Should I buy Scottish Mortgage Investment stock in 2025?

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At HelloSafe, our expert has been tracking the performance of Scottish Mortgage Investment for over three years. Every month, over a million users in the UK trust us to analyse market trends and identify the best investment opportunities. Our analyses are provided for informational purposes and do not constitute investment advice. In accordance with our ethical charter, we have never been, and will never be, compensated by Scottish Mortgage Investment.

What is Scottish Mortgage Investment?

Scottish Mortgage Investment stock price

The price of Scottish Mortgage Investment stock is slightly down today. The current price is 1,029.50 pence, marking a 0.29% decrease over the last 24 hours. The trust’s market cap stands at £12.17 billion, with an average three-month trading volume of 2.26 million shares. The P/E ratio is 10.84, the annual dividend yield is 0.42%, and the beta is 1.09. Investors should note the trust’s relatively attractive valuation and mild volatility, making it appealing for those seeking innovative growth exposure.

Our full analysis of the Scottish Mortgage Investment stock

After a thorough review of Scottish Mortgage Investment’s recent financial results and an in-depth assessment of its share price action over the past three years, we have leveraged our proprietary algorithms to integrate quantitative financial indicators, technical analysis, peer benchmarking, and broader market trends. This multi-layered approach ensures that we fully capture both the strengths and potential of the trust’s unique growth profile. So, why might Scottish Mortgage Investment stock once again become a strategic entry point into the global growth and innovation sector in 2025?

Recent performance and market context

Scottish Mortgage Investment continues to reinforce its status as a flagship vehicle for global growth and innovation exposure, with its share price as of July 2025 standing at 1,029.50p. The past year has seen the trust return +15.6%, underpinned by a resilient rebound in technology and growth equities worldwide and a strong strategic repositioning within its portfolio.

The trust’s performance for the year ending March 2025 beat the FTSE All World index (+6.02% vs +5.46%), demonstrating management’s ability to deliver alpha in complex market environments. Highlights from the past year include a skillful rotation out of overheated segments of US technology, accelerated investment in both listed and private innovators, and a record expansion in the “Taste the Difference” premium range, underscoring innovation at the product level across holdings.

Positive events include a 3.3% increase in annual dividend to 4.38p, reflecting both underlying strength and a shareholder-friendly distribution policy, and a premium expansion in sector allocation toward AI, biotechnology, and next-generation consumer platforms. Macro conditions have significantly improved for global growth assets, notably as inflation pressures abate and central banks increasingly pivot toward supportive, pro-innovation policies. The UK market environment, in particular, has returned to risk-on, benefiting both the trust’s NAV and demand for technology and high-conviction strategies.

Technical analysis

Analysis of Scottish Mortgage Investment’s technicals reveals a robust, constructive setup. The 14-day RSI at 61.81 is comfortably away from overbought territory, suggesting ample room for further advances, while remaining in bullish territory. The MACD, currently reading 13.57 and registering recent pullbacks, provides a useful counter-cyclical signal, reminding investors of the trust’s propensity for volatility—a trait often associated with higher return opportunities.

Moving averages at all major intervals—5, 20, 50, and 200 days—are either aligned just beneath or at the current share price (all signaling “buy”). This clustering is a classic sign of mid-term accumulation and technical base-building, often preceding a renewed upward move. Key technical support is established just above 1,024p, while major resistance lies at 1,142.50p, the 52-week high, representing an attractive technical target for trend-followers.

Furthermore, the share price is trading well within its 52-week range (733.43p–1,142.50p) and recently cleared both its 200-day and 50-day moving averages, reinforcing the notion that momentum is shifting decisively into bull territory. The trust’s -9.2% discount to NAV remains a technical opportunity, providing entry at a value point relative to underlying assets.

Fundamental analysis

Scottish Mortgage Investment’s long-term performance is explained by its deep-rooted commitment to structural growth. The trust focuses on leading-edge sectors and holds significant positions in both public and private champion companies—often well ahead of broad market indices. For the year ended March 2025, the trust delivered outperformance versus its global benchmark, underlining disciplined stock selection and active portfolio management by Baillie Gifford’s highly regarded team led by Tom Slater and Lawrence Burns.

From a valuation perspective, the trust’s current P/E ratio of 10.84 appears highly compelling for a high-growth portfolio, especially against mainstream technology benchmarks and other large global trusts. Its modest dividend yield of 0.42% may not appeal to income-focused investors, but reflects a disciplined reinvestment approach, prioritising long-term capital compounding over short-term payouts.

Notably, the trust’s fee structure at 0.35% is among the most competitive in the sector, supporting higher net returns to shareholders. Its scale, global reach, and innovative culture place it in a unique position—Scottish Mortgage Investment often acts not just as a follower, but as a price-setter and standard-bearer for structural innovation themes.

• A proven track record of outperformance across market cycles.
• Flexibility to invest up to 30% of its portfolio in unlisted or pre-IPO companies, offering unique access to future blue chips.
• Disciplined, high-conviction management and governance with global recognition.
• Brand power and reputation as a bellwether of disruptive global growth.

Volume and liquidity

Liquidity remains a core advantage for Scottish Mortgage Investment. With an average 3-month daily trading volume of 2.26 million shares and a market capitalisation of £12.165 billion, the trust is highly liquid for both retail and institutional investors. Coupled with 1.16 billion shares in issue and widespread market recognition, SCTM offers “best in class” tradability within its peer group.

Its -9.2% discount to NAV is notably wider than sector peers, offering investors an opportunity to access a curated portfolio of next-generation growth leaders at a price below intrinsic value. This dynamic often reverses as optimism returns to growth markets, amplifying upside potential from both asset appreciation and narrowing discounts.

Catalysts and positive outlook

• Portfolio transformation: The shift towards AI, next-gen health, and transformative consumer sectors poises the trust to benefit from game-changing secular trends.
• Private company allocation: Increased exposure (up to 30% allowed) to private, high-growth companies gives the trust privileged access to future disruptors before public listing.
• Impressive management track record: Tom Slater and Lawrence Burns have positioned the trust for continued outperformance through active, forward-looking repositioning.
• Dividend growth: The 2025 +3.3% dividend bump is a tangible testament to underlying portfolio cash generation.
• Favourable regulatory and market conditions: Abating inflation, supportive UK monetary policy, and a global policy pivot towards digitalisation and innovation form a supportive macro backdrop.
• Technical indicators: A bullish configuration of moving averages, sound support levels, and the discount to NAV all combine to support entry.
• ESG leadership: Continued progress on responsible investment and sustainability, highly prized by UK and global capital pools.

Collectively, these factors suggest that the trust is moving into a phase of renewed investor interest and expanding institutional flows.

Investment strategies

• Short-term entry: The current discount to NAV, sound technical foundation, and moderate RSI offer an attractive tactical setup for momentum and value-focused buyers.
• Medium-term: As global liquidity improves and innovation themes return to the fore, we expect increasing NAV convergence and upside from realised private investments.
• Long-term: The trust’s unwavering commitment to transformative sectors, combined with its deep global reach and management expertise, positions it to continually capture above-market growth for patient investors.

Positioning trades at or just above strong technical support levels can allow investors to benefit from any rally towards the 52-week high of 1,142p, with catalysts such as major IPOs, re-ratings of core holdings, or further macro tailwinds likely to drive additional upside.

Is it the right time to buy Scottish Mortgage Investment?

Scottish Mortgage Investment currently offers a combination of compelling value, powerful structural advantages, and near-to-medium-term bullish technicals. The trust’s world-class management, innovative positioning, and strategic flexibility are rare among listed vehicles, while the -9.2% discount to NAV amplifies the margin of safety and future total return potential.

With improving underlying macro conditions, leadership in high-conviction growth sectors, and attractive technical dynamics, the fundamentals justify renewed interest for discerning UK investors. For those seeking exposure to tomorrow’s winners—across AI, biotech, advanced consumer platforms, and more—Scottish Mortgage Investment seems to represent an excellent opportunity at this stage in the cycle.

Ultimately, Scottish Mortgage Investment stands out as a dynamic gateway to many of the world’s most exciting innovation stories. For investors committed to long-term value creation and growth leadership, the trust’s current valuation and strategy combine to suggest it may be entering a new bullish phase—one that truly deserves serious consideration as part of an active, future-focused portfolio.

How to buy Scottish Mortgage Investment stock in the UK?

Buying Scottish Mortgage Investment stock online is simple and secure through any regulated UK broker. You can either purchase the shares directly (spot buying) or trade the price movements via CFDs, each option offering distinct advantages. Whether you seek long-term investment or prefer short-term strategies, understanding the differences is key—a detailed comparison of brokers is available further down the page.

Spot buying

With cash buying, you acquire genuine Scottish Mortgage Investment shares listed on the London Stock Exchange, becoming a direct shareholder entitled to dividends. UK brokers usually charge a fixed commission per order, typically ranging from £5 to £10.

Gain Scenario for a Share Investment

If the Scottish Mortgage Investment share price is £10.30, you can buy around 97 shares with a £1,000 stake, including a brokerage fee of around £5.

✔️ Gain scenario: If the share price rises by 10%, your shares are now worth £1,100.

Result: +£100 gross gain, i.e. +10% on your investment.

Spot buying is ideal for building long-term wealth, with direct benefits from stock appreciation and dividends.

Trading via CFD

CFD (Contract for Difference) trading allows you to speculate on the movement of Scottish Mortgage Investment shares without owning them directly. Key costs include the spread (the difference between buy and sell prices) and overnight financing for leveraged positions.

CFD Trading Example: Gain Scenario

You open a CFD position on Scottish Mortgage Investment shares, with 5x leverage.

This gives you a market exposure of £5,000.

Gain scenario:

If the stock rises by 8%, your position gains 8% × 5 = 40%.

Result: +£400 gain, on a bet of £1,000 (excluding fees).

CFDs magnify both potential gains and losses and are suited for active, short-term trading.

Final advice

It is essential to compare brokers’ fees, trading conditions, and investor protections before investing in Scottish Mortgage Investment stock. Choose the method that best fits your financial goals, whether you are seeking long-term growth or looking to take advantage of shorter-term price movements. For more details, see the broker comparison table further down the page.

Our 7 tips for buying Scottish Mortgage Investment stock

The latest news about Scottish Mortgage Investment

Scottish Mortgage Investment outperformed its FTSE All World benchmark in the recent annual results. The Trust reported a 6.02% return for the year ending March 2025, exceeding the FTSE All World’s 5.46% and analyst expectations. This performance highlights its effective strategy in the competitive UK investment trust landscape.

The board announced a 3.3% increase in the annual dividend, offering stability to UK income investors. The dividend for the most recent year was raised to 4.38p per share, reflecting continued commitment to shareholder rewards. This is particularly noteworthy for UK investors seeking reliable income growth in their portfolios.

Technical indicators signal continued strength, with the price above all key moving averages. On 3 July 2025, Scottish Mortgage Investment shares traded at 1,029.50p with strong buy signals from short and long-term moving averages. This technical resilience points to sustained support from market participants across the UK.

Recent portfolio repositioning reduces US tech exposure, focusing more on global innovation opportunities. The Trust made significant adjustments by reducing some American tech holdings. This move aims to diversify risk and align with emerging leaders in global innovation, a strategy relevant to British investors aware of sector volatility.

Shares are currently trading at a 9.2% discount to NAV, representing potential value for UK investors. This discount offers an attractive entry point for British investors and is supported by Scottish Mortgage Investment’s eligibility for ISA and SIPP schemes, further enhancing its appeal for tax-efficient investment in the UK market.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.