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Lloyds Banking Group

LSE:LLD6
Snowflake Description

Excellent balance sheet established dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
LLD6
LSE
£41B
Market Cap
  1. Home
  2. GB
  3. Banks
Company description

Lloyds Banking Group plc provides banking and financial services under the Lloyds Bank, Halifax, Bank of Scotland, and Scottish Widows brands in the United Kingdom and internationally. The last earnings update was 87 days ago. More info.


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LLD6 Share Price and Events
7 Day Returns
0%
LSE:LLD6
3.1%
GB Banks
0.5%
GB Market
1 Year Returns
-
LSE:LLD6
-19%
GB Banks
-9.9%
GB Market
LLD6 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Lloyds Banking Group (LLD6) 0% 0% - - -10.8% 2.5%
GB Banks 3.1% 6% 3.7% -19% 11.4% -22.1%
GB Market 0.5% 4.1% -0.9% -9.9% 13.7% -5.3%
1 Year Return vs Industry and Market
  • No trading data on LLD6.
  • No trading data on LLD6.
Price Volatility
LLD6
Industry
5yr Volatility vs Market

LLD6 Value

 Is Lloyds Banking Group undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Lloyds Banking Group to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Lloyds Banking Group.

LSE:LLD6 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Weighted future Return on Equity estimates from 13 analysts.
= Stable Book Value * Return on Equity
= £0.65 * 12.4%
£0.08
Book Value of Equity per Share Weighted future Book Value estimates from 10 analysts. £0.65
Discount Rate (Cost of Equity) See below 8.2%
Perpetual Growth Rate 10-Year GB Government Bond Rate 1.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for LSE:LLD6
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 1.2%
Equity Risk Premium S&P Global 8.8%
Banks Unlevered Beta Simply Wall St/ S&P Global 0.77
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.769 (1 + (1- 19%) (0%))
0.71
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (0.8 * 8.77%)
8.25%

Discounted Cash Flow Calculation for LSE:LLD6 using Excess Returns Model Model

The calculations below outline how an intrinsic value for Lloyds Banking Group is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

LSE:LLD6 Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (12.4% – 8.25%) * £0.65)
£0.03
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= £0.03 / (8.25% - 1.23%)
£0.39
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= £0.65 + £0.39
£1.04
LSE:LLD6 Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in LSE:LLD6 represents 173.01038x of LSE:LLOY
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
173.01038x
Value per Share
(Listing Adjusted, USD)
= Value per Share (GBP) x Listing Adjustment Factor
= £ 1.04 x 173.01038
$179.72
Value per share (USD) From above. $179.72
Current discount Discount to share price of $100.40
= -1 x ($100.40 - $179.72) / $179.72
44.1%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Lloyds Banking Group is available for.
Intrinsic value
44%
Share price is $100.4 vs Future cash flow value of $179.72
Current Discount Checks
For Lloyds Banking Group to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Lloyds Banking Group's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Lloyds Banking Group's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Lloyds Banking Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Lloyds Banking Group's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
LSE:LLD6 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-09-30) in GBP £0.06
LSE:LLOY Share Price ** LSE (2018-10-23) in GBP £0.58
United Kingdom of Great Britain and Northern Ireland Banks Industry PE Ratio Median Figure of 15 Publicly-Listed Banks Companies 9.52x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 815 Publicly-Listed Companies 15.77x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Lloyds Banking Group.

LSE:LLD6 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= LSE:LLOY Share Price ÷ EPS (both in GBP)

= 0.58 ÷ 0.06

10.08x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Lloyds Banking Group is overvalued based on earnings compared to the GB Banks industry average.
  • Lloyds Banking Group is good value based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does Lloyds Banking Group's expected growth come at a high price?
Raw Data
LSE:LLD6 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 10.08x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 15 Analysts
7.8%per year
United Kingdom of Great Britain and Northern Ireland Banks Industry PEG Ratio Median Figure of 14 Publicly-Listed Banks Companies 0.55x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 573 Publicly-Listed Companies 1.3x

*Line of best fit is calculated by linear regression .

LSE:LLD6 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 10.08x ÷ 7.8%

1.3x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Lloyds Banking Group is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Lloyds Banking Group's assets?
Raw Data
LSE:LLD6 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-09-30) in GBP £0.61
LSE:LLOY Share Price * LSE (2018-10-23) in GBP £0.58
United Kingdom of Great Britain and Northern Ireland Banks Industry PB Ratio Median Figure of 16 Publicly-Listed Banks Companies 0.88x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,361 Publicly-Listed Companies 1.51x
LSE:LLD6 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= LSE:LLOY Share Price ÷ Book Value per Share (both in GBP)

= 0.58 ÷ 0.61

0.95x

* Primary Listing of Lloyds Banking Group.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Lloyds Banking Group is overvalued based on assets compared to the GB Banks industry average.
X
Value checks
We assess Lloyds Banking Group's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Banks industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Banks industry average (and greater than 0)? (1 check)
  5. Lloyds Banking Group has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

LLD6 Future Performance

 How is Lloyds Banking Group expected to perform in the next 1 to 3 years based on estimates from 15 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
7.8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Lloyds Banking Group expected to grow at an attractive rate?
  • Lloyds Banking Group's earnings growth is expected to exceed the low risk savings rate of 1.2%.
Growth vs Market Checks
  • Lloyds Banking Group's earnings growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
  • Lloyds Banking Group's revenue growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
Raw Data
LSE:LLD6 Future Growth Rates Data Sources
Data Point Source Value (per year)
LSE:LLD6 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 15 Analysts 7.8%
LSE:LLD6 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 15 Analysts 0.3%
United Kingdom of Great Britain and Northern Ireland Banks Industry Earnings Growth Rate Market Cap Weighted Average 15.5%
United Kingdom of Great Britain and Northern Ireland Banks Industry Revenue Growth Rate Market Cap Weighted Average 4.2%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 11.3%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 3.8%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
LSE:LLD6 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 15 Analyst Estimates (S&P Global) See Below
All numbers in GBP Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
LSE:LLD6 Future Estimates Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 18,891 5,074 3
2020-12-31 18,808 5,103 15
2019-12-31 18,722 4,787 15
2018-12-31 18,765 4,248 15
LSE:LLD6 Past Financials Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income *
2018-09-30 17,800 4,049
2018-06-30 17,748 -10,641 4,122
2018-03-31 17,782 3,751
2017-12-31 17,741 -19,523 3,494
2017-09-30 17,647 3,158
2017-06-30 16,855 -20,869 1,750
2017-03-31 17,641 2,126
2016-12-31 16,598 6,418 1,742
2016-09-30 16,460 993
2016-06-30 16,717 15,801 1,460
2016-03-31 15,456 139
2015-12-31 16,615 14,517 546

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Lloyds Banking Group's earnings are expected to grow by 7.8% yearly, however this is not considered high growth (20% yearly).
  • Lloyds Banking Group's revenue is expected to grow by 0.3% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
LSE:LLD6 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 15 Analyst Estimates (S&P Global) See Below

All data from Lloyds Banking Group Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:LLD6 Future Estimates Data
Date (Data in GBP Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 0.07 0.08 0.07 3.00
2020-12-31 0.07 0.08 0.06 12.00
2019-12-31 0.07 0.08 0.06 14.00
2018-12-31 0.06 0.06 0.05 14.00
LSE:LLD6 Past Financials Data
Date (Data in GBP Millions) EPS *
2018-09-30 0.06
2018-06-30 0.06
2018-03-31 0.05
2017-12-31 0.05
2017-09-30 0.04
2017-06-30 0.02
2017-03-31 0.03
2016-12-31 0.02
2016-09-30 0.01
2016-06-30 0.02
2016-03-31 0.00
2015-12-31 0.01

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Lloyds Banking Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Lloyds Banking Group's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Lloyds Banking Group has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

LLD6 Past Performance

  How has Lloyds Banking Group performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Lloyds Banking Group's growth in the last year to its industry (Banks).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Lloyds Banking Group has delivered over 20% year on year earnings growth in the past 5 years.
  • Lloyds Banking Group's 1-year earnings growth is less than its 5-year average (28.2% vs 57.7%)
  • Lloyds Banking Group's earnings growth has not exceeded the GB Banks industry average in the past year (28.2% vs 47.6%).
Earnings and Revenue History
Lloyds Banking Group's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Lloyds Banking Group Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:LLD6 Past Revenue, Cash Flow and Net Income Data
Date (Data in GBP Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-09-30 17,800.00 4,049.00 584.00
2018-06-30 17,748.00 4,122.00 624.00
2018-03-31 17,782.00 3,751.00 642.00
2017-12-31 17,741.00 3,494.00 622.00
2017-09-30 17,647.00 3,158.00 1,276.00
2017-06-30 16,855.00 1,750.00 1,002.00
2017-03-31 17,641.00 2,126.00 739.00
2016-12-31 16,598.00 1,742.00 507.00
2016-09-30 16,460.00 993.00 532.00
2016-06-30 16,717.00 1,460.00 532.00
2016-03-31 15,456.00 139.00 532.00
2015-12-31 16,615.00 546.00 532.00
2015-09-30 16,304.00 1,289.00 676.00
2015-06-30 15,363.00 1,310.00 676.00
2015-03-31 15,254.00 952.00 676.00
2014-12-31 15,134.00 1,187.00 676.00
2014-09-30 15,343.00 50.00 762.00
2014-06-30 15,678.00 -1,804.00 615.00
2014-03-31 15,202.00 -1,215.00 762.00
2013-12-31 15,963.00 -838.00 747.00
2013-09-30 17,487.00 -128.00 668.00
2013-06-30 18,168.00 786.00 649.00
2013-03-31 17,320.00 59.00 668.00
2012-12-31 15,970.00 -1,471.00 668.00
2012-09-30 13,724.00 1,286.00 796.00
2012-06-30 12,571.00 1,157.00 752.00
2012-03-31 13,129.00 1,983.00 796.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Lloyds Banking Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Lloyds Banking Group used its assets more efficiently than the GB Banks industry average last year based on Return on Assets.
  • Unable to establish if Lloyds Banking Group improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.
X
Past performance checks
We assess Lloyds Banking Group's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Banks industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Lloyds Banking Group has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

LLD6 Health

 How is Lloyds Banking Group's financial position? (This company is analysed differently as a bank or financial institution)

This company is a bank or financial institution.

Fundamentally a bank's business is based upon borrowing and lending money, for this reason they typically have high levels of debt and we analyse them differently.
Net Worth
Balance sheet
This treemap shows a more detailed breakdown of Lloyds Banking Group's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Lloyds Banking Group Company Filings, last reported 3 months ago.

LSE:LLD6 Past Debt and Equity Data
Date (Data in GBP Millions) Total Equity Total Debt Cash & Short Term Investments
2018-09-30 47,700.00 0.00
2018-06-30 48,543.00 167,098.00 147,178.00
2018-03-31 49,143.00 150,124.00 146,273.00
2017-12-31 49,143.00 150,124.00 146,273.00
2017-09-30 49,202.00 116,523.00 252,699.00
2017-06-30 48,346.00 146,045.00 135,731.00
2017-03-31 50,112.00 125,306.00 255,118.00
2016-12-31 48,465.00 150,235.00 152,469.00
2016-09-30 48,847.00 149,242.00 274,060.00
2016-06-30 48,938.00 172,714.00 167,027.00
2016-03-31 49,037.00 143,246.00 237,832.00
2015-12-31 46,980.00 146,609.00 144,402.00
2015-09-30 49,002.00 137,327.00 237,202.00
2015-06-30 48,041.00 143,787.00 139,086.00
2015-03-31 49,750.00 140,947.00 246,982.00
2014-12-31 49,903.00 143,281.00 155,215.00
2014-09-30 47,702.00 135,306.00 233,360.00
2014-06-30 45,878.00 135,363.00 124,796.00
2014-03-31 40,964.00 142,967.00 228,108.00
2013-12-31 39,336.00 157,230.00 135,489.00
2013-09-30 41,225.00 174,103.00 237,510.00
2013-06-30 43,687.00 187,620.00 135,577.00
2013-03-31 43,481.00 195,927.00 261,622.00
2012-12-31 42,581.00 233,522.00 187,159.00
2012-09-30 45,933.00 223,224.00 289,999.00
2012-06-30 46,629.00 269,039.00 168,983.00
2012-03-31 46,789.00 255,576.00 284,856.00
BANK ANALYSIS

This company is a bank or financial institution, which is analysed accordingly below.

Below we check the amount of loans the bank has, how many of those are bad, and its ability to cover any bad loans.
  • Lloyds Banking Group has an acceptable proportion of non-loan assets held.
  • Lloyds Banking Group's liabilities are made up of primarily low risk sources of funding.
  • Loans at Lloyds Banking Group are broadly funded by customer deposits.
  • Lloyds Banking Group's level of assets compared to its equity is moderate (i.e. an appropriate level of borrowing to fund lending).
  • Lloyds Banking Group has a low allowance for bad loans.
  • Lloyds Banking Group has an acceptable level of bad loans (less than 2%).
X
Financial health checks
We assess Lloyds Banking Group's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Lloyds Banking Group has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

LLD6 Dividends

 What is Lloyds Banking Group's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
5.26%
Current annual income from Lloyds Banking Group dividends. Estimated to be 6.21% next year.
If you bought $2,000 of Lloyds Banking Group shares you are expected to receive $105 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Lloyds Banking Group's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (1.98%).
  • Lloyds Banking Group's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.28%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
LSE:LLD6 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 15 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland Banks Industry Average Dividend Yield Market Cap Weighted Average of 14 Stocks 4.6%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 710 Stocks 4.3%
United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield 10th Percentile 1.1%
United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield 25th Percentile 2%
United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield 75th Percentile 5.3%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

LSE:LLD6 Future Dividends Estimate Data
Date (Data in £) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 0.03 3.00
2020-12-31 0.04 18.00
2019-12-31 0.04 19.00
2018-12-31 0.03 18.00
LSE:LLD6 Past Annualized Dividends Data
Date (Data in £) Dividend per share (annual) Avg. Yield (%)
2018-03-09 0.031 5.054
2018-02-21 0.031 4.482
2017-07-27 0.032 4.789
2017-02-22 0.031 4.493
2016-02-25 0.030 4.891
2015-10-28 0.015 2.194
2015-07-31 0.015 1.953
2015-05-14 0.008 0.867
2010-05-13 0.000 0.000
2010-03-26 0.000 0.000
2010-02-26 0.000 0.000
2009-08-05 0.000 0.000
2009-01-21 0.000 0.000

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Lloyds Banking Group's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.8x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.2x coverage).
X
Income/ dividend checks
We assess Lloyds Banking Group's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Lloyds Banking Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Lloyds Banking Group has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

LLD6 Management

 What is the CEO of Lloyds Banking Group's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
António de Sousa Horta-Osório
COMPENSATION £6,422,000
AGE 54
TENURE AS CEO 7.8 years
CEO Bio

Mr. Antonio Mota de Sousa Horta-Osório has been Group Chief Executive Officer at Lloyds Bank Plc, Lloyds Banking Group Plc, HBOS plc and Bank Of Scotland plc since March 1, 2011. Mr. de Sousa Horta-Osório served as the Chief Executive Officer of Alliance & Leicester plc from October 12, 2008 to December 1, 2010. Mr. Horta-Osório managed and led Alliance & Leicester on a day-to-day basis and made decisions on matters affecting the operation, performance and strategy of its business. He served as the Chief Executive Officer of Santander UK Plc at Banco Santander S.A and Banesto Banco Espanol de Credito SA from August 21, 2006 to December 1, 2010. He served as the Chief Executive Officer of Banco Santander Totta since 2000 and Abbey since 2006. He served as an Executive Vice President at Banco Santander S.A. Mr. de Sousa Horta-Osório joined Banco Santander S.A. in 1997 and served as its Executive Vice President of Portugal since June 2001. He served as the Chairman of Banco Santander Totta, S.A. until 2011 and its Chief Executive Officer from 2000 to 2006. He served as an Executive Vice President of Santander Totta at Banco Santander, S.A. He served as the Chief Executive Officer of Banco Santander Brazil 1997 to 1999. He started his career at Citibank Portugal, where he served as the Head of Capital Markets. He then worked for Goldman Sachs focusing on Corporate Finance Activities in Portugal. In 1993, he joined Grupo Santander as the Chief Executive Officer of Banco Santander de Negcios Portugal. Mr. de Sousa Horta-Osório serves as the Chairman at Banco Santander Portugal. Mr. de Sousa Horta-Osório has been an Executive Director of Lloyds Bank plc and Lloyds Banking Group Plc since January 17, 2011. He has been an Independent Non-Executive Director of Exor N.V. since May 29, 2015. He has been an Executive Director of HBOS Plc since March 1, 2011. He has been an Executive Director of Bank of Scotland Plc since January 17, 2011. He serves as a Non-Executive Director of Fundação Champalimaud in and a Governor of London Business School. From June 1, 2009 to February 28, 2011, he served as a Non-Executive Director of Bank of England since June 1, 2009 to February 28, 2011. He served as an Executive Director of Alliance & Leicester Plc from October 12, 2008 to December 1, 2010. He served as a Non-Executive Director at Abbey National plc from December 1, 2004 to August 2006. He served as an Executive Director of Santander UK plc from December 1, 2004 to December 1, 2010. He served as a Director of Santander Totta. In 2015, he was Chairman of the Wallace Collection by the Prime Minister. He serves as the Chairman of the Executive Committee of Banco Totta & Açores and Credito Predial Português. He was an Assistant Professor at the Universidade Catolica Portuguesa. In 2014, the Government of Portugal awarded him with the Order of Merit Grã-Cruz, which is the highest Order of Civil Merit. He was a Non-Executive Director of the Court of the Bank of England. He serves as Non-Executive Director of Sociedade Francisco Manuel dos Santos. He is a member of the Board of Stichting INPAR. In June 2011, he was awarded an Honorary Doctorate from the University of Edinburgh and the University of Warwick. He was awarded an Honorary Doctorate from the University of Bath in July 2012. Mr. de Sousa Horta-Osório holds Degree in Management and Business Administration from the Universidade Católica Portuguesa, MBA from INSEAD where he was awarded the Henry Ford II Prize. Mr. de Sousa Horta-Osório holds Advanced Management Program from Harvard Business School.

CEO Compensation
  • António's compensation has been consistent with company performance over the past year.
  • António's remuneration is higher than average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure

Average tenure and age of the Lloyds Banking Group management team in years:

4
Average Tenure
55
Average Age
  • The tenure for the Lloyds Banking Group management team is about average.
Management Team

António de Sousa Horta-Osório

TITLE
Group Chief Executive & Executive Director
COMPENSATION
£6M
AGE
54
TENURE
7.8 yrs

Juan Colombás

TITLE
COO & Executive Director
COMPENSATION
£3M
AGE
55
TENURE
1.3 yrs

Markus Stadalmann

TITLE
Chief Investment Officer
TENURE
4.3 yrs

Douglas Radcliffe

TITLE
Group Investor Relations Director

Kate Cheetham

TITLE
Group General Counsel
TENURE
3.7 yrs

Letitia Smith

TITLE
Group Director of Conduct

Matt Smith

TITLE
Head of Media Relations

Eduardo Stock da Cunha

TITLE
Head of Corporate Development & Head of Commercial Banking Market
AGE
55
TENURE
2.4 yrs

Janet Pope

TITLE
Chief of Staff & Group Corporate Affairs Director
AGE
57

Steve Williams

TITLE
Chief Operating Officer of Middle East
TENURE
11.7 yrs
Board of Directors Tenure

Average tenure and age of the Lloyds Banking Group board of directors in years:

4.6
Average Tenure
59
Average Age
  • The tenure for the Lloyds Banking Group board of directors is about average.
Board of Directors

Norman Blackwell

TITLE
Chairman of the Board
COMPENSATION
£728K
AGE
65
TENURE
4.8 yrs

António de Sousa Horta-Osório

TITLE
Group Chief Executive & Executive Director
COMPENSATION
£6M
AGE
54
TENURE
8 yrs

Anita Frew

TITLE
Deputy Chairman & Senior Independent Director
COMPENSATION
£364K
AGE
61
TENURE
4.7 yrs

Juan Colombás

TITLE
COO & Executive Director
COMPENSATION
£3M
AGE
55
TENURE
5.2 yrs

Simon Henry

TITLE
Independent Director
COMPENSATION
£166K
AGE
57
TENURE
4.6 yrs

Alan Dickinson

TITLE
Independent Director
COMPENSATION
£248K
AGE
68
TENURE
4.3 yrs

Stuart Sinclair

TITLE
Independent Director
COMPENSATION
£152K
AGE
64
TENURE
3 yrs

Sara Weller

TITLE
Independent Director
COMPENSATION
£190K
AGE
57
TENURE
6.9 yrs

Nick Prettejohn

TITLE
Independent Non-Executive Director
COMPENSATION
£441K
AGE
57
TENURE
4.6 yrs

James Roger Lupton

TITLE
Independent & Non-Executive Director
AGE
62
TENURE
1.6 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
X
Management checks
We assess Lloyds Banking Group's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Lloyds Banking Group has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

LLD6 News

External News
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LLD6 Company Info

Map
Description

Lloyds Banking Group plc provides banking and financial services under the Lloyds Bank, Halifax, Bank of Scotland, and Scottish Widows brands in the United Kingdom and internationally. The company operates through three segments: Retail, Commercial Banking, and Insurance and Wealth. The Retail segment offers a range of financial service products, including current accounts, savings accounts, mortgages, motor finance, and unsecured consumer lending products to personal and small business customers. The Commercial Banking segment provides lending, transactional banking, working capital management, risk management, term lending, and debt capital markets services for small and medium sized enterprises, corporates, mid-markets, and financial institutions. The Insurance and Wealth segment offers insurance products, such as life, home, motor, and protection insurance; investments comprising pensions and investment products; and wealth management products and services. It also provides credit cards, and personal and business loans; and online and telephone banking services. The company has a strategic partnership with Schroders plc to create a wealth management proposition. Lloyds Banking Group plc was founded in 1695 and is headquartered in London, the United Kingdom.

Details
Name: Lloyds Banking Group plc
LLD6
Exchange: LSE
Founded: 1695
£53,236,895,461
71,137,342,621
Website: http://www.lloydsbankinggroup.com
Address: Lloyds Banking Group plc
25 Gresham Street,
London,
Greater London, EC2V 7HN,
United Kingdom
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
LSE LLOY Ordinary Shares London Stock Exchange GB GBP 01. Sep 1987
OTCPK LLDT.F Ordinary Shares Pink Sheets LLC US USD 01. Sep 1987
DB LLD Ordinary Shares Deutsche Boerse AG DE EUR 01. Sep 1987
XTRA LLD Ordinary Shares XETRA Trading Platform DE EUR 01. Sep 1987
SWX LLOY Ordinary Shares SIX Swiss Exchange CH CHF 01. Sep 1987
BATS-CHIXE LLOYL Ordinary Shares BATS 'Chi-X Europe' GB GBP 01. Sep 1987
NYSE LYG SPONSORED ADR New York Stock Exchange US USD 27. Nov 2001
DB A1ZENQ 7%-FRN PERP GBP200000 'AT1' 'REGS' Deutsche Boerse AG DE GBP 20. Mar 2014
DB A1ZEN2 7.875%-FRN PERP GBP200000 'PNC15' 'REGS' Deutsche Boerse AG DE GBP 20. Mar 2014
DB A1ZEN1 7.625%-FRN PERP GBP200000 'PNC9' 'REGS' Deutsche Boerse AG DE GBP 20. Mar 2014
DB A1ZEN0 6.375%-FRN PERP EUR200000 'PNC6' 'REGS' Deutsche Boerse AG DE EUR 20. Mar 2014
DB LLD2 SPONSORED ADR Deutsche Boerse AG DE EUR 27. Nov 2001
LSE ELB9 7.875%-FRN PERP GBP200000 'PNC15' 'REGS' London Stock Exchange GB GBP 20. Mar 2014
LSE LLD2 6.413% London Stock Exchange GB USD 26. Jan 2009
LSE LLD6 ADR REPR 1/100 6.657% NON CUM PRF 144A London Stock Exchange GB USD 23. Jan 2009
BMV LYG N SPONSORED ADR Bolsa Mexicana de Valores MX MXN 27. Nov 2001
Number of employees
Current staff
Staff numbers
67,905
Lloyds Banking Group employees.
Industry
Diversified Banks
Banks
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/01/20 21:08
End of day share price update: 2018/10/23 00:00
Last estimates confirmation: 2019/01/18
Last earnings filing: 2018/10/25
Last earnings reported: 2018/09/30
Last annual earnings reported: 2017/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.