3 UK Penny Stocks With Market Caps Under £200M

The United Kingdom’s stock market has recently faced challenges, with the FTSE 100 and FTSE 250 indices experiencing declines amid concerns over weak trade data from China. Despite these broader market pressures, investors may find intriguing opportunities in penny stocks—typically smaller or newer companies that offer potential growth at lower price points. Although the term “penny stock” might seem outdated, these investments remain relevant today as they can present hidden value when backed by strong financials and sound fundamentals.

Click here to see the full list of 472 stocks from our UK Penny Stocks screener.

Let’s dive into some prime choices out of the screener.

Simply Wall St Financial Health Rating: ★★★★★★

Overview: Itaconix plc, with a market cap of £19.55 million, develops plant-based polymers for home and personal care applications in North America and Europe.

Operations: The company generates revenue from two main segments: Formulation Solutions, contributing $1.51 million, and Performance Ingredients, accounting for $5.10 million.

Market Cap: £19.55M

Itaconix plc, with a market cap of £19.55 million, focuses on plant-based polymers and has faced challenges with declining sales, reporting US$2.78 million for the first half of 2024 compared to US$4.03 million the previous year. Despite being unprofitable and having a negative return on equity (-18.4%), Itaconix is debt-free and maintains sufficient cash runway for over a year based on current free cash flow trends. The company is leveraging its seasoned management team to drive innovation through initiatives like the SPARX program, aiming to introduce new sustainable products in collaboration with industry partners by 2025.

• Take a closer look at Itaconix’s potential here in our financial health report.

• Gain insights into Itaconix’s outlook and expected performance with our report on the company’s earnings estimates.

Simply Wall St Financial Health Rating: ★★★★★☆

Overview: Knights Group Holdings plc, with a market cap of £104.82 million, operates in the United Kingdom offering legal and professional services through its subsidiaries.