We came across a bullish thesis on Marex Group plc on Latticework’s Substack by MOI Global Equity Research. In this article, we will summarize the bulls’ thesis on MRX. Marex Group plc’s share was trading at $38.99 as of January 13th. MRX’s trailing and forward P/E were 11.24 and 9.23 respectively according to Yahoo Finance.
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Marex is a UK based global financial services platform that provides critical market access, liquidity, and infrastructure to institutional participants across energy, commodity, and financial markets. The company operates through four tightly integrated segments clearing services, agency and execution, market making, and hedging and investment solutions, allowing it to offer a full suite of services that few competitors can match.
Serving roughly 5,000 active clients, Marex has carved out a defensible niche by focusing on mid sized funds that are underserved by large banks due to minimum commission thresholds and by smaller independents that lack the scale and global reach required by these clients.
The investment thesis is anchored in high barriers to entry and a structurally improving competitive landscape. Building a scaled platform in this space is slow and complex, as demonstrated by Marex’s own decade long ramp to establish its initial business. –
Industry consolidation has meaningfully reduced competition, with the number of futures commission merchants declining by roughly half since 2002 even as client assets have expanded. This dynamic has enabled Marex to emerge as a top ten FCM in the U.S. by client assets, with only a handful of peers, notably StoneX, able to offer comparable breadth across all service lines.
Marex is also leveraged to favorable secular and cyclical tailwinds. Rising use of cleared derivatives, expanding commodity markets, higher interest rates, and increased volatility all support demand for its services, making the business an effective play on sustained market activity.
Growth has been driven by a balanced mix of organic initiatives and disciplined M&A, with acquisitions such as ED&F Man and TD Cowen’s prime brokerage materially expanding the client base and revenue mix. This strategy has delivered a decade of consistent profit growth, with adjusted PBT rising from $16 million in 2014 to $321 million in 2024, alongside improving earnings stability and strong free cash flow conversion.
Despite this track record, Marex remains underfollowed due to its UK domicile, small cap size, and limited public history, with additional pressure from a recent short report viewed as immaterial. Trading at roughly 7.7x 2025 earnings, consensus estimates assume only organic growth and exclude future M&A, suggesting the market is undervaluing the company’s long term earnings power and strategic optionality.
Previously, we covered a bullish thesis on Marex Group plc by Karst Research in May 2025, which highlighted the company’s diversified platform, strong profit growth, and disciplined M&A strategy. The company’s stock price has decreased by approximately 14.58% since our coverage. This is because the thesis has not played out yet, due to valuation compression and near term sentiment pressure. However, core business fundamentals remain intact. MOI Global Equity Research shares a similar view but emphasizes valuation disconnect and industry consolidation.
Marex Group plc is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 34 hedge fund portfolios held MRX at the end of the third quarter which was 39 in the previous quarter. While we acknowledge the risk and potential of MRX as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than MRX and that has 10,000% upside potential, check out our report about this cheapest AI stock.
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Disclosure: None.
