Broker Peel Hunt has repeated its ‘buy’ and £20 price target on shares in Plus500 Ltd (LSE:PLUS) in the wake of the trading platform group's preliminary full-year results released earlier on Tuesday.
The shares opened the session 2.3% higher at £19.52 after the fintech company said it was increasing its shareholder return to US$270mln.
Plus500 has delivered a financial performance in 2022 it reckoned exceeded market expectations; however, analysts at Peel Hunt said it was in line with its upgraded forecasts.
Revenues for the year rose by 16%, while underlying earnings (EBITDA) were up by 17% to US$453.8mln in the calendar year.
Looking ahead, the group said it plans to diversify into institutional and US futures markets.
“With further organic investments and targeted acquisitions, we are confident that Plus500 remains well-positioned to deliver sustainable growth over the medium to long term,” said Plus 500 chief executive David Zruia in the results statement.