Trustpilot Group plc (LSE: TRST) closed Thursday at 209.40p, up 1.36%, despite a target price reduction from Morgan Stanley, which lowered its stance from Overweight to Equal Weight with a revised target of 275 pence.
The downgrade came after a period of strong share price performance that had taken the stock well above the broker’s reassessed fair value range, with the move down in recommendation reflecting valuation discipline rather than any fundamental deterioration.
Earlier in May, regulatory filings showed changes in major shareholding positions, with TR-1 notifications from significant holders reflecting active institutional positioning in the name.
Trustpilot’s most recently reported full-year figures for 2025 showed revenue of $261 million, up nearly 24% on the prior year, with bookings reaching $291 million and adjusted EBITDA improving to a 15.6% margin.
Net income for 2025 came in at $7.8 million, with adjusted free cash flow rising 173% year on year to $46.6 million, demonstrating that the business is increasingly converting its growth into cash.
Management is guiding for high-teens constant-currency revenue growth in 2026, with a two to three percentage point improvement in adjusted EBITDA margin, and has set longer-term targets of reaching 25% EBITDA margins by 2028 and 30% by 2030.
Active reviews on the platform reached 361 million as of the most recent reporting period, with monthly active users of 60 million and annual brand impressions of 127 billion supporting the scale of the platform.
A £30 million share buyback programme announced in September 2025 has been progressing, with shares acquired through the open market and cancelled on an ongoing basis.
One cloud on the horizon is a €4.6 million fine from the Italian Competition Authority in March 2026 for misleading practices around how its services work, which the company said it intends to appeal.
Thursday’s modest gain suggested investor confidence in the growth trajectory remained intact despite the broker downgrade, with the market looking ahead to the next set of revenue metrics for validation.
