Ashmore Group And 2 Other UK Penny Stocks To Watch For Growth

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The London stock market has recently experienced a downturn, with the FTSE 100 and FTSE 250 indices closing lower amid concerns over weak trade data from China, highlighting global economic challenges. Despite these broader market pressures, certain investment opportunities remain attractive, particularly in the realm of penny stocks. Though often considered a niche area, penny stocks can offer significant growth potential when backed by strong financials. In this article, we explore three UK penny stocks that may present promising prospects for investors seeking hidden value in quality companies.

Top 10 Penny Stocks In The United Kingdom

Name

Share Price

Market Cap

Financial Health Rating

ME Group International (LSE:MEGP)

£2.155

£811.93M

★★★★★★

Next 15 Group (AIM:NFG)

£4.05

£402.8M

★★★★☆☆

Secure Trust Bank (LSE:STB)

£3.56

£67.89M

★★★★☆☆

Ultimate Products (LSE:ULTP)

£1.255

£107.11M

★★★★★★

Serabi Gold (AIM:SRB)

£0.925

£70.05M

★★★★★★

Supreme (AIM:SUP)

£1.65

£192.41M

★★★★★★

Luceco (LSE:LUCE)

£1.27

£195.87M

★★★★★☆

Stelrad Group (LSE:SRAD)

£1.41

£179.57M

★★★★★☆

Integrated Diagnostics Holdings (LSE:IDHC)

$0.3955

$229.91M

★★★★★★

Tristel (AIM:TSTL)

£4.40

£209.85M

★★★★★★

Click here to see the full list of 464 stocks from our UK Penny Stocks screener.

Underneath we present a selection of stocks filtered out by our screen.

Ashmore Group

Simply Wall St Financial Health Rating: ★★★★★★

Overview: Ashmore Group plc is a publicly owned investment manager with a market cap of £1.13 billion.

Operations: The company generates £186.8 million from its investment management services segment.

Market Cap: £1.13B

Ashmore Group, with a market cap of £1.13 billion, demonstrates financial stability through its debt-free status and strong asset coverage for liabilities. The company reported net income growth to £93.7 million, up from £83.3 million the previous year, despite a slight revenue decline to £189.3 million. Its experienced management team and board bolster confidence in governance quality. However, earnings are forecasted to decline by 4.9% annually over the next three years, posing potential challenges ahead. While Ashmore's dividend yield is high at 9.88%, it's not well-covered by earnings or free cash flows, indicating sustainability concerns.

LSE:ASHM Debt to Equity History and Analysis as at Nov 2024
LSE:ASHM Debt to Equity History and Analysis as at Nov 2024

Breedon Group

Simply Wall St Financial Health Rating: ★★★★☆☆

Overview: Breedon Group plc operates in the quarrying, manufacture, and sale of construction materials and building products primarily in the UK, Republic of Ireland, and internationally, with a market cap of £1.60 billion.