GlobalData PLC (AIM:DATA) shares jumped 10% after it was upgraded by a leading City research outfit.
Deutsche Bank moved to 'buy' from 'hold', arguing the recent slump in the share price has created a compelling entry point.
Stock in the tech mid-cap has underperformed the wider FTSE All-Share index by 31% year to date and now trades on just 11 times expected 2025 earnings with a free cash flow yield of 8%.
Analyst Steve Liechti retains a price target of 215p, offering more than 50% upside from the current 135p.
He sees GlobalData’s B2B subscription model as resilient in a choppy macro environment and highlights potential near-term catalysts, including a planned move from AIM to the main market.
Deutsche also points to the company’s healthy cash position and £340 million in available credit, which could fuel acquisitions.
Meanwhile, share buybacks are expected to continue, though at a slower pace as legacy incentive schemes wind down. Overall, valuation and momentum now make the shares hard to ignore.
In afternoon trading, the shares were changing hands for 149p, up 14p.