London, 27 November 2025 – 3i Group plc (LON: III), the FTSE 100 private equity and infrastructure investor, is in focus today as its shares trade ex‑dividend and its New York–traded ADR hits a new 52‑week low. The moves come just two weeks after the group reported strong half‑year results but spooked the market with a more cautious outlook around its flagship asset, discount retailer Action.
3i Group share price today: ex‑dividend pressure on the FTSE 100
On the London Stock Exchange, 3i’s shares are trading lower on Thursday’s session:
- Last close (LSE): 3,211p
- Intraday range (today): 3,190p–3,248p
- Previous close (Wed 26 Nov): 3,246p
- Move today: roughly ‑1.1% [1]
The Financial Times’ historical data show that 3i’s share price has fallen about 12–13% over the past year, even after a strong multi‑year run. [2]
Hargreaves Lansdown, which also flags the stock as “Ex‑dividend today”, puts the estimated NAV at around 2,867p and the premium to NAV at just over 13%, underlining how highly the market has been prepared to value 3i relative to its underlying portfolio. [3]
On the index level, Reuters reports that 3i Group and Severn Trent are among the FTSE 100 fallers as they trade ex‑dividend, contributing to a modest drop in the blue‑chip index after the UK’s tax‑raising budget. [4]
First FY2026 dividend goes ex‑dividend: key dates and yield
Today’s price move is heavily driven by mechanics rather than fresh bad news: 3i’s first FY2026 dividend has just gone ex‑dividend.
According to 3i’s half‑year report and subsequent announcements:
- Dividend amount: 36.5p per share (first FY2026 dividend)
- Record date: 28 November 2025
- Ex‑dividend date:27 November 2025
- Payment date:9 January 2026 [5]
At today’s share price of around 3,211p, the ex‑dividend amount represents roughly 1.1% of the share price – so a fall of about that magnitude on the ex‑dividend date is largely expected and does not, on its own, signal a change in fundamentals.
Dividend specialists note that this 36.5p interim payout is half of the 73p total dividend paid for FY2025, in line with 3i’s stated policy. [6] Sites tracking income stocks, including Simply Wall St and Hargreaves Lansdown, estimate a forward dividend yield in the 2–2.5% range, depending on the share price used. [7]
What “ex‑dividend” means for 3i shareholders
- Investors who owned 3i shares before today remain entitled to the 36.5p dividend, due in January.
- Buyers from today onward will not receive this particular payout, which is why the share price typically drops by approximately the dividend amount as the market adjusts.
- The move should therefore be viewed as largely mechanical, even though it interacts with existing sentiment around the stock.
Half‑year FY2026 results: strong numbers underpin the dividend
The ex‑dividend date follows impressive half‑year results published on 13 November 2025 for the six months to 30 September 2025. 3i’s own release highlights several key points: [8]
- Total return: £3.29 billion, equivalent to 13% of opening shareholders’ funds (versus 10% a year earlier).
- NAV per share: up from 2,542p (31 March 2025) to 2,857p, helped by currency tailwinds and portfolio gains.
- Private Equity performance: gross investment return of £3.23 billion, or 14% of the opening portfolio, driven primarily by Action and other large holdings.
- Infrastructure business: generated a 9% gross investment return, supported by strong performance in listed vehicle 3i Infrastructure plc (3iN).
- Portfolio value: increased to £29.3 billion from £25.6 billion at the previous year‑end.
- Balance sheet: liquidity of £1.64 billion and net debt of £772 million, leaving gearing at only 3%.
Management used the results to confirm the 36.5p first FY2026 dividend, set explicitly at half of the prior year’s total payout, and to reiterate a cautious stance on deploying capital into new deals while focusing on existing winners.
Action still drives the story: stake increased above 60%
3i’s fortunes remain tightly connected to Action, the Dutch‑based European discount retailer that now represents the bulk of its portfolio value.
From the half‑year report and September’s portfolio update: [9]
- By late October, Action’s net sales and operating EBITDA for the first ten reporting periods of 2025 were up 17% and 15% year‑on‑year, with like‑for‑like (LFL) sales growth of 5.7%.
- Action continues to roll out stores aggressively, adding more than 200 net new outlets year‑to‑date, including initial openings in Switzerland and Romania.
- In September 2025, 3i acquired an additional 2.2% stake in Action from GIC, paid for with 19.9 million new 3i shares, taking its equity stake to 60.1%.
- Following an October capital restructuring and reinvestment of proceeds, 3i further increased its stake to about 62.3%, financed largely from Action’s own cash generation and new term‑loan debt.
An in‑depth piece on 3i’s transformation notes that the group’s share price has risen roughly 300% over the past five years, with Action’s growth the “engine” behind that performance and 3i now ranked among the top 20 companies on the London Stock Exchange by market capitalisation. [10]
Why the shares tumbled earlier this month
Despite these strong numbers, 3i’s share price suffered a sharp sell‑off around the results, setting the tone for current sentiment.
- On results day (13 November), UK coverage from Alliance News and others reported that 3i shares dropped around 11–15% as investors reacted to a more cautious outlook and signs of slowing like‑for‑like growth at Action, particularly in France. [11]
- The Financial Times and other outlets emphasised that Action’s LFL sales growth had slipped from about 6.3% to 5.7% over the first ten reporting periods, with France – roughly a third of Action’s revenues – lagging as higher taxes and weak consumer confidence hit spending. [12]
- This slowdown came just as short‑seller interest around 3i and Action became more vocal, prompting questions over how much further the discount chain can grow in its more mature markets. [13]
In short, the market appears to be grappling with a tension between very strong historic returns and the risk that Action’s growth may decelerate from its previous breakneck pace, especially in a softer European consumer environment.
ADR hits a 52‑week low as global investors reassess
The concerns are not limited to London. In the US, 3i’s unsponsored ADR (OTCMKTS: TGOPY) has just set a fresh one‑year low:
- MarketBeat reports that the ADR traded as low as $10.47 and last at $10.79 on Wednesday, on heavy volume of around 690,000 shares, marking a new 52‑week low. [14]
- Technically, the ADR now sits well below its 50‑day and 200‑day moving averages ($13.70 and $20.37 respectively), reinforcing the sense of a downtrend. [15]
Yet MarketBeat also notes that analyst recommendations remain broadly constructive, with:
- UBS upgrading 3i to “Buy” in October,
- Citigroup reiterating a “Buy” in mid‑November,
- Kepler downgrading to “Strong Sell”, and
- Bernstein initiating coverage at “Outperform”.
That mix leaves the ADR with an average “Moderate Buy” rating, with three Buy calls versus one Sell. [16]
MarketScreener’s consensus for the London shares similarly shows an average recommendation of Buy and an average price target around £45–46, implying sizeable upside from today’s roughly £32 level – though price targets can lag rapid moves and are not guarantees of future performance. [17]
Insider buying: senior management steps in after the drop
One noteworthy signal in the weeks since the sell‑off has been substantial insider buying by 3i’s senior team and directors:
- On 17 November, COO Jasi Halai bought 10,588 shares at about £32.92 and £32.55, while senior Private Equity partner Peter Wirtz acquired 25,000 shares at roughly £34.16. [18]
- Previously, CEO Simon Borrows purchased 30,000 shares, and an associate of non‑executive director Peter McKellar bought a further 4,000 shares. [19]
- By 18 November, Alliance News reported that directors and managers had spent about £3.7 million buying 3i shares in the market after the sell‑off, including finance director James Hatchley’s purchase of 15,000 shares at around £33.97. [20]
Insider buying does not guarantee future share price performance, but it is typically read as a vote of confidence from those closest to the business, especially when it follows a sharp drop.
How attractive is 3i after today’s ex‑dividend move?
Putting the pieces together, today’s action in 3i looks less like a fresh shock and more like a continuation of a repricing that began around the half‑year results:
Supportive factors
- Robust fundamentals: double‑digit total return, rising NAV, strong performance from both Private Equity and Infrastructure. [21]
- Cash generative core asset: Action continues to grow sales, EBITDA and store numbers, funding both buybacks of its own shares and increased distributions to 3i. [22]
- Conservative balance sheet: low gearing and ample liquidity give 3i room to weather a tougher environment. [23]
- Rising dividend: the first FY2026 dividend of 36.5p marks another step up in the payout, with a forward yield in the low‑to‑mid‑2% range and a low payout ratio. [24]
- Insider and analyst support: meaningful insider buying and a generally positive analyst stance, albeit with some dissenting views. [25]
Risks and watchpoints
- Concentration in Action: even after recent stake increases, investors remain uneasy about how much of 3i’s value depends on a single retailer, especially in a weaker French consumer environment. [26]
- Growth deceleration: like‑for‑like growth at Action has eased from earlier levels, and management itself has sounded more cautious about the macro backdrop and deal environment. [27]
- Valuation premium: even after the recent pullback, 3i still trades at a significant premium to NAV, so any disappointment on Action or broader portfolio performance can hit the share price hard. [28]
- Share issuance for Action stake: September’s acquisition of additional Action equity was funded via new 3i shares, modestly diluting existing holders even as it increases long‑term exposure to Action. [29]
Key takeaways for today, 27 November 2025
- Today’s share‑price dip is largely mechanical, as 3i trades ex‑dividend for its 36.5p first FY2026 payout.
- The underlying story is more complex: the group is still delivering strong returns and dividend growth, but markets are reassessing the risk‑reward balance given its heavy reliance on Action and signs of slower growth in key markets.
- Insider buying and broadly positive analyst views contrast with the fresh 52‑week low in the US ADR, highlighting a wide divergence in sentiment.
For existing and prospective investors, the focus over the coming months is likely to remain on:
- Action’s trading over the crucial Christmas and winter period (especially in France).
- Any further guidance on capital allocation, including dividends and potential realisations.
- How far 3i’s share price premium to NAV can be justified if growth continues to moderate.
This article is for information only and does not constitute investment advice or a recommendation to buy or sell any security. Always do your own research and consider speaking to a regulated financial adviser before making investment decisions.
References
1. markets.ft.com, 2. markets.ft.com, 3. www.hl.co.uk, 4. www.reuters.com, 5. www.3i.com, 6. www.marketscreener.com, 7. simplywall.st, 8. www.3i.com, 9. www.3i.com, 10. www.3i.com, 11. global.morningstar.com, 12. www.ft.com, 13. www.ft.com, 14. www.marketbeat.com, 15. www.marketbeat.com, 16. www.marketbeat.com, 17. www.marketscreener.com, 18. www.marketscreener.com, 19. www.marketscreener.com, 20. www.marketscreener.com, 21. www.3i.com, 22. www.3i.com, 23. www.3i.com, 24. www.3i.com, 25. www.marketscreener.com, 26. www.ft.com, 27. www.3i.com, 28. www.hl.co.uk, 29. www.3i.com
