Premier Miton Group PLC (LON:PMI) unveiled further outflow in its first quarterly results after the merger between Miton and Premier Asset Management, completed mid-way through the period under review.
Assets under management (AUM) were £11.6bn at the end of December, up from £11.2bn when the 14 November merger date despite net outflows totalling £222mln during the preceding three months.
READ: Newly-merged Premier Miton Group posts "disappointing" year of net outflows
Net flows dipped 1.9% but were offset by positive market movement of 4.6% in the quarter, which was slightly ahead of expectations as market sentiment perked up post the UK general election.
Analysts at house broker Liberum upped the target price to 229p from 212p as it increased its forecast average AUM for 2020 to £11.4bn from £11.2bn and adjusted profit before tax to £26.1mln from £23.6mln.
“Given the high weighting to UK equities Premier Miton has more gearing to an upward movement in UK equities than other UK listed asset managers,” Liberum said in a note.
“This has undoubtedly been weighing on the share price following subdued net flows in recent months.”
Shares ticked up 1% to 175p on Friday morning.