Stock Analysis

UK Penny Stocks To Watch In February 2025

AIM:DELT
Source: Shutterstock

The UK market has been facing challenges, with the FTSE 100 index recently declining due to weak trade data from China, highlighting the impact of global economic interdependencies. In such a climate, penny stocks—though often overlooked—can present unique opportunities for investors seeking growth potential in smaller or newer companies. While the term "penny stock" may seem outdated, these investments can still offer promising prospects when supported by strong financials and resilience.

Top 10 Penny Stocks In The United Kingdom

NameShare PriceMarket CapFinancial Health Rating
Warpaint London (AIM:W7L)£3.65£294.87M★★★★★★
Foresight Group Holdings (LSE:FSG)£3.85£438.82M★★★★★★
Next 15 Group (AIM:NFG)£3.03£301.35M★★★★☆☆
Polar Capital Holdings (AIM:POLR)£4.60£443.42M★★★★★★
Begbies Traynor Group (AIM:BEG)£0.934£148.85M★★★★★★
Croma Security Solutions Group (AIM:CSSG)£0.875£12.01M★★★★★★
Helios Underwriting (AIM:HUW)£2.19£156.24M★★★★★☆
Secure Trust Bank (LSE:STB)£4.33£82.58M★★★★☆☆
Ultimate Products (LSE:ULTP)£0.786£66.72M★★★★★★
Van Elle Holdings (AIM:VANL)£0.39£42.2M★★★★★★

Click here to see the full list of 445 stocks from our UK Penny Stocks screener.

Let's review some notable picks from our screened stocks.

Deltic Energy (AIM:DELT)

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

Overview: Deltic Energy Plc is a natural resources investing company focused on the exploration, evaluation, and development of gas and oil licenses in the Southern and Central North Sea, with a market cap of £3.61 million.

Operations: There are no reported revenue segments for Deltic Energy.

Market Cap: £3.61M

Deltic Energy, with a market cap of £3.61 million, is a pre-revenue company focused on North Sea gas and oil exploration. Despite being debt-free and having short-term assets exceeding liabilities, it faces financial challenges with less than one year of cash runway if current free cash flow trends persist. The company trades at 49.3% below its estimated fair value but remains unprofitable with a negative return on equity and increasing losses over the past five years. Its share price volatility has decreased yet remains higher than most UK stocks, reflecting ongoing market uncertainty about its prospects.

AIM:DELT Financial Position Analysis as at Feb 2025
AIM:DELT Financial Position Analysis as at Feb 2025

Metir (AIM:MET)

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

Overview: Metir plc manufactures and sells equipment for monitoring water toxins and pathogens across the United Kingdom, the United States, Europe, China, and other international markets with a market cap of £1.48 million.

Operations: The company's revenue is primarily derived from the research, development, and commercialisation of scientific instruments, generating £0.61 million.

Market Cap: £1.48M

Metir plc, recently rebranded from Microsaic Systems, operates in the scientific instruments sector with a market cap of £1.48 million and generates revenue of £0.61 million, classifying it as pre-revenue. Despite being debt-free and having short-term assets of £1.7 million that exceed both short-term (£405K) and long-term liabilities (£19K), Metir faces financial constraints with less than one year of cash runway at current free cash flow rates. The management team is relatively new, averaging 1.4 years in tenure, while the board is experienced with an average tenure of 7.8 years.

AIM:MET Debt to Equity History and Analysis as at Feb 2025
AIM:MET Debt to Equity History and Analysis as at Feb 2025

OPG Power Ventures (AIM:OPG)

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

Overview: OPG Power Ventures Plc, with a market cap of £20.24 million, develops, owns, operates, and maintains private sector power projects in India through its subsidiaries.

Operations: The company generates revenue primarily from its Thermal Power segment, which amounted to £172.70 million.

Market Cap: £20.24M

OPG Power Ventures, with a market cap of £20.24 million, primarily generates revenue from its Thermal Power segment, reporting sales of £86.88 million for the half year ended September 2024. Despite a decline in earnings over the past five years and recent negative earnings growth, OPG maintains financial stability with short-term assets exceeding both short and long-term liabilities. The company's interest payments are well covered by EBIT and operating cash flow effectively covers its debt. While profit margins have decreased to 2.5%, OPG's debt-to-equity ratio has improved significantly over five years, indicating effective debt management strategies.

AIM:OPG Debt to Equity History and Analysis as at Feb 2025
AIM:OPG Debt to Equity History and Analysis as at Feb 2025

Where To Now?

Looking For Alternative Opportunities?

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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About AIM:DELT

Deltic Energy

A natural resources investing company, engages in the exploration, evaluation, and development of gas and oil licenses in the Southern and Central North Sea.

Excellent balance sheet moderate.