UK Index Dec25 Forecast: Largest UK IPO of the Year Among Inclusions

Director, Hiber Capital Management

Juan Pedro Rodríguez Serrate

Director

Hiber Capital Management

Equity Capital Markets

<ul>
<li>Strong post-IPO performance: listed at £3.70/share, now £3.90, valuing Shawbrook near £2bn with forecast 2026 P/E of 7x and up to 93% implied upside.</li>
<li>Robust fundamentals: 15% loan growth, 17% income growth, 36% cost-to-income ratio, and RoTE above 15%, supporting premium valuation versus UK peers.</li>
<li>Strategic positioning: combines challenger bank scalability with specialist credit discipline, offering best-in-class efficiency and resilient asset quality.</li>
</ul>


Strong post-IPO performance: listed at £3.70/share, now £3.90, valuing Shawbrook near £2bn with forecast 2026 P/E of 7x and up to 93% implied upside.
Robust fundamentals: 15% loan growth, 17% income growth, 36% cost-to-income ratio, and RoTE above 15%, supporting premium valuation versus UK peers.
Strategic positioning: combines challenger bank scalability with specialist credit discipline, offering best-in-class efficiency and resilient asset quality.


Shawbrook Group (SHAW): Strong Financial Performance and Significant Re-Rating Potential Post-IPO