OTCPK:LLDT.F

Stock Analysis Report

Executive Summary

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.

Snowflake

Fundamentals

Undervalued with excellent balance sheet and pays a dividend.


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


Market Performance


7 Day Return

29.6%

LLDT.F

1.7%

US Banks

1.3%

US Market


1 Year Return

5.4%

LLDT.F

0.3%

US Banks

5.9%

US Market

Return vs Industry: LLDT.F underperformed the US Banks industry which returned 0.3% over the past year.

Return vs Market: LLDT.F underperformed the US Market which returned 5.9% over the past year.


Shareholder returns

LLDT.FIndustryMarket
7 Day29.6%1.7%1.3%
30 Day20.3%-2.4%-1.9%
90 Day9.9%1.0%-1.8%
1 Year5.4%5.4%3.2%0.3%8.3%5.9%
3 Year20.0%20.0%52.1%41.7%45.6%36.2%
5 Year-33.3%-33.3%69.8%51.4%66.1%47.9%

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

No news available

Valuation

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

19.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: LLDT.F ($0.78) is trading below our estimate of fair value ($0.97)

Significantly Undervalued: LLDT.F is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: LLDT.F is good value based on its PE Ratio (11.3x) compared to the Banks industry average (12.5x).

PE vs Market: LLDT.F is good value based on its PE Ratio (11.3x) compared to the US market (17.5x).


Price to Earnings Growth Ratio

Low PEG Ratio: LLDT.F is good value based on its PEG Ratio (0.7x)


Price to Book Ratio

PB vs Industry: LLDT.F is good value based on its PB Ratio (0.8x) compared to the US Banks industry average (1.2x).


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?

16.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: LLDT.F's forecast earnings growth (16.2% per year) is above the savings rate (2.7%).

Earnings vs Market: LLDT.F's earnings (16.2% per year) are forecast to grow faster than the US market (14.4% per year).

High Growth Earnings: LLDT.F's earnings are forecast to grow, but not significantly.

Revenue vs Market: LLDT.F's revenue is expected to decline over the next 3 years (-0.2% per year).

High Growth Revenue: LLDT.F's revenue is forecast to decline over the next 3 years (-0.2%).


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: LLDT.F's Return on Equity is forecast to be low in 3 years time (12.5%).


Next Steps

Past Performance

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

44.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: LLDT.F has become profitable over the past 5 years, growing earnings by 44.6% per year.

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

Earnings vs Industry: LLDT.F had negative earnings growth (-2.2%) over the past year, making it difficult to compare to the Banks industry average (31.8%).


Return on Equity

High ROE: LLDT.F's Return on Equity (8.8%) is considered low.


Return on Assets

ROA vs Industry: LLDT.F's Return on Assets is below or equal to the Banks industry average last year.


Return on Capital Employed

ROCE Improving: Insufficient data to calculate LLDT.F's Return on Capital Employed to determine if it has improved over the past 3 years.


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

Inventory Level: LLDT.F has a low level of unsold assets or inventory.

Debt Coverage by Assets: LLDT.F's debt is not covered by short term assets (assets are 0.8x debt).


Financial Institutions Analysis

Asset Level: LLDT.F's level of assets compared to its equity is moderate.

Allowance for Bad Loans: LLDT.F has a low allowance for bad loans.

Low Risk Liabilities: LLDT.F's liabilities are made up of primarily low risk sources of funding.

Loan Level: LLDT.F has an acceptable proportion of non-loan assets held.

Low Risk Deposits: LLDT.F's loans are broadly funded by customer deposits.

Level of Bad Loans: LLDT.F has an appropriate level of bad loans (1.27%)


Next Steps

  • Explore more healthy companies in the Banks industry.

Dividend

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

5.28%

Current Dividend Yield


Dividend Yield vs Market

company5.3%marketbottom25%1.5%markettop25%3.8%industryaverage3.1%forecastin3Years6.0%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: LLDT.F's dividend (5.28%) is higher than the bottom 25% of dividend payers in the US market (1.47%).

High Dividend: LLDT.F's dividend (5.28%) is in the top 25% of dividend payers in the US market (3.77%)

Stable Dividend: Whilst dividend payments have been stable, LLDT.F has been paying a dividend for less than 10 years.

Growing Dividend: LLDT.F's dividend payments have increased, but the company has only paid a dividend for 4 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (60.4%), LLDT.F's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: LLDT.F's dividends in 3 years are forecast to be covered by earnings (50.9% payout ratio).


Next Steps

Management

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

2.3yrs

Average management tenure


CEO

António de Sousa Horta-Osório (55yo)

8.6yrs

Tenure

UK£6,270,000

Compensation

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  ...


CEO Compensation Analysis

Compensation vs. Market: António's total compensation ($USD7.99M) is about average for companies of similar size in the US market ($USD11.20M).

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


Management Age and Tenure

2.3yrs

Average Tenure

56yo

Average Age

Experienced Management: LLDT.F's management team is considered experienced (2.3 years average tenure).


Board Age and Tenure

5.4yrs

Average Tenure

58yo

Average Age

Experienced Board: LLDT.F's board of directors are considered experienced (5.4 years average tenure).


Insider Trading

Insider Buying: LLDT.F insiders have sold more shares than they have bought in the past 3 months.


Recent Insider Transactions

SellUK£603,58330 Sep 19
Vimlesh Maru
EntityIndividual
Shares900,000
Max PriceUK£0.67
SellUK£81,70430 Sep 19
Stephen Shelley
EntityIndividual
Shares121,022
Max PriceUK£0.68
SellUK£673,89130 Sep 19
David J. Oldfield
EntityIndividual
Shares1,000,000
Max PriceUK£0.67
SellUK£122,72430 Sep 19
António de Sousa Horta-Osório
EntityIndividual
Role
Chief Executive Officer
Group Chief Executive & Executive Director
Shares182,112
Max PriceUK£0.67
SellUK£54,50813 Sep 19
António de Sousa Horta-Osório
EntityIndividual
Role
Chief Executive Officer
Group Chief Executive & Executive Director
Shares83,298
Max PriceUK£0.65
BuyUK£38,90807 Aug 19
Amanda Mackenzie
EntityIndividual
Shares63,567
Max PriceUK£0.61
SellUK£4,322,42902 Aug 19
António de Sousa Horta-Osório
EntityIndividual
Role
Chief Executive Officer
Group Chief Executive & Executive Director
Shares6,750,000
Max PriceUK£0.64
SellUK£1,994,50628 Jun 19
Antonio Lorenzo
EntityIndividual
Shares2,750,000
Max PriceUK£0.73
SellUK£268,66428 Jun 19
António de Sousa Horta-Osório
EntityIndividual
Role
Chief Executive Officer
Group Chief Executive & Executive Director
Shares374,554
Max PriceUK£0.72
BuyUK£283,78921 May 19
Stuart Sinclair
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares362,664
Max PriceUK£0.78
SellUK£382,51829 Mar 19
Stephen Shelley
EntityIndividual
Shares470,324
Max PriceUK£0.81
SellUK£222,45729 Mar 19
Jennifer Tippin
EntityIndividual
Shares272,953
Max PriceUK£0.82
SellUK£244,81829 Mar 19
António de Sousa Horta-Osório
EntityIndividual
Role
Chief Executive Officer
Group Chief Executive & Executive Director
Shares300,000
Max PriceUK£0.82
SellUK£247,37608 Mar 19
António de Sousa Horta-Osório
EntityIndividual
Role
Chief Executive Officer
Group Chief Executive & Executive Director
Shares300,002
Max PriceUK£0.82
SellUK£745,14625 Feb 19
David J. Oldfield
EntityIndividual
Shares930,000
Max PriceUK£0.80
SellUK£706,07625 Feb 19
Vimlesh Maru
EntityIndividual
Shares900,000
Max PriceUK£0.78
BuyUK£131,94918 Dec 18
James Roger Lupton
EntityIndividual
Shares200,000
Max PriceUK£0.66
BuyUK£35,43219 Nov 18
Simon Henry
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares50,000
Max PriceUK£0.71
BuyUK£34,72019 Nov 18
Norman Blackwell
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares50,000
Max PriceUK£0.69
BuyUK£183,35029 Oct 18
James Roger Lupton
EntityIndividual
Shares250,000
Max PriceUK£0.73

Ownership Breakdown


Management Team

  • António de Sousa Horta-Osório (55yo)

    Group Chief Executive & Executive Director

    • Tenure: 8.6yrs
    • Compensation: UK£6.27m
  • William Leon Chalmers (51yo)

    CFO & Executive Director

    • Tenure: 0.2yrs
  • Juan Colombás (56yo)

    COO & Executive Director

    • Tenure: 5.9yrs
    • Compensation: UK£3.27m
  • Douglas Radcliffe

    Group Investor Relations Director

    • Tenure: 0yrs
  • Eduardo Stock da Cunha (56yo)

    Head of Corporate Development & Head of Commercial Banking Market

    • Tenure: 3.2yrs
  • Letitia Smith

    Group Director of Conduct

    • Tenure: 0yrs
  • Kate Cheetham (56yo)

    Company Secretary & Group General Counsel

    • Tenure: 2.3yrs
  • Matt Smith

    Head of Media Relations

    • Tenure: 0yrs
  • Markus Stadalmann

    Chief Investment Officer

    • Tenure: 5yrs
  • John Chambers

    Group Chief Information Officer

    • Tenure: 1.3yrs

Board Members

  • Norman Blackwell (66yo)

    Chairman of the Board

    • Tenure: 5.5yrs
    • Compensation: UK£743.00k
  • António de Sousa Horta-Osório (55yo)

    Group Chief Executive & Executive Director

    • Tenure: 8.6yrs
    • Compensation: UK£6.27m
  • Sara Weller (58yo)

    Independent Director

    • Tenure: 7.7yrs
    • Compensation: UK£199.00k
  • Anita Frew (62yo)

    Deputy Chairman & Senior Independent Director

    • Tenure: 5.4yrs
    • Compensation: UK£380.00k
  • Stuart Sinclair (65yo)

    Independent Director

    • Tenure: 3.8yrs
    • Compensation: UK£172.00k
  • Simon Henry (58yo)

    Independent Director

    • Tenure: 5.3yrs
    • Compensation: UK£182.00k
  • Alan Dickinson (69yo)

    Independent Director

    • Tenure: 5.1yrs
    • Compensation: UK£230.00k
  • Nick Prettejohn (58yo)

    Independent Non-Executive Director

    • Tenure: 5.3yrs
    • Compensation: UK£449.00k
  • William Leon Chalmers (51yo)

    CFO & Executive Director

    • Tenure: 0.2yrs
  • Juan Colombás (56yo)

    COO & Executive Director

    • Tenure: 5.9yrs
    • Compensation: UK£3.27m

Company Information

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


Key Information

  • Name: Lloyds Banking Group plc
  • Ticker: LLDT.F
  • Exchange: OTCPK
  • Founded: 1695
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: UK£42.597b
  • Listing Market Cap: UK£54.276b
  • Shares outstanding: 70.04b
  • 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
LLDDB (Deutsche Boerse AG)YesOrdinary SharesDEEURSep 1987
LLOYSWX (SIX Swiss Exchange)YesOrdinary SharesCHCHFSep 1987
LLOYLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPSep 1987
LLDT.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDSep 1987
LLDXTRA (XETRA Trading Platform)YesOrdinary SharesDEEURSep 1987
LLOYLSE (London Stock Exchange)YesOrdinary SharesGBGBPSep 1987
LYG NBMV (Bolsa Mexicana de Valores)ADR REP 4 ORD GBP0.10(BNY)MXMXNNov 2001
LLD2DB (Deutsche Boerse AG)ADR REP 4 ORD GBP0.10(BNY)DEEURNov 2001
LYGNYSE (New York Stock Exchange)ADR REP 4 ORD GBP0.10(BNY)USUSDNov 2001
LYGBASE (Buenos Aires Stock Exchange)CEDAR EACH REP 0.5 ADRARARSFeb 2004
LLD6LSE (London Stock Exchange)ADR REPR 1/100 6.657% NON CUM PRF 144AGBUSDJan 2009
LLD1LSE (London Stock Exchange)6.413%-FRN PERP USD100000 'REGS'GBUSDOct 2012
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 banking and financial services under the Lloyds Bank, Halifax, Bank of Scotland, and Scottish Widows brands in the United Kingdom and internationally. It operates through  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/15 23:50
End of Day Share Price2019/10/15 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.