Shares of IntegraFin Holdings PLC (LSE:IHP) were higher after Deutsche Bank upgraded to 'buy', arguing that the recent 22% drop in its share price has made the investment platform operator more attractive, even as cost pressures remain in focus.
The broker had previously rated the stock a Hold, but now says the risk-reward balance has shifted following the sell-off.
While investors were spooked by IntegraFin’s December results - particularly guidance that investment and cost growth would remain elevated -Deutsche notes that these figures were broadly in line with its own forecasts at the time.
Crucially, IntegraFin stands out from its peers by passing on all net interest earned on clients’ uninvested cash back to customers.
That means it is largely insulated from the ongoing regulatory review into how investment platforms profit from client cash balances—a risk that still hangs over much of the sector.
Deutsche has trimmed its price target slightly to 360p but says the recent weakness presents a buying opportunity. The shares were trading 2% higher at 312p.