Is Marex Group plc (MRX) an Undervalued Stock?

Vltava Fund, an investment management company, recently released its third-quarter 2025 investor letter. A copy of the letter can be downloaded here. The letter is addressed “Value Traps and Growth Traps,” based on the firm’s three new investments from the last quarter. While value and growth stocks seem like clear categories, the author believes they are interconnected rather than opposites. A value trap occurs when investors buy seemingly cheap stocks with underlying structural issues, resulting in stagnation or a decline in share price. However, a growth trap arises when investors purchase shares of rapidly growing companies with high valuations that unexpectedly slow down, leading to reduced projections and declining valuation multiples. Basically, both value and growth are two sides of a coin, and the investor should combine a reasonable price with a realistic outlook. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its third-quarter 2025 investor letter, Vltava Fund highlighted stocks such as Marex Group plc (NASDAQ:MRX). Headquartered in London, the United Kingdom, Marex Group plc (NASDAQ:MRX) is a financial services platform provider company. The one-month return of Marex Group plc (NASDAQ:MRX) was -15.94%, and its shares gained 17.51% of their value over the last 52 weeks. On October 3, 2025, Marex Group plc (NASDAQ:MRX) stock closed at $29.98 per share, with a market capitalization of $2.156 billion.

Vltava Fund stated the following regarding Marex Group plc (NASDAQ:MRX) in its third quarter 2025 investor letter:

“The third new addition to our portfolio consists in shares of Marex Group plc (NASDAQ:MRX). Marex is a diversified global financial services platform based in the UK that provides essential liquidity, market access, and infrastructure services to clients in the energy, commodities, and financial markets. The company’s business is built on four pillars: clearing and exchange access, agency and execution services, market making and hedging, and investment solutions. The company operates on more than 60 exchanges worldwide and is one of the 10 largest clearing houses (futures commission merchant). Its competitive advantages lie especially in its scalable global operating model, investment-intensive technology infrastructure, and strong capital base with an investment rating. Unlike large banks, which focus on the biggest clients and often are burdened by complex systems, Marex offers flexibility and an individual approach to a broader group of customers and with an emphasis on small and medium-sized clients. Compared to smaller competitors, it has advantages in terms of global coverage, product breadth, and ability to serve not only medium-sized but also very large clients. A declining number of competitors in the industry and growing trading volumes put Marex in a strong position for further growth. Among other things, we like the fact that Marex benefits from a market environment with higher volatility.

Marex was established in 2005, but its shares have been traded on the stock exchange only since last year. For most investors, it is still a rather little-known company. Our relationship with Marex gives us a relatively good understanding of its business and competitive advantages. In our opinion, the market is not sufficiently reflecting the company’s long-term growth potential into its share price. That is why we bought it.”

In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.