Investec Group (INVP.L) stock analysis

In our weekly check, Investec Group is graded D (A to F). Of 25 checks on debt, profit, cash flow and trend: 12 pass, warnings: 4, red flags: 9.

About Investec Group

Investec Group is a Financial Services company (Financial - Capital Markets) based in South Africa, listed on LSE as INVP.L.

What our checks show for INVP.L

Red flags

• The gross margin fell by 21.5 points, to 43.6%: costs are rising faster than prices.
• Operating cash flow is negative while the company reports a profit: the profit does not arrive as cash.
• Analysts expect revenue to shrink about 17.4% a year.
• The stock has fallen as much as 78% from a peak. Would you have held through that?
• Recovering from its deepest fall took about 13.7 years.
• Return on capital (ROCE) is only 1.3%.
• Pay in shares equals 0% of free cash flow: it dilutes shareholders.

Warning signs

• The net margin fell by 2.2 points over 5 years, to 15.3%: the company keeps less of each sale as profit.
• Earnings per share fell 3.6% a year over the last 3 years.
• Net profit fell 3.4% a year over the last 3 years.
• Free cash flow is only 0% of revenue.

Strengths

• Analysts expect earnings per share to grow about 11.2% a year over the next years.
• Analysts expect the net margin to improve by 19.4 points from today's 15.3%.
• The dividend takes 35% of profit: there is a cushion.
• The price is 7.9 times earnings (P/E), reasonable for its growth.
• Beta 0.45: the stock usually moves less than the market.
• Actively traded: about 2.6 million shares a day.

Next earnings report: 2026-11-19

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Questions

What grade does Investec Group (INVP.L) have?

In our weekly check, Investec Group is graded D (A to F). Of 25 checks on debt, profit, cash flow and trend: 12 pass, warnings: 4, red flags: 9. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of INVP.L stock?

This week's biggest flags for Investec Group: Gross margin falling, Profits not backed by cash, Weak revenue forecast. In total 13 of 25 checks show a warning or a red flag.

What does Investec Group do?

Investec Group is a Financial Services company (Financial - Capital Markets) based in South Africa, listed on LSE as INVP.L.

When does Investec Group report earnings next?

The next earnings report is expected on 2026-11-19. 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 2026-10-31

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