3i Group plc (III.L) stock analysis
In our weekly check, 3i Group plc is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 16 pass, warnings: 4, red flags: 5.
About 3i Group plc
3i Group plc is a Financial Services company (Asset Management) based in the United Kingdom, listed on LSE as III.L.
What our checks show for III.L
Red flags
- Operating cash flow is only 0.03x net profit: part of the reported profit does not arrive as cash.
- Analysts expect the net margin to shrink by 3.6 points from today's 94.8%.
- The stock has fallen as much as 83% from a peak. Would you have held through that?
- Recovering from its deepest fall took about 8.3 years.
- Beta 1.63: the stock usually moves more than the market, both up and down.
Warning signs
- The net margin fell by 1.6 points over 5 years, to 94.8%: the company keeps less of each sale as profit.
- Free cash flow is only 2.6% of revenue.
- Free cash flow covers the dividend only 0.3 times.
- The price swings a lot: 49.2% annual volatility. Expect large ups and downs.
Strengths
- Net debt is only 0.1x a year of EBITDA: the balance sheet has room.
- Operating profit covers interest 112 times over.
- The company keeps 94.8% of its revenue as net profit.
- A large company: market value $31.38 billion.
- Actively traded: about 2 million shares a day.
- Return on capital (ROCE) is 17%: the business earns well on the money put into it.
Next earnings report: 2026-11-12
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Questions
What grade does 3i Group plc (III.L) have?
In our weekly check, 3i Group plc is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 16 pass, warnings: 4, red flags: 5. The grade is a risk check, not a buy or sell recommendation.
What are the main risks of III.L stock?
This week's biggest flags for 3i Group plc: Profits not backed by cash, Margins expected to shrink, Deep past fall. In total 9 of 25 checks show a warning or a red flag.
What does 3i Group plc do?
3i Group plc is a Financial Services company (Asset Management) based in the United Kingdom, listed on LSE as III.L.
When does 3i Group plc report earnings next?
The next earnings report is expected on 2026-11-12. We re-run the checks every week, so the grade can change after it.
The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.
Updated 2026-10-24
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