- International Workplace Group
- 02 July 2025 11:09:10
Source: Sharecast
Berenberg said IWG has a network bigger than that of its top ten competitors combined, spans over 120 countries and includes roughly 4,000 open centres, putting it at the inflexion point of its capital-light growth transition phase.
The German bank said the expansion of IWG's managed and franchised division, combined with structural tailwinds in the flex workspace market, created "a solid backdrop for the business".
"Given the strong levels of FCF that the company's growth plans are set to deliver, and with capital allocation focused on buybacks, we estimate that IWG could buy back circa $550.0m of shares over FY25-27E – equal to over 20% of its current market cap," said Berenberg, which reiterated its 'buy' rating on the stock.
Berenberg also noted that IWG trades on 6.3x FY25 enterprise value/underlying earnings ratio, with the multiple contracting to 4.3x in FY27.
Reporting by Iain Gilbert at Sharecast.com