It is hard being everyone’s favourite. Raspberry Pi is both last year’s UK initial public offering success story and the poster child for British start-ups. And that is on top of its day job making small, cheap computers. Its high profile has juiced up its share price, however, making it hard to find value in the stock.
The Cambridge-based maker of simple computers on single circuit boards had a cult following among enthusiasts well before its float in June. Its products are deployed in all sorts of devices including livestock trackers and digital signs. Now, helped by its new visibility, its products are making headway with big manufacturers.
Full-year earnings published on Wednesday included a drop in sales as oversupply replaced shortages as an industry-wide problem, leading to a build-up of inventory that the company is confident has passed.