Energy and sustainability advisor Inspired PLC (AIM:INSE) is a ‘Buy’, according to stockbroker Panmure Liberum, which repeated its recommendation following its recent financial results.
“FY24 results were in line with our expectations, and we maintained our estimates,” the broker said in a note.
With a price target pitched at 150p, Panmure Liberum implies the share could treble in value, from the current market price of 52p.
The broker highlighted that Inspired has evolved from a third-party intermediary in the energy market to a technology-enabled services provide, and, it’s recent equity raise helped substantially deleverage the balance sheet.
It could be debt free by the end of 2027, Panmure Liberum added.
“Inspired starts FY 25 with a strong pipeline and plenty of revenue visibility; and 4) There is a clear strategy in place to achieve the target of doubling EBITDA to £42m by FY 27.
“We maintain our BUY recommendation.”
Last week, Inspired highlighted a stronger financial position and continued operational progress as it reported final results for 2024.
The 2025 financial year was reported to have started well and in line with management's expectations, as the three "significant" projects in Optimisation are on track for delivery in the first half.
Looking back on the past calendar year, revenue came in at £93.8 million, versus £98.8 million in 2023, while all divisions reported growth in operational KPIs and 10-year client lifetime value potential increased 20% to £277,840.
Free cash flow increased 22% to £3.9 million and the board proposed a final dividend of 1p, resulting in a full year dividend of 2.45p, compared to 2.9p in 2023.
After net debt increased to £59.2 million by year-end.