LSE:LLOY

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Lloyds Banking Group

Executive Summary

Lloyds Banking Group plc provides range of banking and financial services in the United Kingdom and internationally. More Details


Snowflake Analysis

Excellent balance sheet and fair value.


Similar Companies

Share Price & News

How has Lloyds Banking Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: LLOY is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: LLOY's weekly volatility (8%) has been stable over the past year.


Market Performance


7 Day Return

-2.0%

LLOY

-1.6%

GB Banks

-0.1%

GB Market


1 Year Return

-38.5%

LLOY

-27.7%

GB Banks

-8.1%

GB Market

Return vs Industry: LLOY underperformed the UK Banks industry which returned -27.7% over the past year.

Return vs Market: LLOY underperformed the UK Market which returned -8.1% over the past year.


Shareholder returns

LLOYIndustryMarket
7 Day-2.0%-1.6%-0.1%
30 Day3.2%4.8%3.7%
90 Day32.5%36.8%16.2%
1 Year-38.5%-38.5%-27.4%-27.7%-4.3%-8.1%
3 Year-44.6%-50.1%-38.5%-44.4%3.8%-8.9%
5 Year-32.1%-44.4%-4.5%-20.5%46.9%13.6%

Long-Term Price Volatility Vs. Market

How volatile is Lloyds Banking Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Lloyds Banking Group undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: LLOY (£0.36) is trading below our estimate of fair value (£0.79)

Significantly Below Fair Value: LLOY is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: LLOY is poor value based on its PE Ratio (33.3x) compared to the GB Banks industry average (14.2x).

PE vs Market: LLOY is poor value based on its PE Ratio (33.3x) compared to the UK market (22.9x).


Price to Earnings Growth Ratio

PEG Ratio: LLOY is good value based on its PEG Ratio (0.7x)


Price to Book Ratio

PB vs Industry: LLOY's PB Ratio (0.6x) is in line with the GB Banks industry average.


Next Steps

Future Growth

How is Lloyds Banking Group forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

50.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: LLOY's forecast earnings growth (50.8% per year) is above the savings rate (1%).

Earnings vs Market: LLOY's earnings (50.8% per year) are forecast to grow faster than the UK market (25.4% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: LLOY's revenue (1.5% per year) is forecast to grow slower than the UK market (6.5% per year).

High Growth Revenue: LLOY's revenue (1.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: LLOY's Return on Equity is forecast to be low in 3 years time (7.5%).


Next Steps

Past Performance

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

11.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LLOY has a large one-off loss of £642.0M impacting its September 30 2020 financial results.

Growing Profit Margin: LLOY's current net profit margins (9.6%) are lower than last year (13.1%).


Past Earnings Growth Analysis

Earnings Trend: LLOY's earnings have grown by 11.6% per year over the past 5 years.

Accelerating Growth: LLOY's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: LLOY had negative earnings growth (-47%) over the past year, making it difficult to compare to the Banks industry average (-28%).


Return on Equity

High ROE: LLOY's Return on Equity (3.5%) is considered low.


Next Steps

Financial Health

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


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: LLOY's Assets to Equity ratio (17.6x) is moderate.

Allowance for Bad Loans: LLOY has a low allowance for bad loans (92%).

Low Risk Liabilities: 55% of LLOY's liabilities are made up of primarily low risk sources of funding.

Loan Level: LLOY has an appropriate level of Loans to Assets ratio (51%).

Low Risk Deposits: LLOY's Loans to Deposits ratio (98%) is appropriate.

Level of Bad Loans: LLOY has an appropriate level of bad loans (1.4%).


Next Steps

Dividend

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

5.74%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate LLOY's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate LLOY's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if LLOY's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if LLOY's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: LLOY is not paying a notable dividend for the UK market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of LLOY's dividend in 3 years as they are not forecast to pay a notable one for the UK market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.0yrs

Average management tenure


CEO

Antonio de Sousa Horta-Osorio (56 yo)

9.83yrs

Tenure

UK£4,727,000

Compensation

Mr. Antonio Mota de Sousa Horta-Osorio 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-Osorio ...


CEO Compensation Analysis

Compensation vs Market: Antonio's total compensation ($USD6.44M) is above average for companies of similar size in the UK market ($USD3.78M).

Compensation vs Earnings: Antonio's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Antonio de Sousa Horta-Osorio
Group CEO & Executive Director9.83yrsUK£4.73m0.031%
£ 7.9m
William Leon Chalmers
CFO & Executive Director1.42yrsUK£5.61m0.0039%
£ 1.0m
Markus Stadalmann
Chief Investment Officer6.25yrsno datano data
John Chambers
Group Chief Information Officer2.58yrsno datano data
Douglas Radcliffe
Group Investor Relations Directorno datano datano data
Catherine Cheetham
Company Secretary & Group General Counsel3.5yrsno datano data
Letitia Smith
Group Director of Conductno datano datano data
Matt Smith
Head of Media Relationsno datano datano data
Eduardo Stock da Cunha
Head of Corporate Development & Head of Commercial Banking Market4.42yrsno datano data
Janet Pope
Chief of Staff and Group Director of Responsible Business & Inclusion6yrsno data0.0043%
£ 1.1m
Steve Williams
Chief Operating Officer of Middle East13.67yrsno datano data
Michelle Rajkumar-Clifford
Head of Resourcing for Wholesale9.83yrsno datano data

6.0yrs

Average Tenure

56.5yo

Average Age

Experienced Management: LLOY's management team is seasoned and experienced (6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Antonio de Sousa Horta-Osorio
Group CEO & Executive Director9.83yrsUK£4.73m0.031%
£ 7.9m
William Leon Chalmers
CFO & Executive Director1.42yrsUK£5.61m0.0039%
£ 1.0m
James Roger Lupton
Independent Non-Executive Director3.58yrsUK£315.00k0.0032%
£ 814.7k
Sara Weller
Independent Non-Executive Director8.92yrsUK£207.00k0.00053%
£ 135.8k
Stuart Sinclair
Independent Non-Executive Director5yrsUK£210.00k0.00051%
£ 130.7k
Alan Dickinson
Independent Deputy Chairman & Senior Independent Director0.67yrUK£241.00k0.00028%
£ 71.7k
Nicholas E. Prettejohn
Independent Non-Executive Director6.58yrsUK£476.00k0.00010%
£ 25.6k
Amanda Mackenzie
Independent Non-Executive Director2.25yrsUK£156.00k0.000090%
£ 23.1k
Catherine Woods
Independent Non-Executive Director0.83yrno datano data
Robin Budenberg
Independent Chairmanno datano datano data
Sarah Catherine Legg
Independent Non-Executive Director1.08yrsUK£6.00k0.00028%
£ 71.7k
Anish Mohammed
Lead Technical Advisor2.92yrsno datano data

2.9yrs

Average Tenure

59yo

Average Age

Experienced Board: LLOY's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: LLOY insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.4%.


Top Shareholders

Company Information

Lloyds Banking Group plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Lloyds Banking Group plc
  • Ticker: LLOY
  • Exchange: LSE
  • Founded: 1695
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: UK£25.621b
  • Shares outstanding: 70.82b
  • Website: https://www.lloydsbankinggroup.com

Number of Employees


Location

  • Lloyds Banking Group plc
  • 25 Gresham Street
  • London
  • Greater London
  • EC2V 7HN
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LLDT.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDSep 1987
LLOYLSE (London Stock Exchange)YesOrdinary SharesGBGBPSep 1987
LLDXTRA (XETRA Trading Platform)YesOrdinary SharesDEEURSep 1987
LLDDB (Deutsche Boerse AG)YesOrdinary SharesDEEURSep 1987
LLOYLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPSep 1987
LLOYSWX (SIX Swiss Exchange)YesOrdinary SharesCHCHFSep 1987
LYGNYSE (New York Stock Exchange)SPONSORED ADRUSUSDNov 2001
LYG NBMV (Bolsa Mexicana de Valores)SPONSORED ADRMXMXNNov 2001
LLD2DB (Deutsche Boerse AG)SPONSORED ADRDEEURNov 2001
LYGBASE (Buenos Aires Stock Exchange)CEDAR EACH REP 0.5 ADRARARSFeb 2004
LLD6LSE (London Stock Exchange)LW TIER II PERPGBUSDJan 2009
LLD2LSE (London Stock Exchange)6.413%-FRN LT2 PERP USD '144A'GBUSDJan 2009
LLD1LSE (London Stock Exchange)PERP GLBL A REGSGBUSDJun 2013
A1ZEN2DB (Deutsche Boerse AG)ALT TIER I PERPDEGBPMar 2014
A1ZEN1DB (Deutsche Boerse AG)7.625%-FRN PERP GBP200000 'PNC9' 'REGS'DEGBPMar 2014
ELB9LSE (London Stock Exchange)ALT TIER I PERPGBGBPMar 2014

Biography

Lloyds Banking Group plc provides range of banking and financial services in the United Kingdom and internationally. It operates through three segments: Retail; Commercial Banking; and Insurance and Wealth...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/19 19:55
End of Day Share Price2021/01/19 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


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.