Stock Market

Hunting for AI growth stocks to buy? Consider this UK tech startup asked to fly by 2026!

You’ve probably never heard of it They are (LSE: BGO), a small UK technology start-up valued at around £70m. A startup company may not be a household name yet – but give it a few years and that could change.

Analysts who watch the stock expect the share price to rise in the coming year. Currently trading at around 79p a share, the 12-month price average is 206p — a 158% increase.

But don’t trust the salesman’s predictions alone — they can be overly optimistic! I always do my due diligence before considering any stock.

So what is Bango, and what does it do?

Image source: Getty Images

Your subscription engine

Rather than littering the internet with more AI slop, Bango offers a truly useful product: an AI-enhanced subscription aggregation platform.

Its main product, a digital marketing machine, helps businesses integrate services such as Netflix, Amazonand Xbox for a simple offering on their platform, which helps end users sign up and pay with one click.

I recognize the model (and its functionality) because I have used it myself and find it attractive as a value-added feature.

So how does that actually work, and will it gain momentum?

Selling simplicity

The main attraction of this model is the way it appeals to the desire to simplify things in an increasingly complex world. Keeping track of each subscription can be a headache, so having it all in one place feels great!

Under the bonnet, Bango handles payment pipelines: things like carrier billing and other digital payment methods. Additionally, it uses a ‘Digital Vending Machine’ (DVM), which is a catalog and management system for many different subscription offers in one place.

It also monetizes data from this activity, selling insights and audience segments that help its partners target marketing and improve adoption of these digital services.

And it’s working – in 2025, it got a record 12 new customers, up from nine the previous year. DVM, its flagship product, is accepted by seven of the eight major US telecommunications carriers, as well as carriers in Japan, South Korea, Turkey and South Africa.

But what do the numbers say – does it scream the next big story for UK tech, or is it destined to be another forgotten AI dream?

Financial stability

Like many technology-focused penny stocks, the company has yet to turn a profit. But not for lack of trying – overall, things are improving, revenue is up 70% year on year

Although it posted a loss of £2.86m in 2024, this was an improvement to -£7m in 2023. Also, revenue has grown significantly from £12.1m in 2020 to £42.2m today.

Like most startups, it puts money back into the business. The balance sheet is strong with moderate net debt and strong liquidity, and the valuation still assumes respectable growth.

But if its strategy succeeds and gains ground, things may move forward. So is it worth considering?

Balancing risk vs reward

Bango is a classic high-risk game with a lot of growth potential – if it can do it successfully. It could be the next big thing in the UK’s growing tech market. If not, it may be outclassed by an aggressive competitor.

For those who are comfortable with that risk (and the prospect of limited income), a small share should be considered. As always, make sure you reduce risk by balancing with larger names FTSE 100 defense stocks.

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