Close Brothers Group plc — Cyborg Score 6/10

Solid
Specialist Banking & Financial Services

Strategic Profile

The company operates through five segments: Commercial, Retail, Property, Asset Management, and Securities, offering debt factoring, invoice discounting, asset-based lending, and financing for SMEs, residential housing, transport, and renewable energy. Recent strategic moves include selling the Asset Management division to Oaktree and acquiring motor finance operations in Ireland, with cost-saving plans and technology investments shaping future growth.

Cyborg Score Rationale

Market cap of £746.36 million with a PE ratio of -7.41 and return on equity of 5.78% indicates a stabilizing mid-cap financial services player. Recent analyst revisions show fair value moving from £4.93 to £5.26 with revenue assumptions shifting to 2.32% growth, suggesting renewed confidence.

Top Insights

  • Strategic asset sale of Asset Management division to Oaktree to strengthen capital position
  • Geographic expansion through Ireland motor finance acquisition signals growth beyond traditional UK SME lending
  • Analyst sentiment shifting positive with RBC upgrading to Outperform and Deutsche Bank raising price target to GBX 570
  • Portfolio diversification across five business segments reduces lending concentration risk while maintaining SME focus

Named Competitors

  • SME Lending & Asset Finance — UK specialist lending and motor finance provider
  • Invoice Finance & Factoring — UK invoice and asset-based lending solutions
  • Digital SME Lending — Growth capital and banking for mid-market businesses

Recent Developments

  • (February 2026) Close Brothers retires bulk of £200m Tier 2 notes via cash tender
  • (January 2026) RBC Capital upgraded to Outperform with price target of GBX 625
  • (January 2026) Fair value estimate increased from £4.93 to £5.26 with revenue growth expectations revised positively

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