The UK market has recently faced challenges, with the FTSE 100 and FTSE 250 indices slipping due to weak trade data from China, highlighting global economic interdependencies. Amid these broader market fluctuations, investors might find opportunities in penny stocks—smaller or newer companies that can offer unique growth potential. Although the term “penny stocks” may seem outdated, these investments remain relevant for those seeking affordability paired with robust financial health.
Name
Share Price
Market Cap
Financial Health Rating
Foresight Group Holdings (LSE:FSG)
£4.58
£512.76M
★★★★★★
Warpaint London (AIM:W7L)
£3.25
£262.56M
★★★★★★
FDM Group (Holdings) (LSE:FDM)
£1.246
£136.21M
★★★★★★
Van Elle Holdings (AIM:VANL)
£0.405
£43.82M
★★★★★☆
RWS Holdings (AIM:RWS)
£0.84
£310.61M
★★★★★★
LSL Property Services (LSE:LSL)
£2.75
£282.89M
★★★★★☆
Alumasc Group (AIM:ALU)
£3.675
£132.16M
★★★★★★
Begbies Traynor Group (AIM:BEG)
£1.175
£186.75M
★★★★★★
Croma Security Solutions Group (AIM:CSSG)
£0.79
£10.88M
★★★★★★
Braemar (LSE:BMS)
£2.53
£77.75M
★★★★★★
Click here to see the full list of 299 stocks from our UK Penny Stocks screener.
Let’s take a closer look at a couple of our picks from the screened companies.
Simply Wall St Financial Health Rating: ★★★★★★
Overview: Churchill China plc manufactures and sells ceramic and related products across the United Kingdom, Europe, the United States, and internationally, with a market cap of £47.29 million.
Operations: The company generates revenue primarily from its Ceramics segment, which accounts for £71.10 million, and its Materials segment, contributing £13.06 million.
Market Cap: £47.29M
Churchill China, with a market cap of £47.29 million, primarily generates revenue from its Ceramics segment (£71.10 million). Despite being debt-free for five years and having a stable short-term asset position (£45.6M) exceeding liabilities, the company faces challenges with declining earnings growth and lower profit margins this year (8.1% vs 9.4% last year). The Price-To-Earnings ratio of 7.4x suggests potential undervaluation compared to the UK market average of 16.1x, but high volatility and an unsustainable dividend raise concerns about stability amidst forecasted earnings decline over the next three years.
AIM:CHH Debt to Equity History and Analysis as at Aug 2025
Simply Wall St Financial Health Rating: ★★★★★☆
Overview: Henry Boot PLC operates in the United Kingdom, focusing on property investment and development, land promotion, and construction activities, with a market cap of £307.64 million.
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