Could this be one of these incredible buying opportunities?

A cloud communications giant hiding in plain sight

Gamma Communications (LSE:GAMA) is a leading provider of Unified Communications as a Service (UCaaS) to small- and medium-sized businesses across the UK, Germany, Spain, and the Netherlands.

As a quick crash course, the company helps other businesses ditch their outdated legacy phone hardware and move their communications into the cloud with voice calls, data, mobile, and contact centre tools, all bundled into a single subscription.

Sadly, the share price has fallen roughly 40% since the start of 2025. So much so that today, the shares trade at an earnings multiple of just 13 times.

But that’s unusually cheap for a business still growing revenues and underlying profits at a double-digit rate. And it seems several institutional analysts agree, with teams from Deutsche Bank, Barclays, and Berenberg all issuing Buy recommendations with an average share price target of around 1,400p.

Compared to where the stock’s trading today, that implies a potential 50%+ gain could emerge in the next 12 months!

So what’s driving such confidence?

The growth story analysts are betting on

Gamma’s aiming to replicate its dominant UK UCaaS model in Germany, a market where cloud adoption among businesses is still around 20% compared to far higher levels in the UK.

Its recent German acquisitions of Starface and Placetel gave it over 500,000 cloud PBX seats in Germany almost overnight. And if Germany follows the UK’s migration curve, the revenue opportunity’s enormous.

That obviously sounds rather promising. So what could go wrong? The reason why Gamma shares have struggled of late is that its core UK business is facing genuine near-term headwinds.

The migration of customers from legacy SIP telephony-to-cloud systems has slowed due to weak macroeconomic conditions, creating a gross profit drag of around £1.5m per half-year running into 2026.

There is also pricing pressure in its Enterprise fibre division, where intense market competition is forcing Gamma to discount contracts at renewal. And that’s creating another £3m gross profit drag.

These aren’t business-threatening issues, but they are suppressing near-term earnings. And with the outlook on the UK economy still looking quite soft, these headwinds may prove to be more stubborn than Gamma would like.

The bottom line

All things considered, Gamma Communications looks like a fundamentally sound business at a genuinely cheap valuation currently weighed down by cyclical factors.

There’s a big question mark over when UK market conditions will eventually improve. But with a pan-European growth opportunity on the horizon, the stage appears to be set for an impressive comeback once the tide turns.

That’s why I think this FTSE 250 stock could indeed be worth mulling today.

Should you invest £5,000 in Gamma Communications Plc right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Gamma Communications Plc made the list?

Zaven Boyrazian does not hold any positions in the companies mentioned.

The post A ridiculously-cheap FTSE 250 stock to buy in June? appeared first on The Twelfth Magpie.

But the question now is, which stocks will be the next top performers? Here are two picks from institutional analysts for June.

Raspberry Pi: is there still more to go?

Even after more than tripling, it seems analysts are still bullish about what’s on the horizon. As a quick crash course, Raspberry Pi makes low-cost, high-performance computing platforms used across industrial automation, education, and edge-AI applications.

The most recent trading update upgraded full-year EBITDA guidance to “significantly ahead” of the current market consensus of $42m, and EBITDA across the first half of its 2026 fiscal year is already expected to come in at no less than $38m.

That’s a pretty extraordinary number for a business of this size. And the team of analysts at Jefferies responded by raising its revenue forecast by 42% to $511m, underpinned by accelerating demand from AI and industrial customers.

Peel Hunt also raised its 2026 revenue forecast, though it trimmed its gross margin expectations to reflect the ongoing cost pressures from rising memory prices. And that’s precisely the bear case.

Raspberry Pi’s single-board computers rely heavily on LPDDR4 DRAM, the price of which has risen sharply as memory manufacturers divert capacity to serve AI data centres. As such, the risk of margin compression is significant, especially once the group’s used up its inventory buffers.

Nevertheless, even with this incoming headwind, it’s hard not to be impressed with Raspberry Pi’s fundamentals.

Gamma Communications: the unloved compounder

Another growth stock getting attention from experts is Gamma Communications (LSE:GAMA) – a cloud-based business communications provider serving businesses across the UK and Western Europe.

Unlike Raspberry Pi, Gamma’s share price hasn’t been on a rampage in recent months or even in recent years. But the share price tells a misleading story.

Despite reporting 2025 revenue up 11% to £645.8m and gross margins expanding to 54%, the stock has more than halved from its 52-week high. Why? The market took fright at falling earnings driven by acquisition-related costs from its German expansion.

While these expenses are real, acquisitions are ultimately a short-term distortion rather than a permanent drop in profitability. And its why institutional analysts are starting to think the recent pessimism could be a buying opportunity.

The median 12-month price target from six analysts currently covering the stock sits at 1,427p. That’s roughly 51% higher than where the shares are trading today. And its party why several institutional analysts have reiterated their Buy recommendations in recent months.

To be fair, there are some real risks. The debt-to-equity ratio has risen following the German acquisitions, and any slowdown in the European communications market could pressure near-term earnings even further.

It’s a valid concern. But the consensus is it may currently be too excessive.

The bottom line

Both Raspberry Pi and Gamma represent genuinely different flavours of growth. One is a momentum story with extraordinary near-term numbers but real margin uncertainty ahead. The other is a contrarian recovery play that analysts believe the market’s significantly mispricing.

For investors hunting for British growth stocks in June, both are worth a deeper dive.

Should you invest £5,000 in Gamma Communications Plc right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Gamma Communications Plc made the list?

Zaven Boyrazian does not hold any positions in the companies mentioned.

The post What are the best British growth stocks for June? appeared first on The Twelfth Magpie.

And as another potential added bonus, there could be (no guarantees) some income too. That’s because the company’s paid a dividend every year since 2014. But does this sound too good to be true? Let’s take a closer look.

What does it do?

Gamma Communications provides business-to-business cloud-based telephony, messaging, and video solutions.

And with the UK planning to shut down its old-fashioned copper-based Public Switch Telephone Network in January 2027, the group could be one of the biggest beneficiaries.

But to keep costs to a minimum, many smaller businesses are moving to a fibre alternative rather than a full cloud-based model. Although the group does supply a fibre solution, it earns a much bigger margin on its offering in the cloud.

Despite this, the group continues to grow rapidly. In 2025, it reported an 11% increase in both revenue and adjusted earnings per share (EPS). And as evidence of the stickiness of its customers, the group had recurring revenue of 89%. It also reported a very healthy return on capital employed of 27.8%.

Is it cheap?

As impressive as this might be, the stock’s not particularly cheap when measured against two of the biggest names in the telecoms industry. It trades on 13.8 times its 2025 earnings, compared to a multiple of 12.1 for Vodafone and 11.5 for BT (both have March 2026 financial years). And yet, as we have seen, analysts think the group’s worth significantly more than its current market cap of £860m.

However, we are not really comparing like with like here. Gamma Communications sells exclusively to businesses and the public sector, meaning it earns a much bigger margin. And at the end of 2025, it had net debt of only £9.3m, versus the billions shown on the balance sheets of its two peers.

Significant developments

Further evidence that it could be undervalued came on 15 May, when the company said it was in preliminary discussions with a consortium looking to buy the group. This followed a similar statement in April, when it disclosed that it was talking to “a number of interested counterparties” with a view to putting forward “a proposal that would deliver greater value to shareholders than pursuing a standalone independent strategy”.

But this poses a risk for investors. Undoubtedly, the speculation has helped pushed the group’s share price higher. However, should these discussions be terminated, it’s highly likely that there will be a sharp price correction.

Where does this leave us?

In my opinion, Gamma Communications is an excellent business that’s pursuing a sensible growth strategy, with an emphasis on reducing its reliance on the UK.

But as much as I like the company, I think it would be better to wait until there’s a conclusion to the current takeover discussions before deciding what to do. If the company’s going to be taken private, life as a shareholder is likely to be brief. And if the talks fail, the group’s shares will probably become a lot cheaper. When the position becomes clearer, I shall revisit the investment case.

Should you invest £5,000 in Gamma Communications Plc right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Gamma Communications Plc made the list?

James Beard does not hold any positions in the companies mentioned.

The post Is this FTSE stock really 46% undervalued? appeared first on The Twelfth Magpie.

Despite the FTSE 100 being close to all-time highs, institutional investors are still seeing plenty of opportunities. But is that a good thing?

Buying opportunities 

UK shares have been attracting attention from institutions recently. During the last few years, several companies have either merged or been acquired.

The interest in the UK stock market reflects the fact that valuations have been attractive. And there’s still plenty of interest at the moment.

FTSE 100 testing company Intertek is one of the latest names to emerge as an acquisition target. And it looks like the deal is done.

The firm looks set to accept a bid worth £60 per share. That’s a 59% increase from where the stock was before the interest emerged.

Another stock attracting interest is Gamma Communications (LSE:GAMA). I own this one and I’m working out my next move.

In the last week, the firm named a number of interested party. And the next couple of weeks could be pivotal – one way or another. 

What’s been happening?

The latest news is that Epiris, Providence Equity Partners, and Oakley Capital-Giacom have emerged as potential buyers. And they have until mid-June to make a bid.

As a shareholder, the timing isn’t ideal. The stock has been faltering despite the underlying business doing pretty well. 

From my perspective, that’s when I want to be buying shares – not selling them to someone else. But the move isn’t entirely unreasonable.

Gamma is in an interesting situation. There could be a huge opportunity as the UK retires its copper phone network at the end of the year.

The trouble is, that’s going to be expensive in the short term. So the business might ultimately do better as part of a larger organisation. 

I can see the rationale. But I think any takeover bid has to reflect that potential in the price and I’m not convinced it will.

Selling low

When Gamma’s takeover story emerged, the stock was around 70% off its highs. As an investor, however, that’s not when I want to be selling.

I’d much rather see the firm looking for buyers when the stock is expensive than when it’s cheap. But that’s probably not realistic right now.

Left to its own devices, it doesn’t look like the share price is going to get back to its previous levels. And that’s why management is looking around.

It’ll be interesting to see what happens between now and 13 June. So I’m marking my calendar and keeping a close eye on updates. 

My general feeling, however, is that I’m disappointed. It looks likely to me that the company is going to be sold for less than I think it’s worth.

It does, however, confirm my more general sense that the UK stock market is a place for buyers. And I’m looking for opportunities of my own. 

Where are the opportunities?

Institutions still see the UK stock market as a place to look for undervalued opportunities. And I think they’re right. 

There are several FTSE 100 and FTSE 250 stocks that are trading at unusually low prices right now. That’s where I’m focusing my attention.

The post Where are the opportunities in today’s stock market? appeared first on The Twelfth Magpie.

Gamma Communications (LSE:GAMA) surged 16.6% on the day. I own the stock, but the rising share price gives me a real problem. 

Takeover

In a lot of cases, stocks shot up because oil prices fell. That reduces the threat of inflation and lowers the chances of a recession.

This, however, isn’t why Gamma’s share price went up. It’s the result of the firm being the subject of takeover speculation. The company confirmed on Wednesday (8 April) that it’s in talks with potential bidders. And that has investors excited. 

There’s no guarantee anyone will be interested in buying for the firm. But if they do, they’re likely to pay above the current market value. On the face of it, that’s a good thing for Gamma shareholders. But I’m an investor and I’m not pleased about the news. 

Share prices

Despite the recent jump, Gamma shares are still down 29% in the last year. And the stock’s still below the price I bought it at. That gives me an issue. I had been planning on adding to my investment, but that isn’t so attractive with the share price 16% higher. 

I still think it’s undervalued. But if no offer for the company materialises, the stock could fall straight back to where it was before the jump.

The alternative, however, might be worse. If a bid does appear below the price I bought at, I might end up having to sell at a loss.  Obviously, that would be a big disappointment. Not least, because I still think the business is in a really interesting position right now.

Cloud communications

Gamma’s a business-to-business cloud communications provider. In short, it makes company phones work through the internet. 

At the end of the year, the UK’s set to switch off its copper phone network, and a lot of firms haven’t prepared. Those companies will need help. Gamma’s a natural choice for a lot of them to turn to. But it has some big competitors – and they don’t come much bigger than Microsoft. 

The firm can’t match Microsoft’s scale, but it has some unique advantages. These come from owning the telecoms infrastructure. This means the FTSE 250 firm can fix customer issues directly, which Microsoft can’t. And in mission-critical infrastructure, that’s hugely valuable.

What to do?

I like Gamma Communications as a business and the stock still looks cheap to me. But the situation has become tricky. 

Takeover talk’s put the share price in a strange sort of no-mans land. A lot depends on what happens next in terms of offers. This isn’t just a short-term issue. If the company’s sold, the outcome’s permanent.

My hope is that no deal appears. That’s likely to mean the stock goes down – but at least that way I can get back to buying it.

The post Why this FTSE 250 stock surging 16% is bad news for my portfolio appeared first on The Twelfth Magpie.

The firm’s update from Tuesday (24 March) isn’t strong. But there are reasons to think the future looks much brighter.

Growth(?)

Gamma’s results are complicated. The headline number of 11% revenue growth is strong, but there’s more to it than this.

The majority of the increase is from recent acquisitions in Germany. And this won’t be repeated going forward. 

The acquired businesses are doing well, achieving 10% organic growth. But they’re only a small part of the overall company.

Source: Gamma Communications Full Year 2025 RNS

As a result, the most meaningful sales growth number is probably between 2% and 3%. And that’s much lower.

The UK part of the company is facing big challenges. The copper network switch off is weighing on revenues and increasing costs. 

That’s why the stock fell 10% after the firm’s results. But while the outlook for 2026 isn’t much better, something big could be on the way.

Up to a point, Lord Copper

The UK switching off its copper phone network at the end of this year is both good and bad for Gamma. But I think it’s more good than bad.

In the short term, it means the end of business line rental and broadband services the firm has provided for years. That’s bad for sales. At the same time, Openreach is increasing line rental prices for remaining customers. That also threatens the firm’s margins.

Eventually, though, companies are going to have to move their phone services to the cloud. And Gamma is the UK leader in this. 

The majority of small businesses still need to switch over. That means the potential opportunity ahead is a substantial one. Companies generally don’t change their providers very often. So the benefits of winning new customers could last for decades. 

Competition

There’s a big change coming and Gamma could well be set to benefit. But the company won’t have things all its own way. 

The big risk is that the firm has to compete with some much larger operators. An obvious one is Microsoft. In terms of competing for cloud customers, Gamma can’t match Microsoft’s scale. But it does have some advantages of its own. 

The most obvious is that it’s able to offer better customer support. This comes with having an established network of channel partners. It’s also the result of owning the infrastructure. That means it can offer the ability to intervene to fix problems in ways that Microsoft can’t.

For small businesses that rely on phone numbers working, this could be hugely important. And that’s why the switch is an opportunity for Gamma.

Time to buy?

The stock is at a five-year low and trading at a price-to-earnings (P/E) ratio of eight. That’s also unusually low for the company. 

As a result, £1,000 is enough to buy 128 shares. And that’s what I’m planning to do when I’m next in a position to invest.

Source: TradingView

Analysts aren’t expecting anything in the way of growth for 2026. But they’re more optimistic further ahead.

That fits with the way I see things unfolding for the company. And that’s why I see the lower share price as an opportunity to consider.

The post £1,000 buys 128 shares in this UK stock that could be set to surge appeared first on The Twelfth Magpie.

Such downward volatility is obviously unpleasant. But at the same time, it’s also helped create some tremendous buying opportunities for long-term investors. And as anyone who took advantage of the 2022 market correction saw, the returns can be epic.

Fun fact: since September 2022, the FTSE 250 has generated a total return of 39.3% in less than four years for index investors. But for some stock pickers, the results have been even more explosive.

For example, the shares of Avon Technologies have delivered a 137% total return during this period. Senior delivered a similar performance of 115%. And Goodwin absolutely stole the show with a staggering 750%+ gain!

The question now is, which company in this 2026 correction will be the next Goodwin?

A big winner at a bargain price?

Sadly, there’s no way of knowing for certain which FTSE 250 stocks are on track to deliver a near-9x return over the next four years. But there’s at least one company that institutional analysts have flagged as being seriously underappreciated by the market right now.

That business is Gamma Communications (LSE:GAMA).

Since the start of 2025, the B2B communications specialist has seen its share price compress by over 40%. Subsequently, the stock is now trading at its lowest point since early 2019. But could this be a near-once-in-a-decade buying opportunity?

The experts certainly seem to think so. In a bizarre twist, despite the share price slipping, institutional analysts are overwhelmingly bullish, with eight out of nine recommending the stock as either a Buy or an Outperform with an average share price target of 1,500p – 74.6% higher than where the shares are trading today!

An incoming surge

The biggest growth catalyst for this business is coming in January 2027.

Ten months from now, BT Group will be switching off its legacy copper telephone network (PSTN), forcing hundreds of thousands of businesses to migrate to a cloud-based solution – the very thing Gamma specialises in.

So, why is this FTSE 250 stock still heading in the wrong direction?

While analysts are bullish, it seems investors are reluctant to pull the trigger. After all, BT was supposed to switch off PSTN back in December 2025, but the deadline was extended to 2027. Another delay could mean this incoming growth catalyst might be further away than investors hope.

At the same time, continued weakness throughout the UK economy, particularly for small and medium-sized businesses, has resulted in a reluctance for companies to invest in their communication infrastructure.

These macroeconomic headwinds mean margins have come under pressure. And as a result, short-term investor sentiment has suffered even with explosive long-term tailwinds sitting just around the corner.

So, is this a buying opportunity?

Providing the PSTN switch-off isn’t delayed again, Gamma Communications looks seriously undervalued in my eyes right now. Obviously, it’s not a risk-free investment. But with investors seemingly pricing it as if another delay is inevitable, the stage is set for an awesome potential share price jump over the next 12 months.

That’s why I think Gamma Communications is worth mulling over. And it’s not the only exciting potential buying opportunity I’ve spotted in this correction…

The post FTSE 250 correction: a rare chance to buy cheap shares appeared first on The Twelfth Magpie.

Scrolling through the forecasts

I’m talking about Gamma Communications (LSE:GAMA). Over the past year, the stock’s down 32%, yet it’s still in the FTSE 250. As such, it’s not a small stock that we’re talking about for potentially large gains.

The share price is currently 899p. I can see 11 different contributors to the forecast, with the lowest at 1,080p and the highest at 1,820p. A notable mention goes to Barclays, with the team forecasting a price next year of 1,600p.

Based on the average target price of 1,483p, if hit, this would mean a 65% increase from the current level. Even if this average isn’t reached, even the lowest expected price is higher than where the UK stock is right now.

Taking a step back

Before I get into my view, it’s important to understand why the stock has fallen over the past year. A 32% drop isn’t something that can be brushed off!

The business is a cloud telephony provider that sells related technology and software. Unfortunately, demand among small businesses has been weaker due to economic conditions, dampening organic revenue growth.

Further, there’s a current structural shift in the industry related to the UK PSTN switch-off. This process, which involves ending the old copper phone network, has been delayed and has reduced short-term profits. This is because customers replacing old hardware with fibre solutions often generate lower profit margins for Gamma.

Even though these remain risks going forward, an update last month showed that adjusted EBITDA for the full year is expected to fall within the consensus range of £140m to £143m. Therefore, the business is still profitable and doing well, just not at the pace of growth some expect.

Well-positioned

There are plenty of reasons to think the stock could do well in the coming year. The broader shift to cloud communications continues. Gamma is well positioned to benefit from this ongoing move. It’s also seeing strong growth in the German market, and a large number of businesses there aren’t fully on cloud communications, presenting a lucrative opportunity.

Yet while I believe the stock could rally in 2026, I struggle to see the potential for a 65% surge. Where would that comes from? However, I do think the company looks like good value after the price fall, so it’s a stock to consider for investors. From there, the extent of its rebound is anybody’s guess!

The post This FTSE stock is primed to rally 65% according to the experts appeared first on The Twelfth Magpie.

Unlikely? Let’s try and find out.

A gift?

Card Factory (LSE:CARD) is a common sight on the UK high street. But in December 2025, the card and gift retailer issued a profit warning. Even with the group positioning itself at the value end of the market, it doesn’t seem to have escaped the impact of reduced disposable incomes. Higher employment costs, stubborn inflation and intense competition haven’t helped either.

But analysts reckon the group’s shares are currently (11 February) 57% undervalued. And with a forward price-to-earnings (P/E) ratio of just 5.7, I can see why they might hold this view. The stock also offers an attractive dividend. Based on amounts paid over the past 12 months, it’s yielding 6.7%. Of course, given the profit warning, there’s a possibility this might be cut. And the group has a relatively short history of paying dividends, so the past isn’t a good guide here.

To try and capture more profit, the group designs, manufactures, distributes, and sells its cards. It also claims this helps it react more quickly to changing tastes.

But the business feels a little old-fashioned to me. It recently bought Funky Pigeon to boost its online offering but sending cards does feel like a thing of the past.

The stock’s also one of the most volatile around. With a five-year beta of 3.1, it means if the stock market moves up (or down) by 10%, Card Factory’s share price will change, on average, by 31%.

Despite its attractive valuation and the impressive 12-month share price targets, I think there are better opportunities to consider elsewhere, in markets with healthier long-term growth prospects.

Such as?

One example is Gamma Communications (LSE:GAMA).

With the world moving away from copper phone lines to cloud-based communications, the telephone group’s likely to be one of the biggest beneficiaries. Its Unified Communications as a Service (UCaaS) offering is currently available in the UK, Netherlands, Spain, and Germany.

Analysts reckon its shares are 67% undervalued. With a P/E ratio of only 9.6, there’s strong evidence to support this view. And as an added bonus, the group also pays a modest dividend. The stock’s currently yielding 2.3%.

But the group’s profit has been impacted by a lack of economic growth and a loss of confidence among its target customer base of small and medium-sized businesses. Also, there’s plenty of competition out there.

And the UK’s plans to shut down its Public Switch Telephone Network (PSTN) in early 2027, is a double-edged sword. Some customers are moving to fibre solutions as a cheaper alternative to UCaaS. Although Gamma does provide this service, it earns a lower margin than on its cloud offering.

However, it operates in an industry where the direction of travel is clear. Of course, the PSTN switch-off might be delayed (it has been before) but, eventually, everything will be in the cloud.

I think the recent pullback in the group’s share price – it’s fallen 33% since February 2025 – could be an excellent buying opportunity. I reckon Gamma Communications is a stock to consider.

The post 2 UK stocks tipped to grow 50%+ over the next 12 months appeared first on The Twelfth Magpie.

• Saga – up 353%.
• Goodwin – up 295%.
• Fresnillo – up 462%.
• Ceres Power Holdings – up 108%.
• OXB – up 105%.

But as all experienced investors know, just because a stock’s done well in the past, doesn’t mean it will continue to do so in the future. That’s why institutional analysts are busy hunting down new opportunities for investors to explore in 2026. And right now, the experts have highlighted two FTSE shares with impressive growth potential.

Communication is key

First on the list is Gamma Communications (LSE:GAMA). While often-overlooked, large-scale enterprises often continuously need to communicate both internally and externally. And with old-school phone lines being replaced with cloud telephony, Gamma’s positioned itself to be a leading player in the European unified communications-as-a-service (UCaaS) sector.

Subsequently, the business has evolved into a steady compounder over the years. But in 2025, Gamma shares came under notable pressure. With the firm still heavily reliant on the UK, softer economic conditions saw earnings stumble despite revenues continuing to climb.

This impact has only been amplified by fierce levels of competition from infrastructure incumbents like BT and Vodafone. But with the experts seeing this as a temporary cyclical slowdown, investors may have been a bit too zealous in their selling activity.

So much so that the team at Peel Hunt have recently reiterated a share price target of 1,820p. Compared to where the stock trades today, that represents a 99.7% potential capital gain if earnings momentum is restored – an opportunity worth exploring further.

Data & analytics

RELX (LSE:REL) is another FTSE share that’s seen its market-cap take a hit over the last 12 months, falling by almost 50%!

The business specialises in providing proprietary data access and AI tools used by a variety of businesses, governments, and enterprises. And in areas like scientific research, legal practices, and risk management, the company’s proven to be a mission-critical product for many customers.

However, with the rise of new AI models, investors are growing concerned that RELX’s business could be exposed to disruption. As such, despite the underlying fundamentals remaining impressive, shares of the data vendor have taken quite a beating.

Seeing such volatility isn’t entirely surprising. After all, RELX shares have long since traded at a premium valuation. Yet, the analysts at both Barclays and Morgan Stanley seem to think the market may be getting ahead of itself, issuing share price targets of 3,745p and 3,610p, respectively.

If those projections prove accurate and it’s able to avoid being disrupted by AI, then buying shares today could unlock a potential return of up to 74%!

That’s why, despite the risks, I think this is another FTSE stock worth investigating further in 2026.

The post 2 FTSE shares experts think will smash the market this year! appeared first on The Twelfth Magpie.