Why Analysts See Close Brothers Group (LSE:CBG) Story Shifting With Mixed Targets And Fair Value

Simply Wall St

Sun, February 15, 2026 at 11:09 AM GMT+9 3 min read

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Close Brothers Group’s fair value estimate has shifted only marginally from £5.26 to £5.29, while the model’s discount rate has inched up from 11.17% to 11.27%. This small recalibration reflects a tug of war in recent research, with one key firm trimming its price target to £4.75 yet upgrading its stance as sentiment around execution and recovery potential evolves. Stay tuned to see how you can track these kinds of price target moves and keep on top of the changing story around the stock.

Stay updated as the Fair Value for Close Brothers Group shifts by adding it to your watchlist or portfolio. Alternatively, explore our Community to discover new perspectives on Close Brothers Group.

What Wall Street Has Been Saying

🐂 Bullish Takeaways

RBC Capital recently upgraded its stance on Close Brothers Group, signalling improved confidence in the company’s execution and recovery potential, even as questions around the outlook remain.

The upgrade suggests RBC is giving the company credit for how management is handling current conditions, with a focus on execution and the potential for better operational delivery over time.

At the same time, reservations around upside and near term risks are still present, which keeps the tone of the commentary measured rather than outright enthusiastic.

🐻 Bearish Takeaways

RBC Capital analyst Benjamin Toms cut the firm’s price target on Close Brothers to £4.75 from £5.00 while maintaining a Sector Perform rating, which underlines a more cautious stance on valuation and upside.

The combination of a lower price target and a Sector Perform rating signals that, in RBC’s view, the risk and reward profile is balanced, with near term uncertainties and execution risks acting as a brake on a more positive rating.

Do your thoughts align with the Bull or Bear Analysts? Perhaps you think there’s more to the story. Head to the Simply Wall St Community to discover more perspectives or begin writing your own Narrative!

LSE:CBG 1-Year Stock Price Chart

How This Changes the Fair Value For Close Brothers Group

Fair value has moved marginally from £5.26 to £5.29, keeping the updated figure very close to the prior estimate.

The discount rate has edged up slightly from 11.17% to 11.27%, indicating a modestly higher required return in the model.

The revenue growth assumption is effectively unchanged, remaining at 1.62%.

Net profit margin remains essentially flat at 17.63%.

The future P/E has nudged higher from 8.37x to 8.43x, reflecting a small adjustment in earnings valuation assumptions.

 






Story Continues  

🔔 Never Miss an Update: Follow The Narrative

Narratives are simply your story behind the numbers, where you link your view of a company’s business to a set of forecasts for revenue, earnings and margins, and then to a fair value. On Simply Wall St’s Community page, millions of investors use Narratives as an easy tool to compare Fair Value with the current share price and see how the story updates automatically when new news or earnings arrive.

If you want the full story behind Close Brothers Group’s fair value and forecasts, it is worth reading the original Narrative on the Community page.

How the sale of the Asset Management division and technology investments feed into revenue, margin and earnings forecasts through 2028.

What the FCA motor finance review, regulatory costs and Winterflood’s conditions could mean for capital strength and future profitability.

How analysts connect their £4.47 consensus price target, P/E of 8.6x in 2028 and £95.9m earnings expectation for Close Brothers Group to today’s £3.32 share price.

Follow the full Close Brothers Group narrative on Simply Wall St here: CBG: Refined Assumptions And Mixed Street Stance Will Shape Future Share Performance. Curious how numbers become stories that shape markets? Explore Community Narratives

_ 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._

Companies discussed in this article include CBG.L.

Have feedback on this article? Concerned about the content? Get in touch with us directly._ Alternatively, email editorial-team@simplywallst.com_

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