Legal & General Group
Market Cap
UK£16.3b
Last Updated
2019/10/21 20:41 UTC
Data Sources
Company Financials +
Executive Summary
Legal & General Group Plc provides various insurance products and services worldwide.
Snowflake
Fundamentals
6 star dividend payer and undervalued.
Similar Companies
Share Price & News
How has Legal & General Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
5.7%
LGEN
0.9%
GB Insurance
-0.4%
GB Market
1 Year Return
14.4%
LGEN
2.7%
GB Insurance
2.9%
GB Market
Return vs Industry: LGEN exceeded the UK Insurance industry which returned 2.7% over the past year.
Return vs Market: LGEN exceeded the UK Market which returned 2.9% over the past year.
Shareholder returns
| LGEN | Industry | Market | |
|---|---|---|---|
| 7 Day | 5.7% | 0.9% | -0.4% |
| 30 Day | 8.5% | 2.4% | -1.4% |
| 90 Day | 1.9% | -5.7% | -2.1% |
| 1 Year | 21.9%14.4% | 7.8%2.7% | 8.0%2.9% |
| 3 Year | 56.2%30.7% | 23.5%6.2% | 18.0%3.6% |
| 5 Year | 63.5%23.2% | 39.3%9.9% | 35.8%6.4% |
Price Volatility Vs. Market
How volatile is Legal & General Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Legal & General Group Plc (LON:LGEN) Delivered A Better ROE Than Its Industry3 weeks ago | Simply Wall St
What Kind Of Shareholders Own Legal & General Group Plc (LON:LGEN)?1 month ago | Simply Wall St
Here's Why I Think Legal & General Group (LON:LGEN) Is An Interesting StockValuation
Is Legal & General 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: LGEN (£2.74) is trading below our estimate of fair value (£5.6)
Significantly Below Fair Value: LGEN is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: LGEN is good value based on its PE Ratio (8.7x) compared to the Insurance industry average (14.8x).
PE vs Market: LGEN is good value based on its PE Ratio (8.7x) compared to the UK market (16.8x).
Price to Earnings Growth Ratio
PEG Ratio: LGEN is poor value based on its PEG Ratio (3.2x)
Price to Book Ratio
PB vs Industry: LGEN is good value based on its PB Ratio (1.9x) compared to the GB Insurance industry average (2x).
Next Steps
Future Growth
How is Legal & General Group forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
2.7%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: LGEN's forecast earnings growth (2.7% per year) is above the savings rate (1.2%).
Earnings vs Market: LGEN's earnings (2.7% per year) are forecast to grow slower than the UK market (12.6% per year).
High Growth Earnings: LGEN's earnings are forecast to grow, but not significantly.
Revenue vs Market: LGEN's revenue (12.8% per year) is forecast to grow faster than the UK market (3.9% per year).
High Growth Revenue: LGEN's revenue (12.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: LGEN's Return on Equity is forecast to be low in 3 years time (18.3%).
Next Steps
Past Performance
How has Legal & General Group performed over the past 5 years?
15.4%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: LGEN's earnings have grown by 15.4% per year over the past 5 years.
Accelerating Growth: LGEN's earnings growth over the past year (14.2%) is below its 5-year average (15.4% per year).
Earnings vs Industry: LGEN earnings growth over the past year (14.2%) underperformed the Insurance industry 15.2%.
Return on Equity
High ROE: LGEN's Return on Equity (20.9%) is considered high.
Return on Assets
ROA vs Industry: LGEN's Return on Assets is below or equal to the Insurance industry average last year.
Return on Capital Employed
ROCE Improving: LGEN has significantly improved its Return on Capital Employed over the past 3 years.
Next Steps
Financial Health
How is Legal & General 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
Inventory Level: LGEN has a low level of unsold assets or inventory.
Debt Coverage by Assets: LGEN's debt is covered by short term assets (assets are 10.362970x debt).
Financial Institutions Analysis
Asset Level: LGEN's level of assets compared to its equity is very high.
Allowance for Bad Loans: Insufficient data to determine if LGEN has a sufficient allowance for bad loans.
Low Risk Liabilities: LGEN reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if LGEN has an acceptable proportion of non-loan assets held.
Low Risk Deposits: LGEN has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if LGEN has an appropriate level of bad loans.
Next Steps
Dividend
What is Legal & General Group's current dividend yield, its reliability and sustainability?
5.98%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: LGEN's dividend (5.98%) is higher than the bottom 25% of dividend payers in the UK market (2.01%).
High Dividend: LGEN's dividend (5.98%) is in the top 25% of dividend payers in the UK market (5.36%)
Stable Dividend: LGEN's dividends per share have been stable in the past 10 years.
Growing Dividend: LGEN's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (53.1%), LGEN's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: LGEN's dividends in 3 years are forecast to be covered by earnings (55.5% payout ratio).
Next Steps
Management
What is the CEO of Legal & General Group's salary, the management and board of directors tenure and is there insider trading?
5.0yrs
Average management tenure
CEO
Nigel Wilson (63yo)
7.3yrs
Tenure
UK£3,289,000
Compensation
Dr. Nigel David Wilson serves as Group Chief Executive of Legal & General Group Plc since 2012 and serves as its Director since September 2009. Dr. Wilson joined Legal & General Group Plc as Chief Financia ...
CEO Compensation Analysis
Compensation vs. Market: Nigel's total compensation ($USD4.27M) is about average for companies of similar size in the UK market ($USD4.92M).
Compensation vs Earnings: Nigel's compensation has been consistent with company performance over the past year.
Management Age and Tenure
5.0yrs
Average Tenure
50yo
Average Age
Experienced Management: LGEN's management team is considered experienced (5 years average tenure).
Board Age and Tenure
2.9yrs
Average Tenure
54yo
Average Age
Experienced Board: LGEN's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.
Insider Trading
Insider Buying: LGEN insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 658 |
| Max Price | UK£2.49 |
| Entity | Individual |
| Shares | 471 |
| Max Price | UK£2.22 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 1,934 |
| Max Price | UK£2.22 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 1,242 |
| Max Price | UK£2.22 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 741 |
| Max Price | UK£2.22 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 836 |
| Max Price | UK£2.22 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 711 |
| Max Price | UK£2.61 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 1,643 |
| Max Price | UK£2.61 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 1,054 |
| Max Price | UK£2.61 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 629 |
| Max Price | UK£2.61 |
| Entity | Individual |
| Shares | 399 |
| Max Price | UK£2.61 |
| Entity | Individual |
| Shares | 383 |
| Max Price | UK£2.72 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 680 |
| Max Price | UK£2.72 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 1,574 |
| Max Price | UK£2.72 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 1,011 |
| Max Price | UK£2.72 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 602 |
| Max Price | UK£2.73 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 678 |
| Max Price | UK£2.70 |
| Entity | Individual |
| Shares | 410 |
| Max Price | UK£2.54 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 729 |
| Max Price | UK£2.54 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 649 |
| Max Price | UK£2.53 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 1,081 |
| Max Price | UK£2.54 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 1,685 |
| Max Price | UK£2.54 |
| Entity | Individual |
| Shares | 372 |
| Max Price | UK£2.80 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 587 |
| Max Price | UK£2.80 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 981 |
| Max Price | UK£2.80 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 1,528 |
| Max Price | UK£2.80 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 674 |
| Max Price | UK£2.80 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 592 |
| Max Price | UK£2.77 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 995 |
| Max Price | UK£2.77 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 1,550 |
| Max Price | UK£2.77 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 1,506 |
| Max Price | UK£2.84 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 966 |
| Max Price | UK£2.84 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 1,057 |
| Max Price | UK£2.60 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 630 |
| Max Price | UK£2.61 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 1,646 |
| Max Price | UK£2.60 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 714 |
| Max Price | UK£2.30 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 1,537 |
| Max Price | UK£2.27 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 1,210 |
| Max Price | UK£2.27 |
| Entity | Individual |
| Shares | 687 |
| Max Price | UK£2.50 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 1,399 |
| Max Price | UK£2.50 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 1,101 |
| Max Price | UK£2.50 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 660 |
| Max Price | UK£2.49 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 1,396 |
| Max Price | UK£2.50 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 644 |
| Max Price | UK£2.55 |
| Entity | Individual |
| Shares | 685 |
| Max Price | UK£2.50 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 1,099 |
| Max Price | UK£2.50 |
Ownership Breakdown
Management Team
Nigel Wilson (63yo)
Group CEO & Director
- Tenure: 7.3yrs
- Compensation: UK£3.29m
Simon Gadd
Group Chief Risk Officer
- Tenure: 13.4yrs
Sharon Niebergall
Head of Business Management
- Tenure: 0yrs
Katrina McMillan
Head of Transition Project Management - LGIM
- Tenure: 0yrs
Kerrigan Procter (50yo)
CEO of Legal & General Capital and Director
- Tenure: 2.6yrs
- Compensation: UK£1.58m
Richard King
Head of Group Corporate Communications
- Tenure: 0yrs
Geoffrey Timms
Group General Counsel & Company Secretary
- Tenure: 20.8yrs
Ed Houghton
Head Investor Relations
- Tenure: 0.7yrs
Jeff Davies (48yo)
Group CFO & Director
- Tenure: 2.4yrs
- Compensation: UK£1.24m
Emma Hardaker-Jones
Group Human Resources Director
- Tenure: 2.1yrs
Board Members
Nigel Wilson (63yo)
Group CEO & Director
- Tenure: 7.3yrs
- Compensation: UK£3.29m
Philip John Broadley (58yo)
Independent Non-Executive Director
- Tenure: 3.3yrs
- Compensation: UK£115.57k
Lesley Mary Knox (66yo)
Non-Executive Director
- Tenure: 3.3yrs
- Compensation: UK£116.21k
Toby Strauss (59yo)
Independent Non-Executive Director
- Tenure: 2.8yrs
- Compensation: UK£116.55k
Julia Wilson (52yo)
Senior Independent Non-Executive Director
- Tenure: 3.4yrs
- Compensation: UK£115.00k
John Oliver Kingman (50yo)
Chairman of the Board
- Tenure: 3yrs
- Compensation: UK£466.67k
Michelle Scrimgeour (56yo)
CEO of Legal and General Investment Management & Director
- Tenure: 0.08yrs
Kerrigan Procter (50yo)
CEO of Legal & General Capital and Director
- Tenure: 2.6yrs
- Compensation: UK£1.58m
Henrietta Baldock (48yo)
Independent Non-Executive Director
- Tenure: 1yrs
- Compensation: UK£103.45k
Jeff Davies (48yo)
Group CFO & Director
- Tenure: 2.4yrs
- Compensation: UK£1.24m
Company Information
Legal & General Group Plc's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Legal & General Group Plc
- Ticker: LGEN
- Exchange: LSE
- Founded: 1836
- Industry: Life and Health Insurance
- Sector: Insurance
- Market Cap: UK£16.292b
- Shares outstanding: 5.94b
- Website: https://www.legalandgeneralgroup.com
Number of Employees
Location
- Legal & General Group Plc
- One Coleman Street
- London
- Greater London
- EC2R 5AA
- United Kingdom
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| LGGN.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Jan 1992 |
| LGI | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Jan 1992 |
| LGEN | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | GBP | Jan 1992 |
| LGENL | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | GBP | Jan 1992 |
| LGGN.Y | OTCPK (Pink Sheets LLC) | SPONSORED ADR | US | USD | Oct 1995 |
Biography
Legal & General Group Plc provides various insurance products and services worldwide. It operates in Legal & General Retirement (LGR), Legal & General Investment Management (LGIM), Legal & General Capital ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/21 20:41 |
| End of Day Share Price | 2019/10/21 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
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.