Close Brothers Group plc (CBGPY)
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
Close Brothers Group plc (CBGPY) trades at $11.16 with AI Score 46/100 (Grade C). Close Brothers Group plc is a UK-based merchant banking company providing financial services to small businesses and individuals. Market cap: $833.67M, Sector: Financial services.
Price live · AI analysis from Mar 16, 2026Analyst Coverage for CBGPY: CBGPY does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates CBGPY against Financial Services peers across nine fundamental dimensions and assigns an underweight signal based on the underlying data.
CBGPY: the 1 perspectives are evenly split.
How is this calculated? →Close Brothers Group plc (CBGPY) Financial Services Profile
Close Brothers Group plc, established in 1878, is a UK-based merchant banking group providing financial services to small businesses and individuals through commercial, retail, property, asset management, and securities divisions. The company offers diverse financial solutions, including savings products, asset finance, and investment management, primarily within the United Kingdom.
What Is the Investment Thesis for CBGPY?
Close Brothers Group plc presents a mixed investment case. While the company's established presence in the UK financial services market and diversified business model offer stability, its recent negative profit margin of -8.7% raises concerns. Growth catalysts include expansion of its asset management services and leveraging its expertise in niche lending markets. However, potential risks include the impact of economic uncertainty in the UK and increased regulatory scrutiny. Investors should closely monitor the company's ability to improve profitability and navigate the evolving financial landscape. The company's beta of 1.18 suggests a higher volatility compared to the market.
Based on FMP financials and quantitative analysis
CBGPY Key Highlights
- Close Brothers Group operates through five segments: Commercial, Retail, Property, Asset Management, and Securities, providing diversification.
- The company offers a gross margin of 66.6%, indicating strong profitability in its core operations.
- Close Brothers Group provides financial services to small businesses and individuals in the United Kingdom, focusing on a specific market segment.
- The company's beta of 1.18 suggests a higher volatility compared to the market.
- Close Brothers Group has a market capitalization of $833.67M.
Who Are CBGPY's Competitors?
CBGPY is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| AELIY Anadolu Hayat Emeklilik Anonim Sirketi | $7.91 | -3.77% | $850.33M | 59 |
| CEVIY China Everbright Limited | $7.35 | +36.11% | $1.24B | 51 |
| CNSRF CoinShares International Limited | $3.94 | -2.59% | $258.55M | 61 |
| EFGZF EFG Holding S.A.E. Sponsored GDR RegS | $0.51 | +0.00% | $720.21M | 56 |
| FMBL Farmers & Merchants Bank of Long Beach | $9225.00 | +0.27% | $1.12B | 58 |
| IREN IREN Limited | $43.70 | +12.58% | $15.60B | 70 |
| DOMH Dominari Holdings Inc. | $2.96 | +0.51% | $47.60M | 65 |
| DEFT DeFi Technologies Inc. | $0.53 | -0.83% | $171.18M | 65 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are CBGPY's Key Strengths?
- Diversified business model across multiple financial services segments.
- Established presence in the UK financial services market.
- Strong capital base and risk management practices.
- Expertise in niche lending markets.
What Are CBGPY's Weaknesses?
- Recent negative profit margin raises concerns about profitability.
- Exposure to economic uncertainty in the UK.
- Dependence on the UK market for revenue.
- Limited international presence.
What Could Drive CBGPY Stock Higher?
- Expansion of asset management services to capture growing wealth management demand.
- Digital transformation to improve efficiency and customer experience.
- Potential strategic acquisitions to expand product offerings and market reach (timeline: next 3-5 years).
- Leveraging niche lending expertise in aviation and marine finance.
What Are the Key Risks for CBGPY?
- Financial-distress signal — its Altman Z-Score of 0.38 sits in the distress zone (elevated bankruptcy risk).
- Negative return on equity (-2.0%) — the business is not currently generating profit on shareholder capital.
- Economic downturn in the UK impacting lending activities.
- Increased regulatory scrutiny and compliance costs.
- Competition from larger financial institutions.
- Disruptive technologies and fintech companies challenging traditional business models.
- Currency risk due to fluctuations in the exchange rate between the U.S. dollar and the British pound.
What Are the Growth Opportunities for CBGPY?
- Expansion of Asset Management Services: Close Brothers Group can capitalize on the growing demand for wealth management and financial planning services in the UK. The market for asset management is projected to reach $2 trillion by 2028, driven by an aging population and increasing affluence. By expanding its range of investment products and enhancing its digital platform, Close Brothers can attract new clients and increase its assets under management. This expansion can be achieved within the next 3-5 years.
- Leveraging Niche Lending Expertise: Close Brothers Group has developed expertise in niche lending markets, such as aviation and marine finance. These markets offer higher margins and less competition compared to traditional lending. By expanding its presence in these specialized areas, Close Brothers can generate attractive returns and diversify its lending portfolio. The global market for aviation finance is expected to reach $250 billion by 2027, presenting a significant opportunity for Close Brothers. This expansion can be pursued over the next 2-4 years.
- Digital Transformation: Investing in digital technologies can improve efficiency, enhance customer experience, and expand the company's reach. By developing a user-friendly online platform and mobile app, Close Brothers can attract younger customers and streamline its operations. The adoption of digital banking is increasing rapidly in the UK, with over 70% of adults using online banking services. This transformation can be implemented within the next 1-3 years.
- Strategic Acquisitions: Close Brothers Group can pursue strategic acquisitions to expand its product offerings, enter new markets, or consolidate its position in existing markets. The financial services industry is undergoing consolidation, creating opportunities for acquisitions. By acquiring complementary businesses, Close Brothers can achieve synergies and accelerate its growth. Potential acquisition targets include smaller asset management firms or specialized lenders. This strategy can be executed over the next 3-5 years.
- Geographic Expansion within the UK: While Close Brothers Group primarily operates in the UK, there are opportunities to expand its presence in underserved regions. By opening new branches or partnering with local businesses, Close Brothers can reach new customers and increase its market share. The UK regional banking market is characterized by fragmented competition, creating opportunities for expansion. This expansion can be pursued over the next 2-4 years.
What Opportunities Does CBGPY Have?
- Expansion of asset management services to capture growing wealth management demand.
- Leveraging niche lending expertise in aviation and marine finance.
- Digital transformation to improve efficiency and customer experience.
- Strategic acquisitions to expand product offerings and market reach.
What Threats Does CBGPY Face?
- Increased regulatory scrutiny and compliance costs.
- Competition from larger financial institutions.
- Economic downturn in the UK impacting lending activities.
- Disruptive technologies and fintech companies challenging traditional business models.
What Are CBGPY's Competitive Advantages?
- Established brand reputation and long-standing relationships with clients.
- Expertise in niche lending markets, such as aviation and marine finance.
- Diversified business model with multiple revenue streams.
- Strong capital base and risk management practices.
What Does CBGPY Do?
Founded in 1878, Close Brothers Group plc has evolved into a prominent merchant banking company in the United Kingdom. The company provides a range of financial services to small businesses and individuals, operating through five key segments: Commercial, Retail, Property, Asset Management, and Securities. The Commercial division offers asset finance, asset-based lending, commercial vehicle hire, and invoice discounting. The Retail division focuses on savings products, including personal and business savings accounts and pension deposits. The Property division provides short-term bridging finance and property finance products. The Asset Management division delivers financial education, investment management, and financial planning services. The Securities division offers liquidity and execution services to retail stockbrokers, wealth managers, and institutional investors. Close Brothers Group plc is headquartered in London and serves clients primarily within the United Kingdom. With a history spanning over a century, the company has established itself as a key player in the UK financial services sector, focusing on building long-term relationships with its clients.
What Products and Services Does CBGPY Offer?
- Provides commercial finance solutions to small and medium-sized enterprises (SMEs).
- Offers retail banking services, including savings accounts and personal loans.
- Provides property finance for commercial and residential developments.
- Offers asset management services, including investment management and financial planning.
- Provides securities trading and brokerage services to institutional and retail clients.
- Offers funding services for general aviation aircraft, and various leisure and commercial vessels.
How Does CBGPY Make Money?
- Generates revenue through interest income from lending activities.
- Earns fees from asset management and financial planning services.
- Receives commissions from securities trading and brokerage services.
- Profits from the difference between deposit rates and lending rates (net interest margin).
What Industry Does CBGPY Operate In?
Close Brothers Group plc operates within the competitive UK financial services market. This market is characterized by established players and increasing regulatory oversight. The company's focus on small businesses and individuals positions it within a specific niche, differentiating it from larger universal banks. The UK financial services sector is subject to economic cycles and regulatory changes, impacting the performance of companies like Close Brothers Group. The market is also seeing increased demand for digital financial services and personalized financial advice.
Who Are CBGPY's Key Customers?
- Small and medium-sized enterprises (SMEs) seeking commercial finance.
- Individuals looking for savings accounts and personal loans.
- Property developers requiring finance for commercial and residential projects.
- Institutional investors seeking securities trading and brokerage services.
- High-net-worth individuals seeking asset management and financial planning services.
Close Brothers Group plc (CBGPY) Valuation Context
Valued at $833.67M, CBGPY is classified as a small-cap stock. Relative to its peer group, CBGPY's quantitative score of 46/100 is below the peer average of 57/100.
CBGPY Revenue & Earnings Trend
In Q1 2026, CBGPY generated $350.5M in top-line revenue, marking a sequential increase of 18.1%. The company recorded a net loss of $63.0M, with diluted EPS of $-0.98. Quarter-over-quarter revenue has been mixed, typical for a small-cap company operating in Financial Services. Across the four most recent quarters, CBGPY averaged $-0.47 in diluted EPS.
Company Profile
Close Brothers Group plc operates in the Financial - Capital Markets industry within the Financial Services sector. It is headquartered in London, GB. The company is led by CEO Michael Bartlett Morgan. CBGPY has traded publicly since 2010.
ROE -2%Key Financial Metrics
Return on equity for Close Brothers Group plc stands at -2.0%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is -0.2%, showing how much profit it generates from its asset base. Its free cash flow yield is 63.9%, a gauge of the cash the business throws off relative to its market value. A current ratio of 2.77 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is -5.0%, the inverse of the P/E and a quick read on earnings relative to price.
F-Score 4/9Financial Health
Close Brothers Group plc's Piotroski F-Score is 4/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 0.38 places it in the distress zone, a signal of elevated financial risk.
FY2026 estForward Outlook
Wall Street analysts project Close Brothers Group plc revenue of about $642.4M for fiscal 2026, with EPS near $0.00. The estimate reflects 6 contributing analysts.
CBGPY Financials
Fundamental Snapshot
Based on FMP financials and quantitative analysis · FY 2025
Bull Case vs Bear Case
Bull Case
- Diversified business model across multiple financial services segments.
- Established presence in the UK financial services market.
- Strong capital base and risk management practices.
- Expertise in niche lending markets.
Bear Case
- Recent negative profit margin raises concerns about profitability.
- Exposure to economic uncertainty in the UK.
- Dependence on the UK market for revenue.
- Limited international presence.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · July 2026
Recent Quarterly Results
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $350M | -$63M | -$0.98 |
| Q3 2025 | $297M | $34M | $0.40 |
| Q1 2025 | $385M | -$112M | -$1.72 |
| Q3 2024 | $458M | $32M | $0.42 |
Based on FMP financials and quantitative analysis
CBGPY Latest News
No recent news available for CBGPY.
CBGPY Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for CBGPY.
Price Targets
Wall Street price target analysis for CBGPY.
CBGPY MoonshotScore
What does this score mean?
The MoonshotScore rates CBGPY's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Leadership: Michael Bartlett Morgan
Unknown
Information about Michael Bartlett Morgan's background is not available in the provided data. Therefore, a detailed biography cannot be constructed. However, it is known that he is managing 3000 employees at Close Brothers Group plc.
Track Record: Information about Michael Bartlett Morgan's track record is not available in the provided data. Therefore, key achievements, strategic decisions, and company milestones under his leadership cannot be assessed.
Close Brothers Group plc ADR Information Unsponsored
An American Depositary Receipt (ADR) is a certificate representing shares of a foreign company that trades on U.S. stock exchanges. CBGPY, as an ADR, allows U.S. investors to invest in Close Brothers Group plc without the complexities of cross-border transactions. The ADR is denominated in U.S. dollars, simplifying trading and settlement.
- Home Market Ticker: London Stock Exchange, United Kingdom
- ADR Level: 1
- ADR Ratio: 1:1
- Home Market Ticker: CBGP
CBGPY OTC Market Information
The OTC Other tier represents the lowest tier of the over-the-counter (OTC) market. Companies trading on this tier typically have limited reporting requirements and may not meet the listing standards of major exchanges like the NYSE or NASDAQ. Investing in companies on the OTC Other tier carries higher risks due to the lack of regulatory oversight and transparency compared to listed companies.
- OTC Tier: OTC Other
- Disclosure Status: Unknown
- Limited regulatory oversight and transparency compared to listed companies.
- Potential for illiquidity and price volatility.
- Higher risk of fraud or manipulation.
- Limited availability of financial information.
- Dependence on market makers for trading.
- Verify the company's registration and legal status.
- Obtain and review available financial reports.
- Assess the company's business model and competitive landscape.
- Evaluate the management team and their track record.
- Understand the risks associated with investing in OTC stocks.
- Consult with a financial advisor.
- Consider the potential for illiquidity and price volatility.
- Established presence in the UK financial services market.
- Operations regulated by UK financial authorities.
- Audited financial statements (if available).
- Positive news coverage and analyst reports (if available).
- Long operating history.
Close Brothers Group plc Financial Services Stock: Key Questions Answered
What does Close Brothers Group plc do?
Close Brothers Group plc is a UK-based merchant banking company providing a range of financial services to small businesses and individuals. The company operates through five segments: Commercial, Retail, Property, Asset Management, and Securities. Its services include asset finance, commercial lending, savings accounts, investment management, and securities trading. The company focuses on building long-term relationships with its clients and providing tailored financial solutions.
What are the main risks for CBGPY?
Close Brothers Group plc faces several risks, including economic uncertainty in the UK, increased regulatory scrutiny, competition from larger financial institutions, and disruptive technologies. The company's recent negative profit margin also raises concerns about its profitability. Additionally, as an ADR, CBGPY is subject to currency risk due to fluctuations in the exchange rate between the U.S. dollar and the British pound. Investors should carefully consider these risks before investing in CBGPY.
How does Close Brothers Group plc make money in financial services?
Close Brothers Group plc generates revenue through a variety of channels within its five operating segments. Interest income from lending activities, including asset finance and commercial lending, forms a significant portion of revenue. The company also earns fees from asset management and financial planning services, as well as commissions from securities trading and brokerage services. The net interest margin, representing the difference between deposit rates and lending rates, contributes to overall profitability.
What regulatory challenges does Close Brothers Group plc face?
Close Brothers Group plc operates within a highly regulated financial environment in the United Kingdom. The company is subject to regulatory oversight from the Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA). These regulatory bodies impose capital requirements, compliance standards, and reporting obligations on Close Brothers Group plc. Changes in regulations, such as those related to capital adequacy or consumer protection, can impact the company's operations and profitability. Compliance costs and the potential for regulatory penalties represent ongoing challenges for Close Brothers Group plc.
What are the key factors to evaluate for CBGPY?
Close Brothers Group plc (CBGPY) holds an AI score of 46/100 (low). Not financial advice.
How frequently does CBGPY data refresh on this page?
CBGPY prices update in real time during U.S. market hours. Fundamentals refresh after quarterly filings; analyst ratings and AI insights update daily; news is aggregated continuously.
What has driven CBGPY's recent stock price performance?
Close Brothers Group plc (CBGPY) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Diversified business model across multiple financial services segments. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider CBGPY overvalued or undervalued right now?
Valuing Close Brothers Group plc (CBGPY) requires multiple metrics. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- Information about Michael Bartlett Morgan's background and track record is not available in the provided data.
- AI analysis is pending for CBGPY, limiting the availability of analyst consensus and valuation metrics.
- The disclosure status for CBGPY on the OTC market is Unknown, indicating limited transparency.