# The Merchants Trust Plc (MRCH.L) fundamentals

Data as of 2026-09-08. LSE, United Kingdom. Sector: Financial Services. Price 676p, market value 998 millionp.

## Valuation
- **P/E (trailing): 6.1×** (5-yr avg 929.9×, 3-yr avg 682.1×). The Merchants Trust Plc trades at 6.1× trailing earnings, well below its own five-year average of 929.9×: cheap by its own standards. The Financial Services median in the September 2026 study was 13.1×.
- **Price / sales: 3.4×**. Each dollar of revenue is priced at 3.4×.
- **Price / book: 1.0×**. The shares trade at 1.0× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 3.9×**. Enterprise value is 3.9× operating earnings before depreciation, the multiple that ignores how the company is financed; below 8× is inexpensive for most sectors.
- **Free-cash-flow yield: 6.7%** (5-yr avg 0.0%). Free cash flow equals 6.7% of the market value, above its five-year average of 0.0%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 16.3%**. The inverse of the P/E: 16.3% of the price is earned each year.

## Profitability
- **Gross margin: 98.9%**. The Merchants Trust Plc keeps 98.9% of revenue after the direct cost of what it sells, the kind of margin that comes with software, brands or pricing power.
- **Operating margin: 96.8%**. 96.8% of revenue is left after running the business, an exceptional level.
- **Net margin: 93.6%**. 93.6% of each dollar of sales reaches the bottom line.
- **Return on equity: 16.8%**. 16.8% on shareholders' equity is solid.
- **Return on invested capital: 26.5%**. Return on all capital, debt included, is 26.5%: comfortably above what that capital costs.
- **Return on assets: 24.6%**. Each dollar of assets produces 24.6% of profit; low single digits are normal for banks and insurers.

## Growth
- **Revenue growth (1 yr): 61.9%** (3-yr 60.5%/yr). Revenue grew 61.9% over the last year.
- **EPS growth (1 yr): 57.1%** (3-yr 54.2%/yr). Earnings per share rose 57.1%, roughly in step with revenue.

## Financial health
- **Piotroski F-score: 6/9**. 6 of 9 checks pass: mixed.
- **Cash and short-term investments: 26 millionp**. Leverage ratios are shown differently for banks and insurers, whose balance sheets are built on deposits and reserves; use return on equity and the regulatory capital in the filings instead.

## Dividends
- **Dividend: none**. The Merchants Trust Plc does not currently pay a dividend, but it returned 0.4% of its market value through buybacks over the last year.

## Price and momentum
- **Total return (1 yr): 24.6%** (YTD 13.7%, 3-mo 8.4%). The shares are up 24.6% over twelve months including dividends.
- **From 52-week high: -2.2%** (26.1% above the low). Trading within 5% of its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 53**. An RSI of 53 is neutral.
- **Beta (1 yr): 1.01** (volatility 14%). Beta of 1.01 against the FTSE All-Share: the shares move roughly with the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=MRCH.L · Page: https://foliofundamentals.com/stocks/mrch.l

Not investment advice.