Here’s Why Orchard Funding Group (LON:ORCH) Has Caught The Eye Of Investors

Simply Wall St

Mon, February 16, 2026 at 5:19 PM GMT+9 4 min read

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It’s common for many investors, especially those who are inexperienced, to buy shares in companies with a good story even if these companies are loss-making. Unfortunately, these high risk investments often have little probability of ever paying off, and many investors pay a price to learn their lesson. A loss-making company is yet to prove itself with profit, and eventually the inflow of external capital may dry up.

Despite being in the age of tech-stock blue-sky investing, many investors still adopt a more traditional strategy; buying shares in profitable companies like Orchard Funding Group (LON:ORCH). Even if this company is fairly valued by the market, investors would agree that generating consistent profits will continue to provide Orchard Funding Group with the means to add long-term value to shareholders.

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How Fast Is Orchard Funding Group Growing?

If a company can keep growing earnings per share (EPS) long enough, its share price should eventually follow. So it makes sense that experienced investors pay close attention to company EPS when undertaking investment research. It certainly is nice to see that Orchard Funding Group has managed to grow EPS by 26% per year over three years. If the company can sustain that sort of growth, we’d expect shareholders to come away satisfied.

It’s often helpful to take a look at earnings before interest and tax (EBIT) margins, as well as revenue growth, to get another take on the quality of the company’s growth. Our analysis has highlighted that Orchard Funding Group’s revenue from operations did not account for all of their revenue in the previous 12 months, so our analysis of its margins might not accurately reflect the underlying business. Orchard Funding Group maintained stable EBIT margins over the last year, all while growing revenue 34% to UK£8.8m. That’s encouraging news for the company!

You can take a look at the company’s revenue and earnings growth trend, in the chart below. To see the actual numbers, click on the chart.

AIM:ORCH Earnings and Revenue History February 16th 2026

View our latest analysis for Orchard Funding Group

Since Orchard Funding Group is no giant, with a market capitalisation of UK£13m, you should definitely check its cash and debt before getting too excited about its prospects.

Are Orchard Funding Group Insiders Aligned With All Shareholders?

Seeing insiders owning a large portion of the shares on issue is often a good sign. Their incentives will be aligned with the investors and there’s less of a probability in a sudden sell-off that would impact the share price. So those who are interested in Orchard Funding Group will be delighted to know that insiders have shown their belief, holding a large proportion of the company’s shares. Indeed, with a collective holding of 61%, company insiders are in control and have plenty of capital behind the venture. Intuition will tell you this is a good sign because it suggests they will be incentivised to build value for shareholders over the long term. Although, with Orchard Funding Group being valued at UK£13m, this is a small company we’re talking about. That means insiders only have UK£8.0m worth of shares, despite the large proportional holding. That’s not a huge stake in absolute terms, but it should help keep insiders aligned with other shareholders.

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Should You Add Orchard Funding Group To Your Watchlist?

If you believe that share price follows earnings per share you should definitely be delving further into Orchard Funding Group’s strong EPS growth. With EPS growth rates like that, it’s hardly surprising to see company higher-ups place confidence in the company through continuing to hold a significant investment. The growth and insider confidence is looked upon well and so it’s worthwhile to investigate further with a view to discern the stock’s true value. It is worth noting though that we have found 4 warning signs for Orchard Funding Group (1 is a bit concerning!) that you need to take into consideration.

There’s always the possibility of doing well buying stocks that are not growing earnings and do not have insiders buying shares. But for those who consider these important metrics, we encourage you to check out companies that do have those features. You can access a tailored list of British companies which have demonstrated growth backed by significant insider holdings.

Please note the insider transactions discussed in this article refer to reportable transactions in the relevant jurisdiction.

Have feedback on this article? Concerned about the content? Get in touch** with us directly.**_ Alternatively, email editorial-team (at) simplywallst.com._

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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