|Bid||27.80 x 0|
|Ask||27.81 x 0|
|Day's range||25.89 - 27.94|
|52-week range||0.30 - 73.66|
|Beta (5Y monthly)||1.09|
|PE ratio (TTM)||69.52|
|Earnings date||31 Jul 2019|
|Forward dividend & yield||N/A (N/A)|
|Ex-dividend date||16 Apr 2020|
|1y target est||75.37|
David Barnes explains why he dusted off his buy button for these two dogs of the FTSE 100 following the release of some poorly received financial results.The post Why I just bought these 2 unloved FTSE 100 shares appeared first on The Motley Fool UK.
A look at the shareholders of Lloyds Banking Group plc (LON:LLOY) can tell us which group is most powerful...
(Bloomberg Opinion) -- The U.K.’s biggest banks have come a long way since the financial crisis, when taxpayers had to rescue them to the tune of tens of billions of pounds. They’re certainly stronger, with comfortable capital buffers, as they head into what could be the worst recession in three centuries.But with the future of the economic rebound still far from certain, they’re having to set aside huge sums of cash to cover the potential loan losses. With rock-bottom interest rates squeezing profit margins, and the terms of Brexit still not finalized, it’s little wonder investors are staying clear.Shares in Britain’s “big four” — HSBC Holdings Plc, Barclays Plc, Lloyds Banking Group Plc and the recently rebranded NatWest Group Plc — have all performed worse than their European peers this year. Lloyds and NatWest, the most exposed to the U.K. economy, have seen more than half of their market values wiped out, leaving them not far off the lows of the financial crisis. Banco Santander SA, which runs Britain's fifth-largest bank, last week wrote $7.2 billion off the value of its U.K. offshoot.One reason for the investor anguish is the potential hit to lenders’ balance sheets from companies and households that won’t be able to repay their borrowings because of the Covid lockdowns. HSBC Chief Financial Officer Ewen Stevenson on Monday told Bloomberg Television that the U.K. is one of the weakest economies he can see globally.Analysts are expecting provisions across the four banks to total $27 billion this year, with HSBC making up more than a third of that. For perspective, they earned slightly less than $19 billion combined last year. Banks elsewhere in Europe — big lenders to small and medium-sized companies — have been making similar writedowns, but so far the U.K. finance industry seems to be in a worse spot.When reporting second-quarter earnings last week, several U.K. lenders said the provisions reflected a slower economic rebound and higher anticipated unemployment. State-controlled NatWest now estimates that British joblessness could top 9%. That would exceed the 8.4% rate at the peak of the financial crisis.The bankers’ conservative assessments are warranted. According to the National Institute of Economic and Social Research, a think tank, unemployment will rise to almost 10% later this year once the government’s furlough scheme ends at the end of October.U.K. banks are especially sensitive to the jobs market because so much of their business is consumer-based. There is a high correlation between unemployment and delinquencies across unsecured lending and credit cards, for example. Mortgages are another critical business, and analysts at Deutsche Bank AG say borrowers’ ability to repay is affected exponentially once unemployment rises past 8%. Deutsche estimates that losses at six U.K. lenders could reach 59 billion pounds ($77 billion) over two years if joblessness hits 10%.The drop in interest rates will also hurt, denting revenue and margins, and putting more pressure on costs. Then there’s Brexit. The possibility of Britain leaving the European Union without a deal features in banks’ most extreme scenario planning, but it still wouldn’t be a happy event during a global pandemic. And while there was a surge in British retail sales in June, a survey of households showed consumer confidence remained weak in July even before Britain started tightening lockdowns again.It’s a good thing capital isn’t an issue — for now. The banks expect their buffers to come under pressure, but the big four all reported an improvement in their common equity Tier 1 ratio in the second quarter, thanks in part to regulatory changes. That will help them weather the storm, but the situation is bleak.This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Elisa Martinuzzi is a Bloomberg Opinion columnist covering finance. She is a former managing editor for European finance at Bloomberg News.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Iwoca has raised £100m to lend under the CBILS scheme and wants it to be extended beyond September to help small businesses borrow.
Lloyds shares could fall lower in the near term, but in the long run, the bank could stage a strong recovery says this Fool. The post How low can Lloyds shares and other troubled bank shares go? appeared first on The Motley Fool UK.
Will Lloyds’ share price bounce back in 2021? Roland Head looks at the numbers and spies a possible opportunity for long-term investors.The post How low can the Lloyds share price go? appeared first on The Motley Fool UK.
The Lloyds Bank share price has plunged on poor financial results. But could this be the last chance to buy this FTSE 100 stock this cheap?The post The Lloyds Bank share price has crashed below 30p! Here’s what I think comes next for it appeared first on The Motley Fool UK.
Over half of Europe’s 30 biggest banks have now reported half year results and set aside £30.4bn between them to cover future losses.
Record declines in GDP across Europe hit stocks.
Looking to get rich with UK shares? Royston Wild explains why buying into the Lloyds share price is a bad idea after the stock market crash.The post Stock market crash: 3 reasons why I won’t buy into the Lloyds share price in an ISA appeared first on The Motley Fool UK.
NatWest set aside a further £2bn to cover potential COVID-19-linked losses, taking its total provisions for the crisis to £2.8bn.
Lloyds bank reports loss after setting aside £2.4bn. Group posts second-quarter loss at £676m after allowing for bad debts due to Covid-19
Higher-than-forecast loss provisions at Lloyds Bank and tumbling profits at Standard Chartered and BBVA spooked investors across the continent.
The Lloyds share price is falling once again now looks like a dirt-cheap bargain. Only buy if you plan to hold for the long term though.The post The Lloyds share price is dirt-cheap but I'd only buy it on one condition appeared first on The Motley Fool UK.
(Bloomberg) -- Lloyds Banking Group Plc’s profit was wiped out by a fresh 2.4 billion-pound ($3.1 billion) charge for bad loans in the second quarter as the lender braces for more pain from the coronavirus pandemic.Britain’s biggest mortgage lender said Thursday it now expects to set aside between 4.5 and 5.5 billion pounds this year to cover the economic fallout from months of lockdown and the end of government support programs.“The outlook has clearly become more challenging since our first quarter results, with the economic impact of lockdown much larger than expected at that time,” said Chief Executive Officer Antonio Horta-Osorio.Shares in the bank fell as much as 9.3% in London.Payment HolidaysLloyds is the latest U.K. bank preparing for a deeper recession. The lender’s severe scenario now includes a spike in unemployment to 12.5% by the second quarter next year and a contraction in the economy of 17.2% this year.Chief Financial Officer William Chalmers told reporters it’s too early to say how many loans provided under government-backed programs will turn sour. Lloyds wrote off just 10.5 million pounds of loans to small- and medium-sized companies in the first half, below average for the past three years. About 72% of borrowers who took breaks on their mortgages in the first quarter are making repayments, while there was a “large uptake” for payment holidays on credit cards in the past three months, the bank said. The government has extended borrower support until October.Lloyds’ provision was 1 billion pounds above analyst forecasts and took the bank to a statutory pretax loss of 676 million pounds for the second quarter. Its gloomy outlook comes a day comes a day after rival Barclays Plc announced a higher than predicted charge to cover bad loans, sending its shares down 6%. Analysts expect Natwest Group Plc to follow suit with an impairment of 943 million pounds in its results on Friday.“The long term challenges of low interest rates and anemic economic growth are probably here to stay for some time,” said Nicholas Hyett, equity analyst at Hargreaves Lansdown.Disappointing OutlookLloyds also updated its guidance for net interest margin, a measure of profitability, which is expected to remain at a lowly 2.4% for the rest of the year. It’s a “very disappointing outlook,” said Edward Firth, analyst at Keefe Bruyette & Woods.Horta-Osorio, who is set to leave the bank by next June, said the group’s three-year plan is likely to emerge later in 2021, after his successor is appointed and Robin Budenberg, the bank’s new chairman, joins the board in October.“Coronavirus has changed many things,” said Horta-Osorio. “We are reviewing our options.”(Adds detail on provisions, analyst comments, chart from sixth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Chief executive António Horta-Osório said there would be more 'flexibility' around how staff work in future, promising 'a better work life balance.'
Businesses anticipate reducing their office footprint over the next two years as people move to home working post-COVID-19.
António Horta-Osório said he had been 'moved by the recent tragic events in the US and the issues raised around inclusion and diversity.'
DGAP-News: Lloyds Banking Group PLC / Key word(s): Half Year Results 30.07.2020 / 09:24 The issuer is solely responsible for the content of this announcement. 2020 Half-Year Results News Release Lloyds Banking Group plc 30 July 2020 BASIS OF PRESENTATION This release covers the results of Lloyds Banking Group plc together with its subsidiaries (the Group) for the six months ended 30 June 2020. Statutory basis: Statutory profit / loss before tax and statutory profit after tax are included within this document. However, a number of factors have had a significant effect on the comparability of the Group's financial position and results. Accordingly, the results are also presented on an underlying basis. Underlying basis: The statutory results are adjusted for certain items which are listed below, to allow a comparison of the Group's underlying performance: \- restructuring, including severance-related costs, the rationalisation of the non-branch property portfolio, the establishment of the Schroders partnership, the integration of MBNA and Zurich's UK workplace pensions and savings business; \- volatility and other items, which includes the effects of certain asset sales, the volatility relating to the Group's hedging arrangements and that arising in the insurance businesses, insurance gross up, the unwind of acquisition-related fair value adjustments and the amortisation of purchased intangible assets; \- payment protection insurance provisions. Unless otherwise stated, income statement commentaries throughout this document compare the six months ended 30 June 2020 to the six months ended 30 June 2019 and the balance sheet analysis compares the Group balance sheet as at 30 June 2020 to the Group balance sheet as at 31 December 2019. Segmental information: During the half-year to 30 June 2020, the Group migrated certain customer relationships from the SME business within Commercial Banking to Business Banking within Retail. In addition, Commercial Banking has been resegmented to reflect the division's new client coverage model and is now analysed according to SME, Mid Corporates, Corporate & Institutional, and Other. The Group has also revised its approach to internal funding charges, including the adoption of the Sterling Overnight Index Average (SONIA) interest rate benchmark in place of LIBOR. Comparatives have been restated accordingly. Alternative performance measures: The Group uses a number of alternative performance measures, including underlying profit, in the discussion of its business performance and financial position. There have been no changes to the definitions of alternative performance measures used by the Group; further information on these measures is set out in the summary of alternative performance measures. Click on, or paste the following link into your web browser, to view the associated PDF document.http://www.rns-pdf.londonstockexchange.com/rns/5428U_1-2020-7-30.pdf This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact firstname.lastname@example.org or visit www.rns.com. * * *30.07.2020 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.dgap.de * * * Language: English Company: Lloyds Banking Group PLC Gresham Street EC2V 7HN London United Kingdom Phone: 020 7626 1500 Internet: www.lloydsbankinggroup.com ISIN: GB0008706128 WKN: 871784 Listed: Regulated Unofficial Market in Berlin, Dusseldorf, Frankfurt, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange; London, BX, SIX EQS News ID: 1105917 End of News DGAP News Service
Lloyds Banking Group swung to a rare pretax loss in the first half of 2020, after setting aside a bigger than expected 2.4 billion pounds ($3.1 billion) second-quarter provision to cover a potential hike in bad loans due to the coronavirus. The United Kingdom's biggest domestic bank, seen as a bellwether for the wider economy, said it had adopted a gloomier outlook and estimated the impact of lockdown measures was "much larger" than previously forecast. It said Britain's GDP could shrink by 17.2% over the year, compared with a 7.8% fall previously modelled as the worst-possible outcome at Lloyds' first quarter results in April.
Warren Buffett has been buying shares in a big US institution. Roland Head picks two UK peers that look cheap after this year's stock market crash.The post Stock market crash: I think Warren Buffett would buy these UK shares today appeared first on The Motley Fool UK.
Jes Staley rethinking 'real estate mix' after previously suggesting that packed Canary Wharf office blocks could be 'a thing of the past.'
Why I reckon Lloyds Banking shares come nowhere near the attractions of this steady FTSE 100 5% yielder, whose stock I’d buy right now.The post Forget Lloyds Bank shares! I’d buy this FTSE 100 5% yielder instead appeared first on The Motley Fool UK.