Just Group Plc (LON:JUST) is the topic of conversation in an exclusive interview discussing financial services stocks with Fund Manager Gervais Williams of The Diverse Income Trust plc.
DirectorsTalk: Just Group plc specialise in retirement products and services. Revenues more than doubled in 2023 to £3.14 billion and they seem to be well positioned to take advantage of the UK’s ageing population. What do you think?
Gervais Williams: “That’s right. When it comes to retirement, annuities are one of the ways you can plan for your retirement. They’ve been very much out of fashion, but with interest rates up and markets more uncertain, annuities are more popular now and that’s really driving Just Group.
What’s amazing about this company is, although it has improved, it’s not a very well-known company from the point of view of the stock market and so it’s still standing at about half of its tangible asset value. When you’re looking at financials, often tangible asset value is a good measure, and it’s still standing at half of its tangible asset value and it’s actual valuation is on a PE of 5.2 times according to Bloomberg for the current year to December, dropping to 4.5 times.
So, again, these kinds of companies, the UK is overlooked, but many of these companies look absurdly overlooked relative to the mainstream markets around the world.”
Just Group plc is a specialist UK financial services group focusing on attractive segments of the UK retirement income market.
