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Montanaro UK Smaller Companies Investment Trust PLC (MTU) Fair Value & Analysis

Financial Services · GB · Market cap 123M GBX

MU Montanaro UK Smaller Companies Investment Trust PLC MTU · LSE
Price£1.07
Fair Value£2.14
Upside+100.0%
Quality95/100
Evidence: Medium Range £1.25 – £2.82

Fair value as of: Jun 26, 2026

From 8 valuation models · updated 4 days ago

Fair value updated Jun 26, 2026 — revised from £2.11 to £2.14 (+1.4%) since Jun 25, 2026. Share price −3.2% over the past month.

Price vs Fair Value (12 months)

£1.11 £0.9132 Fair Value £2.14 Jul 2025 Jun 2026

12‑month range £0.9132 – £1.11 · fair‑value band £1.25 – £2.82 · the £1.07 price screens below the £2.14 fair value. As of Jun 26, 2026.

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Analysis

Montanaro UK Smaller Companies Investment Trust PLC (MTU) currently trades at £1.07, while our model-based Fair Value estimate is £2.14 — implying the stock looks roughly 100.0% undervalued today. We read business quality at 95/100 (high quality), in the Financial Services sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: medium) — always confirm before acting.

Revenue grew 17.3% year over year. It earns a return on equity of -7.0%. Net debt stands at £7.8M. The stock trades on a trailing P/E of 19.9. Fundamentals as of Jun 26, 2026

Key figures & financial health

Revenue (TTM) −9.8M GBX
Revenue growth (YoY) +17.3%
Return on equity -7.0%
Free cash flow 2.8M GBX FY2015
P/E ratio 19.9
Operating margin 93.7%
More key figures
EPS (TTM) £-0.0600
Dividend yield 6.1%
EPS growth (YoY) +56.7%
Net debt 7.8M GBX FY2025

Figures from reported company fundamentals (EODHD) · as of Jun 26, 2026. TTM = trailing twelve months.

About the company

Montanaro UK Smaller Companies Investment Trust PLC is a closed-ended equity mutual fund launched and managed by Montanaro Investment Managers Ltd. It invests in the public equity markets of the United Kingdom. The fund seeks to invest in stocks of small-cap companies operating across diversified sectors. It benchmarks the performance of its portfolio against the Numis Smaller Companies Index (ex-IC) (Capital Return). Montanaro UK Smaller Companies Investment Trust PLC was formed on March 16, 1995 and is domiciled in the United Kingdom.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Montanaro UK Smaller Companies Investment Trust PLC reported revenue of −£12.5M in FY2025 versus £2.8M in FY2021. Reported net income was −£13.9M in FY2025.

Revenue
FY21 £2.8M
FY22 £23.9M
FY23 £10.1M
FY24 £17.5M
FY25 −£12.5M
Net income
FY21 £66.9M
FY22 −£10.9M
FY23 −£27.2M
FY24 £15.1M
FY25 −£13.9M

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Frequently asked questions

Is Montanaro UK Smaller Companies Investment Trust PLC (MTU) undervalued?
As of Jun 26, 2026, our model estimates a fair value of £2.14 versus a price of £1.07 — about +100% (undervalued). Model-based estimate, not financial advice.
What is the fair value of MTU?
Our 21-model fair value for Montanaro UK Smaller Companies Investment Trust PLC is £2.14 (as of Jun 26, 2026), built from audited fundamentals. The current price is £1.07.
What is the quality score of MTU?
Montanaro UK Smaller Companies Investment Trust PLC has a Quality Score of 95/100, measuring profitability, growth and balance-sheet strength from non-valuation factors.
What is the net profit margin of MTU?
The net profit margin of Montanaro UK Smaller Companies Investment Trust PLC is about 0.0%, meaning it keeps roughly 0.0% of revenue as net income. Based on the latest reported figures.
Does Montanaro UK Smaller Companies Investment Trust PLC pay a dividend?
Montanaro UK Smaller Companies Investment Trust PLC currently shows a dividend yield of about 6.06% relative to its recent price (as of Jun 26, 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.

Educational research only · not financial advice · no buy/sell recommendation. Model-based estimates are not certainties; their reliability depends on data quality and assumptions.