Added to YB: 2025-07-30
Pitch date: 2025-07-28
MER.L [bullish]
Mears Group plc
-1.69%
current return
Author Info
No bio for this author
Company Info
Mears Group plc, together with its subsidiaries, provides various outsourced services to the public and private sectors in the United Kingdom.
Market Cap
GBP 336.0M
Pitch Price
GBP 3.76
Price Target
N/A
Dividend
4.12%
EV/EBITDA
3.82
P/E
7.95
EV/Sales
0.48
Sector
Commercial Services and Supplies
Category
value
Mears Group: Essential Services at a Deep Discount
MER.L: UK housing maintenance co w/ £3bn order book (3x coverage). 2024: £1.13B rev, £72.6M EBIT (5.6% margin), £64.1M PBT. Strong FY25 guidance (EBIT >£54M). £40M buybacks, 16p dividend (+23% YoY). 4.9x 2025e EBIT (40-50% discount to peers). Catalysts: Aug results, autumn renewals. Risks: UK budget cuts, wage inflation. >10% FCF yield.
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