# AJ Bell (AJB.LSE)

Canonical: https://gigainvestors.com/s/AJB.LSE

Analysis as of: 2026-10-16T07:39:10.326Z. Financial observations: FY2019–FY2025.

Listing currency: GBX. Reporting currency: GBP.

## Verdict

A wonderful business at too high a price

Quality tests for Buy: pass (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: GBX 589.00 per share; close as of 2026-10-15.

Estimated value: low GBX 311.04 per share, central GBX 348.26 per share, high GBX 397.80 per share. Buy at or below the central value GBX 348.26 per share. Valuation as of 2026-10-16T07:39:10.326Z; scenarios are not confidence intervals.

Expected annual return: 6.9% at the stated quote. About 6.9% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; GB 10-year bond 5.4% + 4 points).

## Checklist

### understandable: pass

- 0 revenue declines in the last 10 years (informational)

- Financial history: 7 years

- Years with declining revenue: 0

- Years with a net loss: 0

- Operating margin variation: 0.05×

Chart: Operating margin; fiscal year observations.

- FY2019: 0.36×

- FY2020: 0.39×

- FY2021: 0.38×

- FY2022: 0.36×

- FY2023: 0.40×

- FY2024: 0.40×

- FY2025: 0.42×

### moat: pass

- ROIC, median of available years: >100%

- ROIC, second-lowest year: 98.1%

- Typical minus recent gross margin: 0.0 pp

- Typical gross margin (annual median): 100.0%

- Recent gross margin (lower of latest and 3-year median): 100.0%

- Years with nonpositive capital: 0

- Capital spending / revenue: 1.1%

- ROIC including acquisitions, ten-year median: >100%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2019: >100%

- FY2020: >100%

- FY2021: 98.1%

- FY2022: 83.8%

- FY2023: >100%

- FY2024: >100%

- FY2025: >100%

### economics: pass

- Owner earnings / net income, 5-yr: 0.97×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: GBP 339M

- Net income, five-year total: GBP 348M

- Return on incremental invested capital: >100%

- Working capital / revenue, annual change: -1.2 pp

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 0.93×

- FY2022: 0.95×

- FY2023: 0.98×

- FY2024: 0.97×

- FY2025: 0.99×

### management: pass

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: 110.1% vs 293.2%

- Per-share earnings: 0.09 to 0.20 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 5-year annual growth: 0.1%

- Diluted shares, 5-year annual growth: 0.1%

- Per-share value growth: 21.1%

- Per-share value change: GBP 0.11

- Per-share value, starting three-year median: GBP 0.09

- Per-share value, ending three-year median: GBP 0.20

- Buybacks concentrated in cheaper years (correlation): 0.50

- Average buyback yield: 0.7%

- Buyback history: 3 years

- Debt-funded buybacks: No

- ROIC, first three-year median: >100%

- ROIC, last three-year median: >100%

Chart: Earnings per share; fiscal year observations.

- FY2019: GBP 0.07

- FY2020: GBP 0.09

- FY2021: GBP 0.11

- FY2022: GBP 0.11

- FY2023: GBP 0.17

- FY2024: GBP 0.20

- FY2025: GBP 0.26

### accounting: pass

- Sloan accruals: 6.1%

- Receivables to sales index (DSRI): 0.97×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 4.7%

- Earnings backed by cash: Yes

- Operating cash / earnings: 0.82×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.07×

Chart: Sloan accruals; fiscal year observations.

- FY2019: -1.6%

- FY2020: -0.7%

- FY2021: -0.5%

- FY2022: 0.6%

- FY2023: -14.2%

- FY2024: -4.2%

- FY2025: 6.1%

## Holders

## Price story

Price needs cash profits to grow 8.2% a year for ten years · "AJ Bell plc Just Beat Revenue Estimates By 6.3%" (finance.yahoo.com, May 2026) · sales +18%

Story as of 2026-10-16T10:00:10.549Z; price observation 2026-10-15.

Price needs cash profits to grow 8.2% a year for ten years

- 2026-05-24: AJ Bell plc Just Beat Revenue Estimates By 6.3% ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/aj-bell-plc-just-beat-081728087.html))

### Sales · FY2024–2025

sales +18%; source https://filings.xbrl.org/213800VNKA7DPWXWJJ36/2025-09-30/ESEF/GB/0/213800VNKA7DPWXWJJ36-2025-09-30/reports/213800VNKA7DPWXWJJ36-2025-09-30-T01.xhtml; observed 2025-12-09.

- FY2019: GBP 105M 

- FY2020: GBP 127M 

- FY2021: GBP 146M 

- FY2022: GBP 164M 

- FY2023: GBP 218M 

- FY2024: GBP 269M 

- FY2025: GBP 318M 

### Gross margin · FY2019

gross margin 100%; source https://filings.xbrl.org/213800VNKA7DPWXWJJ36/2025-09-30/ESEF/GB/0/213800VNKA7DPWXWJJ36-2025-09-30/reports/213800VNKA7DPWXWJJ36-2025-09-30-T01.xhtml; observed 2025-12-09.

- FY2019: 100.0% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in asset management; annual sales are GBP 317.8 million.

- Source: https://filings.xbrl.org/213800VNKA7DPWXWJJ36/2025-09-30/ESEF/GB/0/213800VNKA7DPWXWJJ36-2025-09-30-T01.json (filed 2025-12-09); FY2025: revenue 317847000; grossProfit 317847000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); AJB.LSE: AJ Bell plc, through its subsidiaries, operates investment platforms in the United Kingdom. The company offers AJ Bell Investcentre, which offers adviser needs and client service, easy-to-use functionality, and a comprehensive investment range at competitive prices; and AJ Bell, an investment platform. It also provides AJ Bell Touch, a mobile-focused platform service for financial advisers; AJ Bell Dodl, an investment platform that offers commission-free service; AJ Bell Investments, which offers investment management solutions through advisers and direct to customers; AJ Bell Securities for wealth management solutions. In addition, the company operates dealing and custody, media, and educational material. The company was founded in 1995 and is headquartered in Manchester, the United Kingdom.

### Why customers stay

Margins ranged from 100% to 100% during 2023–25; it earns over 100% on its capital.

- Source: https://eodhd.com/api/fundamentals/AJB.LSE.json#2023-09-30 (filed 2025-12-09); FY2023: grossProfit / revenue = 100%.

- Source: https://eodhd.com/api/fundamentals/AJB.LSE.json#2024-09-30 (filed 2025-12-09); FY2024: grossProfit / revenue = 100%.

- Source: https://eodhd.com/api/fundamentals/AJB.LSE.json#2025-09-30 (filed 2025-12-09); FY2025: grossProfit / revenue = 100%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-12-09); 7-year return on capital observations [[2019,2.1658545670842555],[2020,1.1009490472392305],[2021,0.9807780012135363],[2022,0.8377729175284249],[2023,2.6681085538776257],[2024,5.902153060702848],[2025,2.9319388947984213]]; median 2.1658545670842555. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 7 of 7 years; bought back GBP 44.6 million of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-12-09); FY2019: growth capex 0; upkeep 858000; owner earnings 31490600. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-12-09); FY2020: growth capex 0; upkeep 1057000; owner earnings 38077000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/api/fundamentals/AJB.LSE.json#2021-09-30 (filed 2025-12-09); FY2021: growth capex 0; upkeep 3544000; owner earnings 40782200. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/api/fundamentals/AJB.LSE.json#2022-09-30 (filed 2025-12-09); FY2022: growth capex 0; upkeep 3379000; cash acquisitions 0; owner earnings 44210800. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://query2.finance.yahoo.com/ws/fundamentals-timeseries/v1/finance/timeseries/AJB.L (filed 2025-12-09); FY2023: growth capex 0; upkeep 3500000; owner earnings 67025800. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/api/fundamentals/AJB.LSE.json#2024-09-30 (filed 2025-12-09); FY2024: growth capex 0; upkeep 2949000; owner earnings 82142600. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/api/fundamentals/AJB.LSE.json#2025-09-30 (filed 2025-12-09); FY2025: growth capex 0; upkeep 2436000; owner earnings 104353400. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-12-09); Dividend observations: [[2019,14938000],[2020,19733000],[2021,29138000],[2022,50383000],[2023,33294000],[2024,47416000],[2025,52288000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://filings.xbrl.org/213800VNKA7DPWXWJJ36/2025-09-30/ESEF/GB/0/213800VNKA7DPWXWJJ36-2025-09-30-T01.json (filed 2025-12-09); FY2025: cash repurchases 44610000 GBP.

### Are managers owners

Insiders own 19% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); AJB.LSE SharesStats.PercentInsiders = 19.048000000000002 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 8.2% yearly over ten years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-12-09); Ten-year compound average after fade. Initial solved rate 0.10423734534711049. Price 589; FX 100; discount 0.1; same standard ten-year fade to terminal 0.03.  Closing-price date 2026-10-15.

## Monthly share-price history (GBX per share)

- 2018-12: GBX 240.65 per share

- 2019-01: GBX 259.60 per share

- 2019-02: GBX 290.55 per share

- 2019-03: GBX 322.00 per share

- 2019-04: GBX 406.00 per share

- 2019-05: GBX 418.00 per share

- 2019-06: GBX 401.00 per share

- 2019-07: GBX 416.50 per share

- 2019-08: GBX 400.00 per share

- 2019-09: GBX 413.50 per share

- 2019-10: GBX 370.50 per share

- 2019-11: GBX 403.00 per share

- 2019-12: GBX 429.00 per share

- 2020-01: GBX 390.00 per share

- 2020-02: GBX 356.50 per share

- 2020-03: GBX 310.50 per share

- 2020-04: GBX 394.50 per share

- 2020-05: GBX 397.50 per share

- 2020-06: GBX 386.50 per share

- 2020-07: GBX 432.00 per share

- 2020-08: GBX 449.50 per share

- 2020-09: GBX 451.00 per share

- 2020-10: GBX 420.00 per share

- 2020-11: GBX 423.00 per share

- 2020-12: GBX 433.50 per share

- 2021-01: GBX 431.00 per share

- 2021-02: GBX 422.50 per share

- 2021-03: GBX 419.50 per share

- 2021-04: GBX 444.00 per share

- 2021-05: GBX 424.20 per share

- 2021-06: GBX 433.80 per share

- 2021-07: GBX 420.60 per share

- 2021-08: GBX 430.40 per share

- 2021-09: GBX 399.00 per share

- 2021-10: GBX 410.00 per share

- 2021-11: GBX 388.00 per share

- 2021-12: GBX 379.40 per share

- 2022-01: GBX 336.20 per share

- 2022-02: GBX 309.00 per share

- 2022-03: GBX 304.00 per share

- 2022-04: GBX 249.60 per share

- 2022-05: GBX 286.00 per share

- 2022-06: GBX 268.60 per share

- 2022-07: GBX 313.60 per share

- 2022-08: GBX 294.00 per share

- 2022-09: GBX 269.20 per share

- 2022-10: GBX 324.80 per share

- 2022-11: GBX 363.80 per share

- 2022-12: GBX 358.20 per share

- 2023-01: GBX 336.60 per share

- 2023-02: GBX 326.00 per share

- 2023-03: GBX 345.20 per share

- 2023-04: GBX 326.20 per share

- 2023-05: GBX 319.20 per share

- 2023-06: GBX 321.00 per share

- 2023-07: GBX 327.80 per share

- 2023-08: GBX 290.20 per share

- 2023-09: GBX 274.40 per share

- 2023-10: GBX 253.20 per share

- 2023-11: GBX 255.60 per share

- 2023-12: GBX 313.00 per share

- 2024-01: GBX 316.40 per share

- 2024-02: GBX 303.80 per share

- 2024-03: GBX 302.40 per share

- 2024-04: GBX 323.50 per share

- 2024-05: GBX 385.00 per share

- 2024-06: GBX 379.50 per share

- 2024-07: GBX 459.00 per share

- 2024-08: GBX 435.50 per share

- 2024-09: GBX 449.50 per share

- 2024-10: GBX 444.50 per share

- 2024-11: GBX 474.50 per share

- 2024-12: GBX 452.50 per share

- 2025-01: GBX 447.00 per share

- 2025-02: GBX 419.50 per share

- 2025-03: GBX 402.00 per share

- 2025-04: GBX 421.20 per share

- 2025-05: GBX 492.40 per share

- 2025-06: GBX 511.00 per share

- 2025-07: GBX 538.50 per share

- 2025-08: GBX 509.50 per share

- 2025-09: GBX 541.50 per share

- 2025-10: GBX 537.50 per share

- 2025-11: GBX 539.50 per share

- 2025-12: GBX 441.20 per share

- 2026-01: GBX 462.80 per share

- 2026-02: GBX 434.40 per share

- 2026-03: GBX 469.80 per share

- 2026-04: GBX 520.00 per share

- 2026-05: GBX 607.00 per share

- 2026-06: GBX 611.50 per share

- 2026-07: GBX 587.50 per share

- 2026-08: GBX 614.00 per share

- 2026-09: GBX 584.00 per share

- 2026-10: GBX 589.00 per share

## Annual estimated value (GBX per share)

- FY2023: low GBX 207.93 per share, central GBX 231.85 per share, high GBX 263.70 per share

- FY2024: low GBX 259.68 per share, central GBX 289.12 per share, high GBX 328.30 per share

- FY2025: low GBX 301.74 per share, central GBX 337.25 per share, high GBX 384.52 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

[Original ESEF filing](https://filings.xbrl.org/213800VNKA7DPWXWJJ36/2025-09-30/ESEF/GB/0/213800VNKA7DPWXWJJ36-2025-09-30/reports/213800VNKA7DPWXWJJ36-2025-09-30-T01.xhtml); period 2025-09-30, filed 2025-12-09.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.

## Reported holder observations