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RBC keeps outperform rating on IWG with 43% return potential despite H1 profit miss

Analyst Insights
13 Aug 2026
Proactive Investors
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Bullish
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RBC Capital Markets maintains a 260p price target and outperform rating on IWG PLC, citing a 43% total return potential despite the company's first-half profit missing estimates. IWG's earnings before interest, tax, depreciation, and amortisation were $265 million, below RBC's $285 million forecast, affected by higher overhead costs. However, revenues exceeded expectations and full-year guidance remains unchanged, with overheads expected to drop by £30 million in H2. RBC highlights growth in the managed and franchised division and expects a re-rating driven by a shift to capital-light centers, with cash returns to shareholders.

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