to debt. The equity ratio improved to 4.02% in 2024 from 3.69% in 2023, suggesting enhanced financial stability. However, the company operates with a high level of total liabilities relative to assets, which could pose potential risks if not managed carefully.

Cash Flow

Cash flow analysis reveals a significant decline in operating cash flow from $735M in 2023 to zero in 2024, raising concerns about cash generation capabilities. Free cash flow has also dropped to zero in 2024, indicating potential challenges in funding operations and investments internally. The absence of cash flow data for EBITDA and operating activities in 2024 further limits the ability to fully assess cash flow health.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.65B	2.89B	2.35B	1.18B	851.70M	757.53M
Gross Profit	1.19B	1.29B	1.69B	862.30M	825.30M	757.53M
EBITDA	559.90M	865.80M	705.40M	284.30M	106.60M	18.56M
Net Income	191.80M	218.00M	128.00M	91.60M	56.50M	43.82M
Balance Sheet
Total Assets	31.19B	24.31B	17.61B	15.74B	5.26B	3.77B
Cash, Cash Equivalents and Short-Term Investments	6.91B	5.21B	4.73B	3.22B	758.30M	291.55M
Total Debt	8.55B	6.14B	5.39B	5.73B	1.29B	246.76M
Total Liabilities	30.08B	23.34B	16.84B	15.07B	4.79B	3.32B
Stockholders Equity	1.11B	976.90M	775.90M	677.70M	477.70M	443.79M
Cash Flow
Free Cash Flow	1.62B	1.14B	722.90M	216.20M	463.50M	-49.14M
Operating Cash Flow	1.64B	1.16B	735.00M	225.60M	470.80M	-45.78M
Investing Cash Flow	-92.70M	-35.30M	-97.60M	-46.30M	-19.80M	-31.05M
Financing Cash Flow	-113.80M	-37.20M	-72.80M	26.50M	-27.20M	150.88M

Marex Group plc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 34.89
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MRX, the sentiment is Positive. The current price of 34.89 is above the 20-day moving average (MA) of 31.43, above the 50-day MA of 32.16, and below the 200-day MA of 36.69, indicating a neutral trend. The MACD of 0.59 indicates Negative momentum. The RSI at 68.04 is Neutral, neither overbought nor oversold. The STOCH value of 93.73 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MRX.

Marex Group plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MRX	73 Outperform	$2.19B	10.39	―	1.73%	―	―
ETOR	72 Outperform	$3.16B	―	―	―	―	―
TIGR	69 Neutral	$1.89B	16.11	18.77%	―	58.88%	305.98%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
FUFU	66 Neutral	$476.27M	7.67	38.27%	―	39.84%	-10.81%
OPY	58 Neutral	$705.29M	9.06	9.64%	1.03%	12.52%	16.53%
PWP	53 Neutral	$1.66B	23.13	―	1.55%	-12.44%	―

Marex Group plc Corporate Events

Marex Group Reports Strong Q3 2025 Results Amid Strategic Growth

On November 6, 2025, Marex Group plc announced strong financial results for the third quarter of 2025, with revenue reaching $485 million and adjusted profit before tax increasing by 25% year-on-year to $101 million. The company’s performance highlights the success of its diversification strategy, particularly in its Prime services business, and reflects a robust growth trajectory despite a challenging operating environment. Marex also continued its disciplined M&A strategy with acquisitions like Winterflood Securities and Valcourt, enhancing its market presence and capabilities.

Marex Executives Increase Stake with Share Purchases

On October 15, 2025, Marex Group plc announced that its directors and officers, including CEO Ian Lowitt and Chief Strategist Paolo Tonucci, have purchased additional ordinary shares in the company, reflecting their confidence in Marex’s growth prospects. This follows similar purchases by other executives and former board members, emphasizing the leadership’s belief in the company’s future potential and solidifying their collective ownership to over 7% of the company.

Marex CEO Increases Stake with Recent Share Purchase

On October 13, 2025, Marex Group plc announced that its CEO, Ian Lowitt, purchased 32,465 ordinary shares in the company, increasing his total holdings to 2,615,016 shares. This move underscores the CEO’s confidence in the company’s future prospects and may positively influence stakeholder perception and market confidence.

Marex Group Reports Strong Q3 2025 Preliminary Results Amid Market Challenges

On October 8, 2025, Marex Group plc announced a strong preliminary trading update for the third quarter of 2025, reporting expected revenues between $475 million and $485 million, marking a 23% year-over-year increase at the midpoint. The company also anticipates an adjusted profit before tax ranging from $96 million to $101 million, reflecting a 22% rise year-over-year. Despite challenging market conditions with reduced exchange volumes, Marex has demonstrated resilience and growth, with average clearing client balances increasing by 4% to $13.3 billion. The company also achieved a record of over $10 billion in US client assets, highlighting its robust market positioning and ongoing client acquisition momentum.

Marex Group Reports Strong Q2 2025 Financial Results

On August 13, 2025, Marex Group plc announced its financial results for the second quarter of 2025, reporting a strong performance with nearly $1 billion in revenue and a record $203 million in Adjusted Profit Before Tax, marking a 27% increase from the previous year. The company’s strategic acquisitions, including the Prime Services business from TD Cowen and Agrinvest, have significantly contributed to its earnings growth, while its diversified platform has driven revenue increases across various sectors. Marex’s robust financial results underscore its effective strategy execution and promising future prospects.