Download PDF

1. Company Snapshot

1.a. Company Description

Impax Asset Management Group plc is a publicly owned investment manager.Through its subsidiaries, it provides investment services to funds specializing in the environmental markets sector, with a focus on alternative energy, water, and waste sectors, primarily in the United Kingdom.It manages a range of funds and segregated accounts on behalf of institutional and private investors.


It employs both fundamental to make its investments.The company was formerly known as Impax Group plc and changed its name to Impax Asset Management Group plc in October 2009.Impax Asset Management Group plc was founded in 1998 and is based in London, the United Kingdom.

Show Full description

1.b. Last Insights on IPX

Impax Asset Management Group's recent performance has been impacted by weak market conditions, with the UK market facing challenges due to weak trade data from China and global economic uncertainties. Despite a $100 million investment in Itron, indicating a strategic focus on smart-grid technology, the company's growth prospects are being tested. Insider buying activity suggests confidence, but dividend stocks, including those yielding up to 6.6%, are attracting investors seeking stability. The current landscape presents challenges, with investors navigating downward pressure on the FTSE 100 index.

1.c. Company Highlights

2. Impax Asset Management's Resilience Amidst Challenging Market Conditions

Impax Asset Management reported an adjusted operating profit of £33.6 million and EPS of 21.3p for the full year ending September 2025, representing a decline of about one-third from the prior year. Revenue dropped by £28 million to £141.7 million, primarily due to a decrease in assets under management (AUM) to £26.1 billion from £37.2 billion. However, cost actions saved £9 million, and the operating margin remained relatively healthy at 23.7%. The actual EPS came out at 21.3p, which is significantly higher than '0.04774' mentioned in some estimates, but still below the estimated '0.064'. The company's revenue decline was largely driven by outflows, including a £6.2 billion mandate loss and £4 billion in negative net flows.

Publication Date: Dec -04

📋 Highlights
  • AUM Decline and Outflows: Assets under management fell to £26.1B from £37.2B, driven by £11B in outflows, primarily due to mandate losses and negative net flows.
  • Share Buyback and Balance Sheet: A £10M share buyback program was executed, with plans to cancel up to 4% of share capital, supported by a healthy cash surplus and 23.7% operating margin.
  • Fixed Income Growth: Acquired SKY Harbor, adding 23 investment team members and expanding client bases in Europe and the US, signaling strategic focus on scaling fixed income.
  • Operating Profit and Margin Decline: Adjusted operating profit dropped to £33.6M (£28M revenue decline), but cost savings of £9M helped offset losses, with EPS at 21.3p (down 33%).
  • 2026 Recovery Outlook: Anticipates market recovery by 2026, with improved equity valuations (PEG discount vs. 5-year average) and diversification into fixed income and private markets.

Business Diversification Efforts

The company is actively diversifying its revenue streams, with a focus on growing its fixed income and private markets businesses. The acquisition of SKY Harbor in April has contributed to the growth of the fixed income business, adding 23 investment team members and establishing a client base across Europe and the US. Impax is also making progress in private equity, with plans to expand its fourth fund. The Board does not have a formal target for the split between listed equities, fixed income, and private markets, but the company is working towards achieving a more balanced revenue mix.

Valuation and Outlook

Impax Asset Management's valuation metrics indicate a relatively attractive position, with a P/E Ratio of 6.13, P/B Ratio of 1.62, and Dividend Yield of 18.42%. The company's strong brand and diversified client base position it well for future growth. Management expects a recovery in 2026, driven by a broader market and less dominance by major tech stocks. The company's client base is expected to ride out the current cycle, with longer-term clients being more resilient due to their better understanding of the business. Analysts estimate next year's revenue growth at -9.1%, but the company's efforts to diversify its revenue streams and grow its fixed income and private markets businesses are expected to drive future growth.

Operational Efficiency and Cost Management

The company has taken steps to optimize its operating model, reducing headcount by 15% to 275 in response to the decline in AUM. The average fee margin improved to 46.9 basis points, and the company remains committed to delivering strong investment performance. The systematic equities products involve creating universes of thematic stocks and using computer models to pick stocks, with human intervention limited to ensuring consistency with the process. The company's strong distribution network and investment professionals are in place to support growth.

Geographic Presence and Distribution

North America accounts for around 40% of Impax Asset Management's revenues, with the US and Canada being roughly 80-20 split. The company sees opportunities in both countries, with Canada being more pro-sustainability and the US having a larger economy. The BNP channel has stabilized in recent months, with outflows dropping as the sales force has become more focused on the company's products. The acquisition by BNP Paribas Investment Management of AXA Investment Management is expected to increase distribution potential.

3. NewsRoom

Card image cap

Top UK Dividend Stocks To Consider In December 2025

Dec -01

Source:

Card image cap

One Impax Asset Management Group Insider Raised Their Stake In The Previous Year

Dec -01

Source:

Card image cap

3 UK Dividend Stocks Yielding Up To 6.6%

Nov -28

Source:

Card image cap

Inside the Digital Nerve System of Modern Utilities and the $100 Million Bet on Itron

Nov -26

Source:

Card image cap

UK Penny Stocks To Watch In October 2025

Oct -21

Source:

Card image cap

UK Penny Stocks To Watch In September 2025

Sep -19

Source:

Card image cap

Form 8.3 - IQE Plc

Sep -09

Source:

Card image cap

Taylor Wimpey (LSE:TW.): A Fresh Look at Valuation After a Year of Share Price Pressure

Sep -09

Source:

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (12.40%)

6. Segments

Investment Management and Advisory

Expected Growth: 12.4%

Growing demand for ESG investments, increasing adoption among institutional clients, and expanding product offerings drive growth in Impax's Investment Management and Advisory segment.

7. Detailed Products

Equity Strategies

Impax Asset Management Group plc offers a range of equity strategies that focus on investing in companies that benefit from the transition to a more sustainable economy.

Fixed Income Strategies

The company provides fixed income strategies that focus on investing in bonds and other debt securities issued by companies that demonstrate strong environmental, social, and governance (ESG) practices.

Real Assets

Impax Asset Management Group plc offers real assets strategies that focus on investing in renewable energy, sustainable infrastructure, and other real assets that support the transition to a low-carbon economy.

Multi-Asset Strategies

The company provides multi-asset strategies that combine equities, fixed income, and real assets to provide diversified investment portfolios that align with clients' sustainability goals.

Thematic Strategies

Impax Asset Management Group plc offers thematic strategies that focus on specific sustainable investment themes, such as climate change, sustainable infrastructure, and resource efficiency.

8. Impax Asset Management Group plc's Porter Forces

Forces Ranking

Threat Of Substitutes

Impax Asset Management Group plc operates in a niche market, and substitutes are limited. However, there is a growing trend towards sustainable and ESG-focused investments, which could lead to increased competition.

Bargaining Power Of Customers

Impax Asset Management Group plc's customers are primarily institutional investors, who have limited bargaining power due to the specialized nature of the company's services.

Bargaining Power Of Suppliers

Impax Asset Management Group plc's suppliers are primarily data providers and other service providers, who have limited bargaining power due to the company's strong market position.

Threat Of New Entrants

The asset management industry has high barriers to entry, including regulatory hurdles and the need for significant capital investment. This limits the threat of new entrants.

Intensity Of Rivalry

The asset management industry is highly competitive, with many established players competing for market share. Impax Asset Management Group plc must differentiate itself through its ESG-focused investment approach to maintain its market position.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 6.13%
Debt Cost 7.55%
Equity Weight 93.87%
Equity Cost 11.52%
WACC 11.27%
Leverage 6.53%

11. Quality Control: Impax Asset Management Group plc passed 8 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Impax Asset Management

A-Score: 5.6/10

Value: 7.3

Growth: 7.1

Quality: 8.8

Yield: 8.1

Momentum: 0.5

Volatility: 1.7

1-Year Total Return ->

View Full Report
Stock-Card
IntegraFin

A-Score: 5.5/10

Value: 4.9

Growth: 6.9

Quality: 7.2

Yield: 5.0

Momentum: 4.0

Volatility: 5.0

1-Year Total Return ->

View Full Report
Stock-Card
MCI Capital

A-Score: 5.5/10

Value: 3.8

Growth: 2.2

Quality: 6.7

Yield: 6.2

Momentum: 7.0

Volatility: 7.0

1-Year Total Return ->

View Full Report
Stock-Card
Impax Environmental Markets

A-Score: 5.5/10

Value: 7.4

Growth: 2.9

Quality: 6.4

Yield: 1.2

Momentum: 5.0

Volatility: 10.0

1-Year Total Return ->

View Full Report
Stock-Card
Ashmore

A-Score: 5.1/10

Value: 3.0

Growth: 1.2

Quality: 8.4

Yield: 10.0

Momentum: 2.5

Volatility: 5.7

1-Year Total Return ->

View Full Report
Stock-Card
JTC

A-Score: 4.1/10

Value: 2.9

Growth: 6.6

Quality: 3.1

Yield: 1.2

Momentum: 8.0

Volatility: 3.0

1-Year Total Return ->

View Full Report

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

1.49$

Current Price

1.49$

Potential

-0.00%

Expected Cash-Flows