3 Promising UK Penny Stocks With Under £700M Market Cap
Name
Share Price
Market Cap
Financial Health Rating
FRP Advisory Group (AIM:FRP)
£1.17
£290.22M
★★★★★☆
Foresight Group Holdings (LSE:FSG)
£4.00
£449.8M
★★★★★★
Warpaint London (AIM:W7L)
£4.04
£326.38M
★★★★★★
Stelrad Group (LSE:SRAD)
£1.49
£189.76M
★★★★★☆
Ultimate Products (LSE:ULTP)
£0.768
£64.61M
★★★★★☆
Van Elle Holdings (AIM:VANL)
£0.385
£41.66M
★★★★★★
Polar Capital Holdings (AIM:POLR)
£4.39
£423.25M
★★★★★★
Begbies Traynor Group (AIM:BEG)
£1.07
£170.7M
★★★★★★
Croma Security Solutions Group (AIM:CSSG)
£0.86
£11.84M
★★★★★★
Braemar (LSE:BMS)
£2.33
£72.73M
★★★★★★
Click here to see the full list of 411 stocks from our UK Penny Stocks screener.
Let's dive into some prime choices out of the screener.
Simply Wall St Financial Health Rating: ★★★★★★
Overview: ITM Power Plc designs and manufactures proton exchange membrane (PEM) electrolysers, operating in the United Kingdom, Germany, Australia, the rest of Europe, and the United States with a market cap of £507.48 million.
Operations: The company's revenue is primarily derived from its Electric Equipment segment, generating £23.16 million.
Market Cap: £507.48M
ITM Power, with a market cap of £507.48 million, is currently unprofitable but has promising prospects in the green hydrogen sector. Recent agreements to supply electrolysers for projects in APAC and Europe highlight its potential for revenue growth, supported by raised guidance for 2025 revenues between £25.5 million and £26.5 million. The company remains debt-free with sufficient cash runway exceeding three years, though it faces challenges like a volatile share price and negative return on equity. The appointment of Jürgen Nowicki as Non-Executive Chair may strengthen strategic direction given his industry expertise.
Unlock comprehensive insights into our analysis of ITM Power stock in this financial health report.
Gain insights into ITM Power's future direction by reviewing our growth report.
Simply Wall St Financial Health Rating: ★★★★★★
Overview: James Halstead plc is a manufacturer and supplier of flooring products for commercial and domestic markets across the UK, Europe, Scandinavia, Australasia, Asia, and internationally with a market cap of £666.86 million.
Operations: The company's revenue is derived entirely from the manufacture and distribution of flooring products, totaling £268.52 million.
Market Cap: £666.86M
James Halstead, with a market cap of £666.86 million, has demonstrated financial stability despite recent earnings decline. The company maintains high-quality earnings and a strong return on equity at 24.1%, while its debt is well-covered by operating cash flow, indicating robust financial health. Recent results show stable net income growth and an increased interim dividend by 10%, reflecting shareholder value focus. Despite challenges like negative short-term earnings growth and an inexperienced management team, the company's low price-to-earnings ratio suggests it might offer good value relative to the broader UK market.
Take a closer look at James Halstead's potential here in our financial health report.
Explore James Halstead's analyst forecasts in our growth report.
Simply Wall St Financial Health Rating: ★★★★★☆
Overview: Spectra Systems Corporation invents, develops, and sells integrated optical systems both in the United States and internationally, with a market cap of £111.44 million.
Operations: Spectra Systems generates revenue through three main segments: Security Printing ($16.28 million), Software Security ($1.96 million), and Physical and Software Authentication ($30.96 million).
Market Cap: £111.44M
Spectra Systems, with a market cap of £111.44 million, showcases strong financial health and growth potential in the penny stock sector. The company reported significant revenue growth to US$49.19 million for 2024, up from US$20.29 million the previous year, with net income rising to US$8.52 million. It maintains high-quality earnings and a robust return on equity at 23.4%. Spectra's debt is well-covered by operating cash flow and interest payments are comfortably managed by EBIT, indicating sound fiscal management despite increased debt levels over five years. Recent executive changes include appointing Kevin Richards as Finance Director, enhancing financial oversight capabilities.
Dive into the specifics of Spectra Systems here with our thorough balance sheet health report.
Assess Spectra Systems' future earnings estimates with our detailed growth reports.
Embark on your investment journey to our 411 UK Penny Stocks selection here.
Interested In Other Possibilities? Rare earth metals are the new gold rush. Find out which 24 stocks are leading the charge.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include AIM:ITM AIM:JHD and AIM:SPSY.
This article was originally published by Simply Wall St.
Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@simplywallst.com
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