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GB Group (GBG) Fair Value & Analysis

Technology · GB · Market cap 514M GBX

GG GB Group GBG · LSE
Price£2.25
Fair Value£2.00
Upside-10.9%
Quality60/100
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Mixed Growth
Loss-making · -26.3% net margin
Low debt · generates free cash flow
1.92% dividend yield
Mixed vs. peers (6/14)
Narrow moat 31/100
Evidence: High Range £1.41 – £2.59 Share as image

Fair value as of: Jul 20, 2026

From 15 valuation models · updated 21 days ago

Fair value updated Jul 20, 2026, revised from £0.9100 to £2.00 (+119.8%) since Jul 17, 2026. Share price +13.1% over the past month.

A solid business, but screening 11% overvalued on our models.

What matters now

  • A fairly wide model range (£1.41 to £2.59) leaves room in how you read the outcome.
  • Our model range runs from £1.41 (bear) to £2.59 (bull), base £2.00. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 60/100 (solid quality) with high evidence: the data supports the verdict.
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Price vs Fair Value (5 years)

£8.34 £1.73 Fair Value £2.00 May 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 20, 2026.

How to read this chart

60‑month range £1.73 – £8.34 · fair‑value band £1.41 – £2.59 · the £2.25 price screens above the £2.00 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 20, 2026.

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Analysis

GB Group (GBG) currently trades at £2.25, while our model-based Fair Value estimate is £2.00, implying the stock looks roughly 10.9% overvalued today. The Quality Score stands at 60/100 (solid quality), in the Technology sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, GB Group generated revenue of £281M at a net margin of 3.2%. Revenue declined 1.0% year over year. It earns a return on equity of 1.6%. Net debt stands at £82.2M. Fundamentals as of Jul 20, 2026

Our scenario range runs from £1.41 (bear case) to £2.59 (bull case); at £2.25, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. For context, the median of 10 Technology peers we cover trades at -27% fair-value upside, at -11%, GBG screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF £1.57 £3.15 £5.35 80
Rev-Margin DCF £1.13 £2.23 £3.79 74
ROIC Compounder £0.6000 £0.7300 £0.8400 72
All 15 models by family
DCF Models
FCF DCF £1.64 £3.00 £6.15 38
5Y Revenue Exit £1.13 £2.27 £3.86 39
5Y EBITDA Exit £2.05 £4.33 £7.36 41
10Y Revenue Exit £1.25 £2.39 £4.25 36
10Y EBITDA Exit £1.87 £3.83 £7.15 37
Earnings-Based
EPV £0.6000 £0.7300 £0.8400 59
Dividend Discount
Gordon GGM £0.3700 £0.6700 £0.9200 70
DDM Multi-Stage £0.3700 £0.6100 £0.7100 61
Multiples
EV/EBIT £1.43 £2.02 £2.61 53
EV/EBITDA £2.44 £3.36 £4.29 54
EV/Revenue £0.8500 £1.36 £1.87 43
Asset-Based
NCAV (Graham) £1.04 £1.39 £2.08 50
Growth DCF
Growth DCF £1.57 £3.15 £5.35 80
Rev-Margin DCF £1.13 £2.23 £3.79 74
Economic Profit
ROIC Compounder £0.6000 £0.7300 £0.8400 72

Widest divergence: DCF Models (£3.00) versus Dividend Discount (£0.6100). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 285M GBX
Revenue growth (YoY) +2.5%
Net margin -26.3%
Return on equity 1.6%
Free cash flow 38.5M GBX FY2026
P/E ratio 55.8
More key figures
Operating margin 13.2%
EPS (TTM) £-0.3100
Dividend yield 1.9%
EPS growth (YoY) +32.8%
Net debt 82.2M GBX FY2026

Figures from reported company fundamentals · as of Jul 20, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 60/100

Of which business quality 59 · Market factors (momentum, volatility) 57

Profitability 13
Margins and returns on capital today
Quality Growth 33
Are margins and returns improving?
Cashflow 72
Earnings quality: real cash, not paper profit
Fin. Strength 64
Balance sheet, leverage, solvency risk
Investment 100
Disciplined investing over empire-building
Low Volatility 71
Calm price path (market factor)
Momentum 48
Price trend over the last 3–12 months (market factor)
52W Momentum 57
Distance to the 52-week high (market factor)
Net Issuance 97
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

GB Group plc, together with its subsidiaries, provides identity data intelligence products and services in the United Kingdom, the United States, Australia, and internationally. The company operates in three segments: Location, Identity, and Fraud.

Full company description

GB Group plc, together with its subsidiaries, provides identity data intelligence products and services in the United Kingdom, the United States, Australia, and internationally. The company operates in three segments: Location, Identity, and Fraud. It offers Instinct, a fraud risk management platform; ID3global, identity verification solution; mobile intelligence; and Investigate, search subject analysis solution. The company also provides biometric authentication solution; document identity proofing solution; and synthetic identity fraud solution. It serves banking, retail, government, financial services and fintech, lending, gaming and wagering, events, crypto and FX, pensions, public sector, and insurance industries. The company was formerly known as Telme Group plc and changed its name to GB Group plc in February 2002. GB Group plc was incorporated in 1989 and is based in Chester, the United Kingdom.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

GB Group reported revenue of £285M in FY2026 versus £242M in FY2022, a compound +4.1%/yr. Reported net income was −£75.1M in FY2026.

Growth Quality 61/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2026)
£285M
Latest YoY
+0.8%
Avg. growth/yr (3Y)
+0.7%
Avg. growth/yr (5Y)
+5.5%
Avg. growth/yr (35Y)
+24.9%
Revenue +4.1%/yr
FY22 £242M
FY23 £279M
FY24 £277M
FY25 £283M
FY26 £285M
Net income
FY22 £15.3M
FY23 −£120M
FY24 −£48.6M
FY25 £8.6M
FY26 −£75.1M

GBG screens 11% overvalued. Compare with SAP SE →

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Cite: Fair Value Calculator (2026). "GB Group Fair Value". https://www.fairvalue-calculator.com/stock/GBG

Peer Group

Software - Application · 709 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 60 · Above median
Fair Value upside −11% · Above median
Return on assets 2% · Above median
Net margin (TTM) -26% · Bottom 25%
Operating margin (TTM) 13% · Above median
Revenue growth 3% · Below median
Dividend yield (TTM) 1.9% · Above median
Debt / equity 0.23× · Higher than median

Valuation Multiples vs Software - Application median · lower = cheaper

P/E (TTM) 55.8× · Pricier than 75% of peers
P/B 1.46× · Cheaper than median
P/S (TTM) 2.43× · Pricier than median
P/FCF 18.0× · Pricier than median
EV/EBITDA 16.6× · Pricier than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 19 · sector 0
FUTURE 13 · sector 38
PAST 0 · sector 13
HEALTH 88 · sector 98
DIVIDEND 38 · sector 28

Insider activity: 40/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Software - Application stocks, each showing price versus our Fair Value estimate (as of Jul 20, 2026).

Stock Price Fair Value vs Fair Value
SAP SE SAPS C$12.69 C$16.26 +28%
Shopify Inc SHOP C$173.23 C$20.54 -88%
Uber Technologies, Inc UBER $72.67 $51.11 -30%
Salesforce, Inc CRM $170.77 $182.10 +7%
ServiceNow, Inc NOW $107.71 $33.12 -69%
Cadence Design Systems, Inc CDNS $384.17 $80.41 -79%
Snowflake Inc SNOW $271.87 $34.04 -87%
Adobe Inc ADBE $230.61 $379.48 +65%
Automatic Data Processing, Inc ADP $241.92 $177.51 -27%
Intuit Inc INTU $291.09 $258.69 -11%

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Frequently asked questions

Is GB Group (GBG) overvalued or undervalued?
As of Jul 20, 2026, our model estimates a fair value of £2.00 versus a price of £2.25, about −11% (overvalued).
What is the fair value of GBG?
Our model-based fair value for GB Group is £2.00 (as of Jul 20, 2026), built from audited fundamentals. The current price is £2.25.
What is the quality score of GBG?
GB Group has a Quality Score of 60/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of GB Group (GBG)?
GB Group reported trailing-twelve-month revenue of about £281M (latest available figure, as of Jul 20, 2026).
What is the net profit margin of GBG?
The net profit margin of GB Group is about 3.2%, meaning it keeps roughly 3.2% of revenue as net income. Based on the latest reported figures.
Does GB Group pay a dividend?
GB Group currently shows a dividend yield of about 1.78% relative to its recent price (as of Jul 20, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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