Is Now The Time To Look At Buying Fintel Plc (LON:FNTL)?

Fintel Plc (LON:FNTL) has been making waves in the UK retail financial services sector, with a strong performance in 2024 and a promising outlook for 2025. As an investor, you might be wondering if now is the right time to consider buying shares in this growing fintech company. Let's dive into the key financial metrics, trends, and market position of Fintel Plc to help you make an informed decision.

Market Capitalization and Enterprise Value:

* Market Cap: £287.57 million (as of March 3, 2025)
* Enterprise Value: £297.87 million
* Fintel's market cap has increased by 10.12% in one year, indicating a positive trend in investor sentiment.

Revenue and Revenue Growth:

* Revenue: £68.90 million (for the last twelve months)
* Revenue growth: 4.39% year-over-year (YoY)
* First-half revenue for the year ending June 30, 2024, was £35.70 million, representing a 13% increase compared to the same period in the previous year.

Earnings and Earnings Growth:

* EPS growth forecast for 2025: 16%
* Cash profit: £9.6 million (for the first half of 2024), representing a 7% rise compared to the same period in the previous year.

Acquisitions and Strategic Growth:

* Fintel completed four strategic acquisitions in 2024, including Threesixty Services, ifaDASH, Owen James, and Synaptic Software, which strengthened its technology and data capabilities.
* The acquisition of Rayner Spencer Mills Research (RSMR) is expected to contribute about £0.5 million in EBITDA for 2025.



Balance Sheet and Liquidity:

* Cash: £6.3 million (as of December 31, 2024)
* Available credit: £50 million (under a £80 million Revolving Credit Facility)
* Net debt position: £23.7 million (as of December 31, 2024), representing comfortable leverage of 1.1x EBITDA.

Fintel Plc's strong financial performance, strategic acquisitions, and positive outlook position it well for future growth in the fragmented retail financial services market. However, it's essential to consider the potential impact of macroeconomic uncertainties and regulatory changes on the company's performance.

In conclusion, Fintel Plc's recent performance and growth prospects make it an attractive investment opportunity. However, it's crucial to weigh the potential risks and uncertainties before making a decision. As always, consult with a financial advisor to determine if Fintel Plc is the right investment for your portfolio.