Macquarie says this cheap ASX All Ords stock offers huge upside and 9% dividend yield

Let's see what Macquarie is saying about this stock.

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If you are looking for that winning combo of major upside potential and an attractive dividend yield, then look no further than the ASX All Ords stock in this article.

That's because the team at Macquarie Group Ltd (ASX: MQG) believes that it will provide both for investors over the next 12 months.

Which ASX All Ords stock?

The stock in question is IPH Ltd (ASX: IPH). It is an international intellectual property services group with a network of member firms working throughout 26 IP jurisdictions and clients in more than 25 countries. This includes Fortune Global 500 companies and other multinationals, public sector research organisations, SMEs, and professional services firms.

Macquarie has been looking through recent industry data and highlights that the company's market share has softened recently. It said:

IPH's sustained lower filing activity saw market share in Aust fall to 25.9% in August prior to seasoning. This is IPH's lowest level of market share in the past 3 years. IPH PCT filings remain volatile, down -9% YoY in Aug-25. Global activity (12-18mth lead indicator): US PCT activity growth remains negative (-7.8% qtr rolling, -6.1% annual rolling to May-25). Allowing for a 12-18mth delay between primary market filings (US) and secondary market filings (Aust), current Aust activity correlates with the historical weak US activity.

The good news is that there are signs that the tide could be turning in July, with positive revisions being made against initial estimates. It adds:

Activity seasoning summary: IPH and Market activity in July continue to report positive revisions vs initial estimates. June is yet to show seasoning and May is unchanged this month and may be fully seasoned.

Big returns

According to the note, the broker has retained its outperform rating and $5.55 price target on the ASX All Ords stock,

Based on its current share price of $4.38, this implies potential upside of 27% for investors over the next 12 months.

In addition, it is forecasting a massive 9% dividend yield in FY 2026, boosting the total potential return to approximately 36%.

Commenting on its recommendation, the broker said:

Outperform. Despite disappointing operating performance in FY25, the cost-out, underlying improvement in FY26e and cash generation remain attractive.

Valuation: No change to valuation. Catalysts: Recovery in filing volumes and improvement in US PCT filings.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Macquarie Group. The Motley Fool Australia has positions in and has recommended Macquarie Group. The Motley Fool Australia has recommended IPH Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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