Research on Polar Capital Holdings Plc (POLR:LON) from Equity Development
Polar Capital delivered an exceptional Q4 performance with strong inflows reflecting improved client engagement and a strengthening new business pipeline. FY26 investment management fees will certainly exceed our previous forecast, as will core profits. Key financial metrics were robust. Revenue reached £258.2m, with PBT of £75.6m, adjusted diluted EPS of 57.8p, and year‑end net cash of £134.2m, underpinned by AUM of £30.6bn, up 43% y‑o‑y. Polar’s strategy continues to deliver. Performance was driven by bumper net inflows of £1.44bn in Q4, particularly into Technology, Healthcare and Smart Energy strategies. . Valuation remains attractive. The shares trade on a PER of 11.7x FY26E which understates the group’s strong balance sheet and earnings momentum; accordingly, fair value is set at 750p per share.