Numis Corporation (LSE: NUM)

Currency in GBP

Last close As at 26/01/2023

GBP2.10

0.50 (0.24%)

Market capitalisation

GBP230m

Numis is one of the UK’s leading independent investment banking groups, offering a full range of research, execution, equity capital markets, corporate broking and advisory services. At end-September 2022, it employed 336 staff in offices in London, Dublin and New York and had 176 corporate clients.

The near-term outlook is generally subdued given market volatility and the uncertain outlook. The M&A advisory area remains more active and was advising on nine announced public bids with an average transaction value of £1.5bn. On a longer view the group’s existing franchise, continued focus on developing its client base and expanding internationally and into complementary areas should underpin its performance through market cycles. Numis’s FY22 results are due on 8 December.

Sector

Financials

Equity Analyst

Andrew Mitchell

Andrew Mitchell

Director, Financials

Key Management

  • Alexander Ham

    Co-Chief Executive Officer and Director

  • Andrew Holloway

    Chief Financial Officer and Company Secretary

  • Ross Mitchinson

    Co-Chief Executive Officer and Director

Balance Sheet

Forecast net cash (£m)

109.1

Forecast gearing ratio (%)

N/A

Share Price Performance

Price Performance
% 1M 3M 12M
Actual 8.6 21.5 (32.3)
Relative 4.5 9.9 (33.9)
52 week high/low 322.0p/170.4p

Financials

There is no real sign of an improvement in capital markets activity and therefore the near-term trading background for Numis and its peers. However, Numis is reaping the benefits of its investment in building its mergers and acquisition (M&A) activity, which delivered strongly in FY22 and has a good pipeline. The group remains committed to developing its franchise with selective investment, which should help diversify revenues further and support its growth through market fluctuations.

Y/E Sep Revenue (£m) EBITDA (£m) PBT (£m) EPS (fd) (p) P/E (x) P/CF (x)
2021A 215.6 72.3 74.2 49.1 4.3 4.2
2022A 144.2 25.6 20.9 11.9 17.6 205.7
2023E 151.8 28.7 24.0 16.8 12.5 7.3
2024E N/A N/A N/A N/A N/A N/A

Thematics

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