UK Penny Stocks To Consider In October 2024

Over the last 7 days, the United Kingdom market has remained flat but is up 12% over the past year, with earnings forecast to grow by 14% annually. For investors exploring opportunities beyond well-known companies, penny stocks—often representing smaller or newer entities—can present intriguing possibilities. Despite being a somewhat outdated term, these stocks remain relevant for those seeking potential growth and financial resilience in a changing market landscape.

Top 10 Penny Stocks In The United Kingdom

Name	Share Price	Market Cap	Financial Health Rating
Tristel (AIM:TSTL)	£3.85	£176.31M	★★★★★★
FRP Advisory Group (AIM:FRP)	£1.255	£304.09M	★★★★★★
ME Group International (LSE:MEGP)	£2.11	£800.61M	★★★★★★
Polar Capital Holdings (AIM:POLR)	£4.95	£474.22M	★★★★★★
Next 15 Group (AIM:NFG)	£4.08	£405.78M	★★★★☆☆
Supreme (AIM:SUP)	£1.46	£167.92M	★★★★★★
Luceco (LSE:LUCE)	£1.452	£219.31M	★★★★★☆
Stelrad Group (LSE:SRAD)	£1.53	£187.85M	★★★★★☆
Serabi Gold (AIM:SRB)	£0.90	£67.78M	★★★★★★
Impax Asset Management Group (AIM:IPX)	£3.66	£468.35M	★★★★★★

Click here to see the full list of 472 stocks from our UK Penny Stocks screener.

Let's uncover some gems from our specialized screener.

Fonix (AIM:FNX)

Simply Wall St Financial Health Rating: ★★★★★★

Overview: Fonix Plc operates in the United Kingdom, offering mobile payments, messaging, and managed services across sectors such as media, charity, gaming, ticketing, and mobility with a market cap of £233.58 million.

Operations: The company's revenue from facilitating mobile payments and messaging amounts to £76.09 million.

Market Cap: £233.58M

Fonix Plc, with a market cap of £233.58 million, has shown impressive financial performance, reporting a revenue increase to £76.09 million and net income growth to £10.62 million for the year ended June 30, 2024. The company boasts high-quality earnings and an outstanding return on equity of 99.2%, supported by no debt and strong short-term asset coverage over liabilities. Despite an unstable dividend track record, Fonix has proposed a final dividend increase to 5.7 pence per share for November 2024, reflecting robust profit growth exceeding industry averages over recent years without shareholder dilution concerns.

• Get an in-depth perspective on Fonix's performance by reading our balance sheet health report here.
• Review our growth performance report to gain insights into Fonix's future.

Castings (LSE:CGS)

Simply Wall St Financial Health Rating: ★★★★★★

Overview: Castings P.L.C. is involved in iron casting and machining operations across the UK, Europe, the Americas, and internationally, with a market cap of £132.11 million.

Operations: The company's revenue is primarily derived from its Foundry Operations, generating £250.98 million, and Machining Operations, contributing £37.65 million.

Market Cap: £132.11M

Castings P.L.C., with a market cap of £132.11 million, has demonstrated solid financial health, driven by its Foundry and Machining Operations. The company is debt-free, ensuring no interest coverage issues and strong asset coverage over liabilities. Earnings have shown consistent growth, increasing by 21.3% last year and averaging 12.5% annually over five years, outperforming the industry average growth rate of 13%. Despite low return on equity at 12.5%, profit margins have improved to 7.5%. Recent board changes include appointing Stephen Harrison as an independent Non-Executive Director to bolster governance expertise.

• Take a closer look at Castings' potential here in our financial health report.
• Assess Castings' future earnings estimates with our detailed growth reports.

Trifast (LSE:TRI)

Simply Wall St Financial Health Rating: ★★★★☆☆

Overview: Trifast plc, with a market cap of £108.60 million, manufactures and distributes industrial fasteners and category C components across the United Kingdom, Ireland, Europe, North America, and Asia.

Operations: The company generates revenue of £233.67 million from its industrial fasteners and category C components segment.

Market Cap: £108.6M

Trifast plc, with a market cap of £108.60 million, faces challenges as it operates unprofitably with a net loss of £4.44 million for the fiscal year ending March 31, 2024. Despite trading at a significant discount to its estimated fair value and maintaining satisfactory debt levels, the company's return on equity remains negative at -3.58%. Recent executive changes include appointing Kate Ferguson as CFO and Executive Director to potentially strengthen financial management. While short-term assets exceed liabilities and debt is well-covered by cash flow, dividend coverage is weak due to profitability issues.

• Click here to discover the nuances of Trifast with our detailed analytical financial health report.
• Gain insights into Trifast's outlook and expected performance with our report on the company's earnings estimates.

Make It Happen

• Explore the 472 names from our UK Penny Stocks screener here.
• Have a stake in these businesses? Integrate your holdings into Simply Wall St's portfolio for notifications and detailed stock reports.
• Unlock the power of informed investing with Simply Wall St, your free guide to navigating stock markets worldwide.

Looking For Alternative Opportunities?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
• Jump on the AI train with fast growing tech companies forging a new era of innovation.
• Find companies with promising cash flow potential yet trading below their fair value.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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