Data analytics and market research business YouGov (YOU:AIM) continues to impress as speculation builds over a potential move to a US listing.

While the shares are still some way off reclaiming the all-time highs seen in December 2021, they are on a strong upward trajectory with confidence in the firm’s growth prospects underpinned by an in-line first-half trading update at the beginning of February.

Commenting on the release, Berenberg analyst Ciaran Donnelly flagged the sequential improvement from the first quarter to the second quarter and reported sales momentum in the technology space as positive signs.

The company outlined plans to grow its revenue to £500 million and achieve an EBIT (earnings before interest and tax) margin of 25% over the medium term in May 2023. For context, in the year to 31 July 2023 revenue stood at £258 million with an EBIT margin of 18.7%.

The €315 million acquisition of the consumer panel services arm of GfK, which completed in January, is a major step towards achieving these goals. This business, which encouragingly is trading ahead of expectations, has 1,100 clients, 70% of which are not existing YouGov customers, highlighting the scale of the cross-selling opportunity. 

‹ Previous2024-02-22Next ›