Legal & General Group
Legal & General Group Plc provides various insurance products and services worldwide. The last earnings update was 36 days ago. More info.
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LGEN Share Price and Events
7 Day Returns
1 Year Returns
LGEN Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Legal & General Group (LGEN) | 1.5% | 5.2% | 13.3% | 5.8% | 19.1% | 40.3% |
| GB Insurance | 3.8% | 3.5% | 10.1% | -4.5% | 14.3% | 23.7% |
| GB Market | 1.9% | 3% | 7.9% | 2.5% | 15.6% | 6.8% |
1 Year Return vs Industry and Market
- LGEN outperformed the Insurance industry which returned -4.5% over the past year.
- LGEN outperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned 2.5% over the past year.
Price Volatility
Related Companies
Value
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
Legal & General 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.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Legal & General Group.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | Excess Returns Model | |
| Stable EPS |
Weighted future Return on Equity estimates from 8 analysts.
= Stable Book Value * Return on Equity = £1.81 * 19% |
£0.34 |
| Book Value of Equity per Share | Weighted future Book Value estimates from 6 analysts. | £1.81 |
| Discount Rate (Cost of Equity) | See below | 7.4% |
| 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.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year GB Govt Bond Rate | 1.2% |
| Equity Risk Premium | S&P Global | 6.7% |
| Insurance Unlevered Beta | Simply Wall St/ S&P Global | 0.72 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.725 (1 + (1- 19%) (28.64%)) |
0.928 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
0.93 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (0.928 * 6.65%) |
7.4% |
Discounted Cash Flow Calculation for LSE:LGEN using Excess Returns Model Model
The calculations below outline how an intrinsic value for Legal & General 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.
| Calculation | Result | |
|---|---|---|
| Excess Returns |
= (Stable Return on equity – Cost of equity) (Book Value of
Equity per share)
= (19% – 7.4%) * £1.81) |
£0.21 |
| Terminal Value of Excess Returns |
= Excess Returns / (Cost of Equity -
Expected Growth Rate)
= £0.21 / (7.4% - 1.23%) |
£3.40 |
| Value of Equity |
= Book Value per share + Terminal Value of
Excess Returns
= £1.81 + £3.40 |
£5.21 |
| Calculation | Result | |
|---|---|---|
| Value per share (GBP) | From above. | £5.21 |
| Current discount | Discount to share price of
£2.91
= -1 x (£2.91 - £5.21) / £5.21 |
44.2% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- Legal & General Group's share price is below the future cash flow value, and at a moderate discount (> 20%).
- Legal & General 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 Legal & General Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Legal & General Group's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2018-12-31) in GBP | £0.30 |
| LSE:LGEN Share Price ** | LSE (2019-04-18) in GBP | £2.91 |
| United Kingdom of Great Britain and Northern Ireland Insurance Industry PE Ratio | Median Figure of 19 Publicly-Listed Insurance Companies | 16.26x |
| United Kingdom of Great Britain and Northern Ireland Market PE Ratio | Median Figure of 796 Publicly-Listed Companies | 16.29x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Legal & General Group.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = LSE:LGEN Share Price ÷ EPS (both in GBP) = 2.91 ÷ 0.30 |
9.8x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Legal & General Group is good value based on earnings compared to the GB Insurance industry average.
- Legal & General 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
Legal & General Group's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 9.8x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts |
3.2%per year |
| United Kingdom of Great Britain and Northern Ireland Insurance Industry PEG Ratio | Median Figure of 16 Publicly-Listed Insurance Companies | 1.54x |
| United Kingdom of Great Britain and Northern Ireland Market PEG Ratio | Median Figure of 563 Publicly-Listed Companies | 1.47x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 9.8x ÷ 3.2% |
3.1x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Legal & General Group is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on
Legal & General Group's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-12-31) in GBP | £1.45 |
| LSE:LGEN Share Price * | LSE (2019-04-18) in GBP | £2.91 |
| United Kingdom of Great Britain and Northern Ireland Insurance Industry PB Ratio | Median Figure of 24 Publicly-Listed Insurance Companies | 2.12x |
| United Kingdom of Great Britain and Northern Ireland Market PB Ratio | Median Figure of 1,365 Publicly-Listed Companies | 1.51x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = LSE:LGEN Share Price ÷ Book Value per Share (both in GBP) = 2.91 ÷ 1.45 |
2.01x |
* Primary Listing of Legal & General Group.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Legal & General Group is good value based on assets compared to the GB Insurance industry average.
Value checks
We assess Legal & General Group's value by looking at:- 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. )
- Is the PE ratio less than the market average, and/ or less than the Insurance industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Insurance industry average (and greater than 0)? (1 check) Legal & General Group has a total score of 5/6, 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.
Future Performance
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!
Earnings growth vs Low Risk Savings
- Legal & General Group's earnings growth is expected to exceed the low risk savings rate of 1.2%.
Growth vs Market Checks
- Legal & General Group's earnings growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
- Legal & General Group's revenue growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| LSE:LGEN Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts | 3.2% |
| LSE:LGEN Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 8 Analysts | 23% |
| United Kingdom of Great Britain and Northern Ireland Insurance Industry Earnings Growth Rate | Market Cap Weighted Average | 11.8% |
| United Kingdom of Great Britain and Northern Ireland Insurance Industry Revenue Growth Rate | Market Cap Weighted Average | 18.3% |
| United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate | Market Cap Weighted Average | 10.9% |
| United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate | Market Cap Weighted Average | 4.8% |
*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
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 8 Analyst Estimates (S&P Global) | See Below |
| Date (Data in GBP Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | 2,544 | |||
| 2022-12-31 | 2,302 | |||
| 2021-12-31 | 28,618 | 1,874 | 1 | |
| 2020-12-31 | 27,609 | 1,486 | 1,900 | 1 |
| 2019-12-31 | 25,726 | 1,395 | 2,054 | 1 |
| Date (Data in GBP Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-12-31 | 11,362 | -361 | 1,763 |
| 2018-09-30 | 9,315 | 2,776 | 1,696 |
| 2018-06-30 | 7,479 | 5,912 | 1,628 |
| 2018-03-31 | 9,061 | 5,162 | 1,720 |
| 2017-12-31 | 10,431 | 4,411 | 1,811 |
| 2017-06-30 | 10,685 | 3,098 | 1,409 |
| 2017-03-31 | 14,288 | 3,594 | 1,288 |
| 2016-12-31 | 17,890 | 4,089 | 1,167 |
| 2016-09-30 | 17,318 | 5,291 | 1,231 |
| 2016-06-30 | 15,228 | 2,237 | 1,204 |
| 2016-03-31 | 10,967 | 707 | 1,140 |
*GAAP earnings excluding extraordinary items.
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 8 Analyst Estimates (S&P Global) | See Below |
All data from Legal & General Group Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in GBP Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | 0.43 | 0.43 | 0.43 | 1.00 |
| 2022-12-31 | 0.39 | 0.39 | 0.39 | 1.00 |
| 2021-12-31 | 0.31 | 0.36 | 0.27 | 12.00 |
| 2020-12-31 | 0.31 | 0.43 | 0.25 | 15.00 |
| 2019-12-31 | 0.34 | 0.39 | 0.28 | 15.00 |
| Date (Data in GBP Millions) | EPS * |
|---|---|
| 2018-12-31 | 0.30 |
| 2018-09-30 | 0.29 |
| 2018-06-30 | 0.27 |
| 2018-03-31 | 0.29 |
| 2017-12-31 | 0.31 |
| 2017-06-30 | 0.24 |
| 2017-03-31 | 0.22 |
| 2016-12-31 | 0.20 |
| 2016-09-30 | 0.21 |
| 2016-06-30 | 0.20 |
| 2016-03-31 | 0.19 |
*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.
- Legal & General Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
Future performance checks
We assess Legal & General Group's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- 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)
- 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)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Legal & General Group has a total score of 3/6, 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.
Past Performance
How has Legal & General 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
Past Earnings growth analysis
- Legal & General Group's year on year earnings growth rate has been positive over the past 5 years.
- Legal & General Group's 1-year earnings growth is negative, it can't be compared to the 5-year average.
- Legal & General Group's 1-year earnings growth is negative, it can't be compared to the GB Insurance industry average.
Earnings and Revenue History
All data from Legal & General Group Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in GBP Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2018-12-31 | 11,362.00 | 1,763.00 | 38.00 | |
| 2018-09-30 | 9,314.50 | 1,695.50 | 34.50 | |
| 2018-06-30 | 7,479.00 | 1,628.00 | 31.00 | |
| 2018-03-31 | 9,061.00 | 1,719.50 | 31.00 | |
| 2017-12-31 | 10,431.00 | 1,811.00 | 31.00 | |
| 2017-06-30 | 10,685.00 | 1,409.00 | 26.00 | |
| 2017-03-31 | 14,287.50 | 1,288.00 | 26.00 | |
| 2016-12-31 | 17,890.00 | 1,167.00 | 26.00 | |
| 2016-09-30 | 17,318.00 | 1,231.00 | 47.50 | |
| 2016-06-30 | 15,228.00 | 1,204.00 | 49.00 | |
| 2016-03-31 | 10,966.50 | 1,139.50 | 49.00 | |
| 2015-12-31 | 6,705.00 | 1,075.00 | 49.00 | |
| 2015-09-30 | 9,771.50 | 1,049.00 | 51.50 | |
| 2015-06-30 | 12,838.00 | 1,023.00 | 54.00 | |
| 2015-03-31 | 15,282.50 | 1,004.00 | 54.00 | |
| 2014-12-31 | 17,727.00 | 985.00 | 54.00 | |
| 2014-09-30 | 15,415.50 | 960.00 | 51.00 | |
| 2014-06-30 | 13,104.00 | 935.00 | 48.00 | |
| 2014-03-31 | 10,839.00 | 914.00 | 48.00 | |
| 2013-12-31 | 8,574.00 | 893.00 | 48.00 | |
| 2013-09-30 | 9,645.00 | 879.00 | 47.50 | |
| 2013-06-30 | 10,716.00 | 865.00 | 47.00 | |
| 2013-03-31 | 11,015.00 | 837.50 | 47.00 | |
| 2012-12-31 | 11,314.00 | 810.00 | 47.00 | |
| 2012-09-30 | 10,537.50 | 790.50 | 46.50 | |
| 2012-06-30 | 9,761.00 | 771.00 | 46.00 |
*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.
- Legal & General Group has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
- Legal & General Group used its assets less efficiently than the GB Insurance industry average last year based on Return on Assets.
- Legal & General Group has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess Legal & General Group's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Insurance industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Legal & General Group has a total score of 3/6, 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.
Health
How is Legal & General Group's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up Legal & General Group's finances.
The net worth of a company is the difference between its assets and liabilities.
- Legal & General Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Legal & General Group's long term commitments exceed its cash and other short term assets.
Balance sheet
Assets
Liabilities and shares
- Low level of unsold assets.
- Debt is covered by short term assets, assets are 9.8x debt.
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.
All data from Legal & General Group Company Filings, last reported 3 months ago.
| Date (Data in GBP Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-12-31 | 8,652.00 | 4,948.00 | 17,321.00 |
| 2018-09-30 | 8,652.00 | 4,948.00 | 17,321.00 |
| 2018-06-30 | 7,778.00 | 4,446.00 | 20,178.00 |
| 2018-03-31 | 7,778.00 | 4,446.00 | 20,178.00 |
| 2017-12-31 | 7,592.00 | 3,997.00 | 18,919.00 |
| 2017-06-30 | 7,565.00 | 32,128.00 | 15,805.00 |
| 2017-03-31 | 7,565.00 | 32,128.00 | 15,805.00 |
| 2016-12-31 | 7,283.00 | 31,091.00 | 30,360.00 |
| 2016-09-30 | 7,283.00 | 31,051.00 | 40,684.00 |
| 2016-06-30 | 6,883.00 | 20,770.00 | 18,956.00 |
| 2016-03-31 | 6,883.00 | 20,770.00 | 18,956.00 |
| 2015-12-31 | 6,693.00 | 20,412.00 | 30,734.00 |
| 2015-09-30 | 6,693.00 | 20,412.00 | 30,734.00 |
| 2015-06-30 | 6,313.00 | 12,635.00 | 19,583.00 |
| 2015-03-31 | 6,313.00 | 12,635.00 | 19,583.00 |
| 2014-12-31 | 6,303.00 | 14,418.00 | 32,744.00 |
| 2014-09-30 | 6,303.00 | 14,418.00 | 32,744.00 |
| 2014-06-30 | 5,982.00 | 3,683.00 | 21,087.00 |
| 2014-03-31 | 5,982.00 | 3,683.00 | 21,087.00 |
| 2013-12-31 | 5,907.00 | 8,184.00 | 21,816.00 |
| 2013-09-30 | 5,907.00 | 8,184.00 | 21,816.00 |
| 2013-06-30 | 5,563.00 | 3,415.00 | 16,759.00 |
| 2013-03-31 | 5,563.00 | 3,415.00 | 16,759.00 |
| 2012-12-31 | 5,480.00 | 7,192.00 | 23,157.00 |
| 2012-09-30 | 5,480.00 | 7,192.00 | 23,157.00 |
| 2012-06-30 | 5,224.00 | 3,262.00 | 16,757.00 |
- Legal & General Group's level of debt (57.2%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has been reduced over the past 5 years (137.7% vs 57.2% today).
- Operating cash flow is negative therefore debt is not well covered.
- Interest payments on debt are well covered by earnings (EBIT is 11.4x coverage).
Financial health checks
We assess Legal & General Group's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Legal & General Group has a total score of 3/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- 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.
Dividends
What is Legal & General 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
If you bought
£2,000 of
Legal & General Group
shares you are expected to receive
£113
in your first year as a dividend.
Dividend Amount
- Legal & General Group's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (2.02%).
- Legal & General Group's dividend is above the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.19%).
Upcoming dividend payment
Purchase Legal & General Group before the 'Buy Limit' to receive their next dividend payment.
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.
| 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 8 Analyst Estimates (S&P Global) | See Below |
| United Kingdom of Great Britain and Northern Ireland Insurance Industry Average Dividend Yield | Market Cap Weighted Average of 21 Stocks | 4.5% |
| United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield | Market Cap Weighted Average of 705 Stocks | 4.2% |
| United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield | 10th Percentile | 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 | 5.2% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in £) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2023-12-31 | 0.23 | 1.00 |
| 2022-12-31 | 0.22 | 1.00 |
| 2021-12-31 | 0.20 | 13.00 |
| 2020-12-31 | 0.19 | 15.00 |
| 2019-12-31 | 0.18 | 14.00 |
| Date (Data in £) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-03-14 | 0.164 | 5.850 |
| 2019-03-06 | 0.164 | 6.010 |
| 2018-03-07 | 0.154 | 5.945 |
| 2017-03-08 | 0.144 | 5.505 |
| 2016-03-15 | 0.134 | 6.002 |
| 2015-04-15 | 0.113 | 4.448 |
| 2015-03-04 | 0.113 | 3.950 |
| 2014-04-16 | 0.093 | 3.918 |
| 2014-03-05 | 0.093 | 4.279 |
| 2013-03-07 | 0.077 | 3.917 |
| 2012-08-07 | 0.067 | 4.721 |
| 2012-03-15 | 0.064 | 5.251 |
| 2011-08-03 | 0.051 | 4.794 |
| 2011-03-17 | 0.048 | 4.099 |
| 2010-03-23 | 0.038 | 4.045 |
| 2009-04-20 | 0.041 | 5.744 |
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
Legal & General Group's earnings are
paid
to the shareholders as a dividend.
- Dividends paid are covered by earnings (1.8x coverage).
- Dividends after 3 years are expected to be covered by earnings (1.6x coverage).
Income/ dividend checks
We assess Legal & General Group's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 1%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Legal & General Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Legal & General Group has a total score of 6/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
Management
CEO
| COMPENSATION | £3,289,000 |
| AGE | 62 |
| TENURE AS CEO | 6.8 years |
CEO Bio
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 Financial officer in 2009. He was Senior Independent Director (“SID”) of The Capita Group plc from 2009 until 2012, and was SID/Chairman of Halfords Group Plc from 2006 until 2011. Previous appointments include: McKinsey & Co, (where clients included BP, Citibank, Cadbury, Santander, Kingfisher, Courtaulds, Whitbread and Globe Investment Trust). Group Commercial Director of Dixons Group Plc; Managing Director of Stanhope Properties Plc; Chief Executive, Corporate, Guinness Peat Aviation (G.P.A.); and Managing Director, Viridian Capital. He was also Deputy Chief Executive and Chief Financial Officer at UBM. He serves as Chairman and Chief Executive Officer of Legal & General Assurance Society Limited. He was appointed to the Prime Minister’s Business Advisory Group in 2015. Qualifications include a PhD from the Massachusetts Institute of Technology where he was a Kennedy Scholar, and a recipient of the Alfred P Sloan research scholarship. He also worked at the National Bureau of Economic Research (NBER). He has won numerous athletics championships including the 800m British Masters. He was also City AM “Business Personality of the Year” in 2014.
CEO Compensation
- Nigel's compensation has been consistent with company performance over the past year.
- Nigel's remuneration is about average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure
Average tenure of the Legal & General Group management team in years:
- The tenure for the Legal & General Group management team is about average.
Management Team
Nigel Wilson
Group CEO & Director
£3M
62
6.8 yrs
Jeff Davies
Group CFO & Director
£1M
2.1 yrs
Mark Zinkula
CEO of Legal & General Investment Management and Director
£2M
Kerrigan Procter
CEO of Legal & General Capital and Director
£2M
49
Ed Houghton
Head Investor Relations
0.2 yrs
Geoffrey Timms
Group General Counsel & Company Secretary
20.3 yrs
Richard King
Head of Group Corporate Communications
Emma Hardaker-Jones
Group Human Resources Director
1.6 yrs
Simon Gadd
Group Chief Risk Officer
12.9 yrs
Sharon Niebergall
Head of Business Management
Board of Directors Tenure
Average tenure and age of the Legal & General Group board of directors in years:
- The average tenure for the Legal & General Group board of directors is less than 3 years, this suggests a new board.
Board of Directors
John Oliver Kingman
Chairman of the Board
£467K
49
2.5 yrs
Nigel Wilson
Group CEO & Director
£3M
62
9.6 yrs
Jeff Davies
Group CFO & Director
£1M
1.9 yrs
Mark Zinkula
CEO of Legal & General Investment Management and Director
£2M
6.6 yrs
Kerrigan Procter
CEO of Legal & General Capital and Director
£2M
49
2.1 yrs
Lesley Mary Knox
Non-Executive Director
£116K
65
2.8 yrs
Philip John Broadley
Independent Non-Executive Director
£116K
57
2.8 yrs
Toby Strauss
Independent Non-Executive Director
£117K
58
2.3 yrs
Julia Wilson
Senior Independent Non-Executive Director
£115K
2.9 yrs
Henrietta Baldock
Independent Non-Executive Director
£103K
47
0.5 yrs
Who owns this company?
Recent Insider Trading
- More shares have been bought than sold by Legal & General Group insiders in the past 3 months, but not in substantial volumes.
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price (£) | Value (£) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 01. Apr 19 | Buy | John Oliver Kingman | Individual | 01. Apr 19 | 01. Apr 19 | 1,550 | £2.77 | £4,287 | ||
| 01. Apr 19 | Buy | Toby Strauss | Individual | 01. Apr 19 | 01. Apr 19 | 995 | £2.77 | £2,752 | ||
| 01. Apr 19 | Buy | John Oliver Kingman | Individual | 01. Apr 19 | 01. Apr 19 | 592 | £2.77 | £1,641 | ||
| 01. Mar 19 | Buy | John Oliver Kingman | Individual | 01. Mar 19 | 01. Mar 19 | 577 | £2.85 | £1,644 | ||
| 01. Mar 19 | Buy | John Oliver Kingman | Individual | 01. Mar 19 | 01. Mar 19 | 1,506 | £2.84 | £4,284 | ||
| 01. Mar 19 | Buy | Toby Strauss | Individual | 01. Mar 19 | 01. Mar 19 | 966 | £2.84 | £2,748 | ||
| 01. Feb 19 | Buy | John Oliver Kingman | Individual | 01. Feb 19 | 01. Feb 19 | 630 | £2.61 | £1,643 | ||
| 01. Feb 19 | Buy | John Oliver Kingman | Individual | 01. Feb 19 | 01. Feb 19 | 1,646 | £2.60 | £4,284 | ||
| 01. Feb 19 | Buy | Toby Strauss | Individual | 01. Feb 19 | 01. Feb 19 | 1,057 | £2.60 | £2,751 | ||
| 03. Jan 19 | Buy | John Oliver Kingman | Individual | 02. Jan 19 | 02. Jan 19 | 1,537 | £2.27 | £3,493 | ||
| 03. Jan 19 | Buy | Toby Strauss | Individual | 02. Jan 19 | 02. Jan 19 | 1,210 | £2.27 | £2,750 | ||
| 03. Jan 19 | Buy | John Oliver Kingman | Individual | 03. Jan 19 | 03. Jan 19 | 714 | £2.30 | £1,644 | ||
| 03. Dec 18 | Buy | Carolyn Bradley | Individual | 03. Dec 18 | 03. Dec 18 | 687 | £2.50 | £1,716 | ||
| 03. Dec 18 | Buy | John Oliver Kingman | Individual | 03. Dec 18 | 03. Dec 18 | 1,399 | £2.50 | £3,495 | ||
| 03. Dec 18 | Buy | Toby Strauss | Individual | 03. Dec 18 | 03. Dec 18 | 1,101 | £2.50 | £2,750 | ||
| 03. Dec 18 | Buy | John Oliver Kingman | Individual | 03. Dec 18 | 03. Dec 18 | 660 | £2.49 | £1,641 | ||
| 01. Nov 18 | Buy | John Oliver Kingman | Individual | 01. Nov 18 | 01. Nov 18 | 644 | £2.55 | £1,644 | ||
| 01. Nov 18 | Buy | Carolyn Bradley | Individual | 01. Nov 18 | 01. Nov 18 | 685 | £2.50 | £1,715 | ||
| 01. Nov 18 | Buy | John Oliver Kingman | Individual | 01. Nov 18 | 01. Nov 18 | 1,396 | £2.50 | £3,496 | ||
| 01. Nov 18 | Buy | Toby Strauss | Individual | 01. Nov 18 | 01. Nov 18 | 1,099 | £2.50 | £2,752 | ||
| 01. Oct 18 | Buy | Carolyn Bradley | Individual | 01. Oct 18 | 01. Oct 18 | 653 | £2.63 | £1,715 | ||
| 01. Oct 18 | Buy | John Oliver Kingman | Individual | 01. Oct 18 | 01. Oct 18 | 1,456 | £2.63 | £3,823 | ||
| 01. Oct 18 | Buy | Toby Strauss | Individual | 01. Oct 18 | 01. Oct 18 | 1,047 | £2.63 | £2,749 | ||
| 01. Oct 18 | Buy | John Oliver Kingman | Individual | 01. Oct 18 | 01. Oct 18 | 625 | £2.63 | £1,643 | ||
| 03. Sep 18 | Buy | Carolyn Bradley | Individual | 03. Sep 18 | 03. Sep 18 | 669 | £2.57 | £1,716 | ||
| 03. Sep 18 | Buy | John Oliver Kingman | Individual | 03. Sep 18 | 03. Sep 18 | 1,490 | £2.57 | £3,822 | ||
| 03. Sep 18 | Buy | Toby Strauss | Individual | 03. Sep 18 | 03. Sep 18 | 1,072 | £2.57 | £2,750 | ||
| 03. Sep 18 | Buy | John Oliver Kingman | Individual | 03. Sep 18 | 03. Sep 18 | 644 | £2.57 | £1,653 | ||
| 01. Aug 18 | Buy | John Oliver Kingman | Individual | 01. Aug 18 | 01. Aug 18 | 626 | £2.62 | £1,643 | ||
| 01. Aug 18 | Buy | Carolyn Bradley | Individual | 01. Aug 18 | 01. Aug 18 | 654 | £2.62 | £1,715 | ||
| 01. Aug 18 | Buy | John Oliver Kingman | Individual | 01. Aug 18 | 01. Aug 18 | 1,458 | £2.62 | £3,824 | ||
| 01. Aug 18 | Buy | Toby Strauss | Individual | 01. Aug 18 | 01. Aug 18 | 958 | £2.62 | £2,513 | ||
| 02. Jul 18 | Buy | Carolyn Bradley | Individual | 02. Jul 18 | 02. Jul 18 | 651 | £2.63 | £1,714 | ||
| 02. Jul 18 | Buy | John Oliver Kingman | Individual | 02. Jul 18 | 02. Jul 18 | 1,452 | £2.63 | £3,823 | ||
| 02. Jul 18 | Buy | Toby Strauss | Individual | 02. Jul 18 | 02. Jul 18 | 954 | £2.63 | £2,512 | ||
| 02. Jul 18 | Buy | John Oliver Kingman | Individual | 02. Jul 18 | 02. Jul 18 | 627 | £2.62 | £1,641 | ||
| 28. Jun 18 | Buy | John Oliver Kingman | Individual | 08. Jun 18 | 08. Jun 18 | 305 | £2.71 | £828 | ||
| 01. Jun 18 | Buy | Carolyn Bradley | Individual | 01. Jun 18 | 01. Jun 18 | 631 | £2.72 | £1,715 | ||
| 01. Jun 18 | Buy | John Oliver Kingman | Individual | 01. Jun 18 | 01. Jun 18 | 1,408 | £2.72 | £3,826 | ||
| 01. Jun 18 | Buy | Toby Strauss | Individual | 01. Jun 18 | 01. Jun 18 | 925 | £2.72 | £2,514 | ||
| 01. Jun 18 | Buy | John Oliver Kingman | Individual | 01. Jun 18 | 01. Jun 18 | 601 | £2.73 | £1,644 | ||
| 01. May 18 | Buy | Carolyn Bradley | Individual | 01. May 18 | 01. May 18 | 631 | £2.72 | £1,717 | ||
| 01. May 18 | Buy | John Oliver Kingman | Individual | 01. May 18 | 01. May 18 | 1,405 | £2.72 | £3,822 | ||
| 01. May 18 | Buy | Toby Strauss | Individual | 01. May 18 | 01. May 18 | 923 | £2.72 | £2,511 | ||
| 01. May 18 | Buy | John Oliver Kingman | Individual | 01. May 18 | 01. May 18 | 603 | £2.73 | £1,643 | ||
Management checks
We assess Legal & General Group's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Legal & General 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.
News
Simply Wall St News
Should You Be Impressed By Legal & General Group Plc's (LON:LGEN) ROE?
To keep the lesson grounded in practicality, we'll use ROE to better understand Legal & General Group Plc (LON:LGEN). … Legal & General Group has a ROE of 20%, based on the last twelve months. … Return on Equity = Net Profit ÷ Shareholders' Equity
Simply Wall St - – Full articleAre You An Income Investor? Don't Miss Out On Legal & General Group Plc (LON:LGEN)
There is a lot to be liked about Legal & General Group Plc (LON:LGEN) as an income stock. … Let's dig deeper into whether Legal & General Group should have a place in your portfolio. … See our latest analysis for Legal & General Group
Simply Wall St - – Full articleLegal & General Group Plc (LON:LGEN): What Can We Expect From This High Growth Stock?
Legal & General Group Plc's (LON:LGEN) most recent earnings announcement in December 2018a
Simply Wall St - – Full articleWhat Did Legal & General Group Plc's (LON:LGEN) CEO Take Home Last Year?
Nigel Wilson has been the CEO of Legal & General Group Plc (LON:LGEN) since 2012. … Check out our latest analysis for Legal & General Group … How Does Nigel Wilson's Compensation Compare With Similar Sized Companies?
Simply Wall St - – Full articleThese Factors Make Legal & General Group Plc (LON:LGEN) An Interesting Investment
Legal & General Group Plc (LON:LGEN) is a stock with outstanding fundamental characteristics. … When we build an investment case, we need to look at the stock with a holistic perspective. … In the case of LGEN, it
Simply Wall St - – Full articleIs There Now An Opportunity In Legal & General Group Plc (LON:LGEN)?
received a lot of attention from a substantial price movement on the LSE over the last few months, increasing to £2.63 at one point, and dropping to the lows of £2.24. … A question to answer is whether Legal & General Group's current trading price of £2.35 reflective of the actual value of the? … Let’s take a look at Legal & General Group’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change
Simply Wall St - – Full articleBoasting A 21% Return On Equity, Is Legal & General Group Plc (LON:LGEN) A Top Quality Stock?
Legal & General Group has a ROE of 21%, based on the last twelve months. … That means that for every £1 worth of shareholders' equity, it generated £0.21 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity
Simply Wall St - – Full articleWhat Makes Legal & General Group Plc (LON:LGEN) A Great Dividend Stock?
Legal & General Group Plc (LON:LGEN) has pleased shareholders over the past 10 years, by paying out dividends. … Let's dig deeper into whether Legal & General Group should have a place in your portfolio. … See our latest analysis for Legal & General Group
Simply Wall St - – Full articleLegal & General Group Plc (LON:LGEN): Secrets For Long Term Investors
Legal & General Group Plc is a financially healthy and robust stock with a proven track record of outperformance. … We all know Legal & General Group, and having this large-cap to cushion your portfolio during a volatile period in the stock market isn't a bad idea. … Legal & General Group Plc provides various insurance products and services worldwide
Simply Wall St - – Full articleWhy Legal & General Group Plc's (LON:LGEN) CEO Salary Matters To You
First, this article will compare CEO compensation with compensation at other large companies. … How Does Nigel Wilson's Compensation Compare With Similar Sized Companies. … At the time of writing our data says that Legal & General Group Plc has a market cap of UK£15.3b, and is paying total annual CEO compensation of UK£3m.
Simply Wall St - – Full articleCompany Info
Description
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 (LGC), Legal & General Insurance (LGI), and General Insurance (GI) segments. The LGR segment offers annuity contracts with guaranteed income for a specified time; longevity insurance products for company pension schemes; and lifetime mortgages. The LGIM segment provides index fund management; active fixed income and liquidity management; solution and liability driven investment; active equity; corporate pension scheme solutions; and real estate funds. The LGC segment offers investment strategy and implementation, and direct investment and structuring services. The LGI segment protection products, such as health, disability, critical illness and accident; individual term assurance; savings and death benefits; and annuities. The GI segment provides household and accident, sickness, unemployment, and pet insurance products. The company is also involved in insurance agency and brokerage, unit trust, institutional fund management, distribution, mortgage finance, treasury, SPV, building project and modular housing development, general insurance, and open ended investment businesses. It also engages in the real estate investment and trading, fund general partner, fund trustee, long term, commercial lending, venture and development capital, contractual scheme, real estate agency, private equity, management, investor alternative investment fund, collective asset-management, reinsurance, and investment management activities, as well as provides investment advisory and property services. The company was founded in 1836 and is based in London, the United Kingdom.
Details
| Name: | Legal & General Group Plc |
| LGEN | |
| Exchange: | LSE |
| Founded: | 1836 |
| £17,278,116,748 | |
| 5,933,419,213 | |
| Website: | http://www.legalandgeneralgroup.com |
| Address: |
Legal & General Group Plc One Coleman Street, London, Greater London, EC2R 5AA, United Kingdom |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| LSE | LGEN | Ordinary Shares | London Stock Exchange | GB | GBP | 02. Jan 1992 | |
| OTCPK | LGGN.F | Ordinary Shares | Pink Sheets LLC | US | USD | 02. Jan 1992 | |
| DB | LGI | Ordinary Shares | Deutsche Boerse AG | DE | EUR | 02. Jan 1992 | |
| BATS-CHIXE | LGENL | Ordinary Shares | BATS 'Chi-X Europe' | GB | GBP | 02. Jan 1992 | |
| OTCPK | LGGN.Y | SPONSORED ADR | Pink Sheets LLC | US | USD | 18. Oct 1995 |
Number of employees
Current staff
Industry
| Life and Health Insurance | |
| Insurance |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/04/19 20:40 |
| End of day share price update: | 2019/04/18 00:00 |
| Last estimates confirmation: | 2019/04/18 |
| Last earnings filing: | 2019/03/14 |
| Last earnings reported: | 2018/12/31 |
| Last annual earnings reported: | 2018/12/31 |
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.
