tinyBuild is the strongest- performing UK video game stock of 2026, up by over 80% since the beginning of the year. We like the diversified portfolio of own-IP which offers a strong risk-reward combination. After three years of neglect, the video game sector is starting to attract investors’ interest again. We forecast solid H1 results ($18.7m revenue and $3m Adj. EBITDA) and a strong second half, based simply on titles for which the release date has already been announced (e.g. Restory, Graveyard Keeper 2, Probably Stolen). If future releases continue to track positively, there is also some potential for upside surprise over coming months.

Oxford Metrics yesterday announced the acquisition of Captive Devices a specialist in markerless motion capture of facial expressions and movements. The total consideration is for up to £750,000, made up, subject to the usual adjustments, of £250k cash, £300k shares and £200k cash contingent. Founded in 2024 by experienced gaming industry professionals, Captive Devices has already achieved sales to major studios. The deal adds an exciting new set of products, solutions and knowhow to Vicon, whilst providing Captive Devices with access to Vicon’s market leading international customer base.

The FY trading update informs us that with a 40% FY26 Adj. EBITDA margin, Beeks once again distances itself from its international IaaS peers and the wider UK tech group, which average 33.9% and 22.1%, respectively. As CEO Gordon McArthur reminds, Beeks ‘now has four differentiated offerings’ and enjoys ‘a strong pipeline across each’. FY27 has begun well, a point telegraphed by record £34m ACMRR. Beeks’ financial model matured in FY26: Proximity Cloud, Exchange Cloud, Public/Private Cloud were joined by Market Edge Intelligence. All are revenue generating; all are selling globally. The only wrinkle in the update is net cash, £0.6m below our initial estimate. This trailed the ‘significant upfront infrastructure investment…to support the new Exchange Cloud deployments’, several of which are now cash flow positive. In this, Beeks follows the wider IaaS industry, which, to reflect the AI imperative, is spending to update infrastructure and the customer offer. Beeks is a long-term secular growth investment play, with a ‘best of breed’ financial model, a strengthening moat and is executing on a global TAM. The debut of Market Edge Intelligence gives its financial model a new rung with software KPIs. In our view, none of this is reflected in a pedestrian 9.3x FY26E EV/EBITDA vs 13x for the IaaS cohort and 10.1x for UK tech peers.

SAND debuted last week and has since notched up 38,336 peak concurrent users – a record. As #25 on Steam wishlists, SAND is a major release, coming after six and a half years of development. The launch dovetailed into tinyBuild’s upbeat AGM trading update (18 June), with news of ‘ahead of expectations’ revenue and confidence on delivering 2026 results ‘at least in line with expectations’. Taken together, tinyBuild is delivering on its pipeline with continued sequential momentum, underpinning expectations and with an expanding pipeline (note: Last Harbor). tinyBuild cautions on the challenging macro backdrop but is nurturing pipeline, focused on the back catalogue, and managing cash (low point: summer 2026). As CEO Alex Nichiporchik comments, the company is ‘finally seeing the payoff from the work we’ve put into new IP’. Recoveries are often punctuated by faltering, uneven performance, and wishlists do not turn into unit sales in a straight line, but the Steam ‘tell’ suggests that forecast risk is on the upside. Trading on 7.2x EV/EBITDA, we believe the share price does not reflect the recovery payback: better earnings/better rating.

The OM investor event on 17th June brought together the PLC board management and the divisional MDs to present on the Group and its direction, including its updated strategy and capital allocation policy. The presentations gave a clear view on the path management is seeking to take to doubling revenues, ARR ~25% of revenue and adjusted EBIT margin in mid-teens %. There is considerable potential to take Vicon from a product to a platform business and IVMS from a projects to a products business, along with evolving their routes to market. Perhaps the most encouraging feature was that the narrative focused less on market growth and technology adoption, and more on what OM itself can do to drive sales and provide customers with modern, innovative solutions.

OM’s results for the period ended 31 March 2026 provide encouraging evidence of clear strategic and operational progress. The figures are in line with the trading update given in April with revenue £20.7m, up 3% on the prior year, and Adjusted LBIT £(0.2m) an improvement upon the prior year’s £(0.4m). Motion Capture has had a good start to the 15-month period, although Vision Metrology has seen the impact of delays in some customer projects. The important event today, however, is not the interim results but the investor event this afternoon at which management will give further insight into the updated group strategy and capital allocation – with perhaps the most exciting prospect being the presentations on Vision Metrology’s evolving opportunity.