Great British Stock Ideas! #31

1. Agronomics Ltd (£ANIC) – Facts + Logic

🌱🧬🔬⚠️

Thesis: “Trades at a 55% discount to its £140m NAV, making it superficially cheap as a cellular agriculture-focused listed VC, but the entire bull case hinges on whether its holding in Liberation Bioindustries (25% of portfolio), can achieve a 10x return from its current carrying value to justify the current share price. The author decides not to invest in this as he cannot assess the economics of Liberation’s business and doubts it warrants the time given such companies rarely produce the kind of the valuation step-changes needed to make the maths work.”

2. Ashtead Technology (£AT) – Multibagger Ideas

🌊⚙️📈🔩

Thesis: “A business that’s been quietly dominating the subsea equipment rental market since 1985… Ashtead Technology represents a textbook example of asymmetric risk/reward in my opinion. You have a proven compounder with nearly 25% ROIC, excellent capital allocation, 40-year track record of profitability and a dominant positioning in a fragmented market with a long runway of acquisition targets.”

3. AstraZeneca plc (£AZN) – South Sea Investing

💊🧬🛡️📊

Thesis: AstraZeneca benefits from powerful secular tailwinds whilst possessing a deeply entrenched competitive moat built on a dominant oncology portfolio, nearly 200 pipeline projects (including over 100 Phase 3 studies), and US$14.2 billion invested in R&D in 2025 alone. The market appears to have underpriced AZN’s earnings trajectory, and a landmark deal with the US administration securing a three-year tariff exemption in exchange for $50 billion of onshored investment further de-risks the single largest geographic exposure.

4. Cake Box Holdings PLC (£CBOX) – Compounder Mechanics Substack

🎂🏪📈

Thesis: A Great British cake baking chain. Cake Box achieves compounding growth by focusing on high store density within specific communities rather than broad national expansion, becoming the “default infrastructure” for predictable, socially reinforced celebrations. Its franchise-led model uses rapid store payback to turn yesterday’s profits into self-funded future growth, a system they are now attempting to replicate with the acquisition of the Ambala brand.

5. Daniel Thwaites PLC (£THW) – Marsh Equity Research

🍺🏨💷📉

Thesis: “One of the UK’s longest-established family brewers and a diversified hospitality and leisure business… On a multiples basis, the company trades at just 0.19x its adjusted tangible book value, and 0.33x our conservative estimate of net saleable asset value in a voluntary liquidation... In addition to this, the business trades at just 5.6x earnings, and 8.5x normalised free cash flow, equivalent to a free cash flow yield of 11.7%.”

6. Delta Gold Technologies (£DGQ) – Charles Archer

⚛️💡🎰🚀

Thesis: “A portfolio model… building an exclusive IP position across multiple world-class institutions at the precise moment when the quantum computing field is beginning to crack open in unexpected directions. The market cap remains tiny relative to the scale of the opportunity it is pursuing. The shareholder register now includes people who have done this before and made 20x doing it. None of that guarantees anything. The house doesn’t always win just because the right people are at the table. But it does mean you’re in the right casino.”

7. East Star Resources PLC (£EST) – Eric’s Substack

⛏️🥇📉

Thesis: “A mineral exploration company with a portfolio of gold, copper, and rare earth element (REE) assets in Kazakhstan… Our analysis indicates a total SOTP value of £66.61 million, which translates to a price per share of 12.1 pence. This stands in stark contrast to the current market capitalization of approximately £20.61 million (at 3.75p per share), suggesting that East Star Resources is trading at a significant 69% discount to the independently benchmarked value of its assets.”

8. Gamma Communications (£GAMA) – Jayus of Value Investors Club

📞☁️💻📈

Thesis: “A UK-based cloud communications provider that combines its capital‑light voice network with proprietary and third-party products to serve SMBs in all their communication needs… The business still has plenty of growth ahead. A mix of mid‑single to high‑single digit growth and a 9-10% free cash flow yield supports mid‑teens annual returns. A slight re-rating to, a still conservative, 13-15x P/E already lifts the 3 to 5-year annual IRR to 20-30%.”

9. Greggs plc (£GRG) – Compounder Mechanics Substack

🥯🏪🔄📊

Thesis: It is posited that Greggs became a true Great British compounder by carefully aligning low prices, dense and proven local store footprints, and habit-forming customer behaviour so that growth paid for itself and reinforced returns rather than diluting them. It then shows how a small set of KPIs around app-based habit measurement, local density, payback periods and catchment-level sales can be used to track whether this self-reinforcing flywheel is still turning

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10. Gulf Keystone Petroleum (£GKP) – Goldenshare of Value Investors Club

🛢️🌍⏳💰

Thesis: “A UK-listed, Kurdistan-focused upstream oil producer whose valuation has long been dominated by geopolitical risk rather than asset quality… An idiosyncratic upstream opportunity where investors are paid a 10%+ FCF and dividend yield today while waiting for an already-approved export normalisation framework to unlock 2–3x upside, even without higher oil prices.”

11. Halma plc (£HLMA) – Roger Breuer, CFA, ACCA

🔥🌡️🔭💡

Thesis: “Halma plc owns approximately 50 technology companies operating in highly specialised niche markets, like fire and gas detection, environmental monitoring, and medical diagnostics… Buried within their Environmental & Analysis (E&A) segment is a photonics business – Avo Photonics - at the cutting-edge of technological change… Avo Photonics’ hyperscaler client has worked with Halma’s subsidiary for over a decade and this year, the customer is likely to account for over £500 million of revenue. A significant revenue driver buried within this FTSE 100 constituent.”

12. KCR Residential REIT (£KCR) – Newell Street Journal

🏠📉⚖️💸

Thesis: An illiquid UK residential REIT trading at roughly 30% of its conservatively estimated liquidation value, may be forced into a sale or wind‑up due to its entanglement in the receivership of its ultimate controlling shareholder’s debt structure, creating 60–200% potential upside within about a year.

13. Kendrick Resources PLC (£KEN) – Charles Archer

🪨🌍⏱️🚀

Thesis: “A carbonatite complex called Twyfelskupje that might represent one of the highest-grade deposits of the exact rare earth elements the world desperately needs, in quantities that could actually move the needle on supply… The next 120 days will tell us whether this is the beginning of a serious rare earth development story or just another exploration project that fails to live up to its promise. Either way, the option agreement represents a disciplined approach to evaluating a potentially transformative asset.”

14. Lion Finance Group PLC (£BGEO) – Small Company Champion

🦁🏦📈

Thesis: “Lion Finance’s franchise is underpinned by two heavyweight banking operations: Bank of Georgia (BoG) and Ameriabank… At ~7x earnings for nearly 29% ROE, this is one of the more asymmetric risk/reward profiles on the LSE today – a high-quality business priced like a cyclical. For those willing to stomach emerging-market noise, Lion offers precisely what long-term investors seek: durable growth, defensive moats, and a margin of safety wrapped in obscurity.”

15. Panthera Resources (£PAT) – Chevalierd’Aven of Value Investors Club

🐆⚖️🏅💰

Thesis: “A quasi-pure play exposure on an arbitration dispute between an Australian Gold miner and India… the arbitration process is very well under way in London with a final decision possible by the end of 2027. Panthera is well funded and backed by an expert arbitration law firm with an 80% win track record, and PAT only trades at a mere 4% of the updated claim. A full clean adjudication win would x25 the pay-out.”

16. Pinewood Technologies plc (£PINE) – AR Investments

🚗💻📈🔐

Thesis: “A leading provider of dealership management systems (DMS), delivering the mission-critical software that powers day-to-day operations for automotive retailers… If they announce any large contracts, particularly in the US, then we could be looking at another 300% upside by end 2029 for a 4 year IRR of 42%. There’s a good chance that a mission-critical software business growing at 30%+ and printing 40% margins will trade at even higher multiples (30x NTM still seems reasonable).”

17. Public Policy Holding Company (£PPHC) – Contrarian and Correct

🏛️🤝💼🔍

Thesis: “PPHC rolls up firms that lobby the government and advise large corporations. They run a semi-decentralised model: subsidiaries keep their brands but benefit from internal referrals and back office support… The obscurity of its London listing, the limited float, and the GAAP accounting noise all combine to hide a fundamentally excellent business… When the market wakes up — when the NASDAQ listing brings PPHC into view — the multiple expansion will be the beginning.”

18. PureTech Health (£PRTC) – Chris Archer

🧬💊🔬💡

Thesis: “It invents medicines internally, de-risks them early, spins them out into focused subsidiaries backed by third-party capital, and retains meaningful equity, milestones, and royalties… A rare combination of a cash‑anchored balance sheet and multiple late‑ and mid‑stage assets that are materially under‑reflected in the current share price… This is not a risk‑free set‑up… At today’s price, investors are paying little more than cash for a diversified portfolio with multiple realistic paths to multi‑billion‑dollar outcomes.”

19. Rightmove (£RMV) – Daniel’s Deep Dive

🏠🔍💻

Thesis: “It is the country’s leading online property platform where estate agents and developers advertise homes and buyers or renters browse the market… It has built an almost monopolistic position, leading to sticky recurring revenues, very high margins and strong cash flows, supported by steady organic growth over many years. But the main question remains whether Rightmove can defend its strong position in a changing competitive environment and adapt to the rising importance of artificial intelligence. With its investments Rightmove seems ready to prove that it can.”

20. Titon Holdings PLC (£TON) – DW Partnership

🪟🔧📈🛡️

Thesis: “Designs, manufactures, and sells natural ventilation products such as trickle vents (70% of revenue) and a broad range of hardware solutions for window and door fabricators.” “A turnaround play with significant assets providing downside protection. New management team have implemented a turnaround plan to hit 10% revenue growth rate and 15% net margin in 2028… This opportunity falls in the bucket of “very hard to lose money on”.”

21. Trainline (£TRN) – The Oak Bloke

🚂🎫🌍📈

Thesis: “TRN is by far the #1 train ticketing platform in the UK, #1 on the continent within the liberalised areas of rail, and #1 as a B2B Travel Solution for European Rail… With ~20% MORE TRN shares being bought back, and a growing market in liberalised areas of continental Europe, to buy TRN for 7.5X earnings seems fundamentally mispriced for a successful and growing business with a wide moat that will - in my opinion - widen that with the ongoing development of its platforms.”

22. Wise plc (£WISE) – Ryan Henderson of Fiscal.ai

🌐💸🔧🏗️

Thesis: A global payments company. “Instead of hoarding this competitive advantage for their own customers, Wise opened up its infrastructure to competitors… Wise wins regardless of which front-end the customer chooses… As more partners join, Wise processes more volume, which gives them more leverage to drive down costs further, widening the gap between them and any newcomer attempting to replicate their network… Licensing their infrastructure validates that Wise has moved from being a “disruptor” to becoming the utility layer for global payments.”

23. Wise plc (£WISE) – Small Company Champion

💱🌍📊🚀

Thesis: It “provides transparent, low-cost cross-border money transfers and multi-currency financial services to individuals and businesses across more than 160 countries… Wise trades at an attractive multiple for a company generating nearly 30% ROE… While not optically cheap, valuation appears to reflect the firm’s transitional phase—modest revenue deceleration and compressed margins—while preserving long-term optionality.”

24. Zenith Energy (£ZEN) – Charles Archer

⚖️💰🎲

Thesis: “The market is pricing Zenith at roughly £23 million. The company is pursuing claims worth over £500 million against Tunisia across multiple arbitrations. Even if you’re deeply sceptical about their chances, the asymmetry is there… This is a bet on international law working as it’s supposed to — and on Tunisia eventually being forced to pay for behaviour that multiple tribunals have already started calling arbitrary and unlawful.”