Cavendish has reiterated its price target of 22p for shares in Plexus Holdings PLC (AIM:POS), more than double its current share price of 9.2p, citing growing demand for the company’s wellhead rental services in key international markets.
In a trading update for the year to June 2025, the industrial technology group said it expects results to meet expectations.
Proceeds from a £3.5 million fundraising in March are being used to expand its Exact wellhead rental inventory, with particular focus on the Middle East and North America.
Plexus is targeting market segments where it has historically performed well, including jack-up exploration drilling, where it previously held a dominant position in the North Sea.
The expanded fleet is intended to meet rising demand and support sustainable growth in revenues and profits.