Shares in IG Group Holdings Plc (LSE:IGG) offer "deep value", according to Shore Capital in response to the financial markets group's latest trading statement.
IG reported third-quarter revenues of £240 million, barely changed from the same period last year.
At the same time, investors were told the chief financial and operating officers would be leaving - the latter immediately.
Both CFO Charlie Rozes and COO Jon Noble are departing to pursue new opportunities, the company said.
In late morning trade, the stock was up 4% at 732.5p, but Shore Cap reckons IG's fair value is closer to 1,110p a share.
Based on current estimates, IG is trading at just seven times earnings, the broker noted.
"Meanwhile, yield on the progressive ordinary dividend is 6.5% whilst IG continues to exercise a rolling share buyback programme at £250m per year, underpinning an attractive proposition for income investors," it added.