BCA is the leading vehicle exchange operator in the UK and Europe, where structural shifts are driving incremental volumes. Market share is growing too having broadened and enhanced its end-to-end services, enabling solutions for large scale customers (incl. OEMs). Data is a growing part of this unique platform, and of increasing value. Leveraging in-house upgrade capacity also presents scope to increase profit/unit beyond ongoing growth in Buyer finance. Market nerves around residual pricing risk are misplaced; BCA is price agnostic and historically defensive. With a move into the FTSE250 imminent we stay at Buy and have upgraded our target price by 9% to 275p.
