Is Lloyds Banking Stock a Good Investment?
Lloyds Banking Investment Advice | LYG |
- Examine Lloyds Banking's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Lloyds Banking's leadership team and their track record. Good management can help Lloyds Banking navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Diversified Banks space and any emerging trends that could impact Lloyds Banking's business and its evolving consumer preferences.
- Compare Lloyds Banking's performance and market position to its competitors. Analyze how Lloyds Banking is positioned in terms of product offerings, innovation, and market share.
- Check if Lloyds Banking pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Lloyds Banking's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Lloyds Banking Group stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Lloyds Banking Group is a good investment.
Sell | Buy |
Cautious Hold
Market Performance | OK | Details | |
Volatility | Somewhat reliable | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Slowly supersedes the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Hold | Details | |
Financial Strenth (F Score) | Frail | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Possible Manipulator | Details |
Examine Lloyds Banking Stock
Researching Lloyds Banking's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). The company has price-to-book ratio of 1.01. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Lloyds Banking Group has Price/Earnings To Growth (PEG) ratio of 2.45. The entity last dividend was issued on the 4th of August 2025. The firm had 1:1 split on the 6th of May 2009.
To determine if Lloyds Banking is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Lloyds Banking's research are outlined below:
| Lloyds Banking Group has about 202.4 B in cash with (4.39 B) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 11.78, which can makes it an attractive takeover target, given it will continue generating positive cash flow. | |
| Lloyds Banking Group has a frail financial position based on the latest SEC disclosures | |
| Latest headline from finance.yahoo.com: Motor finance verdict could rewrite UK finance, or be erased by Parliament |
Lloyds Banking uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Lloyds Banking Group. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Lloyds Banking's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 28th of February 2024 Upcoming Quarterly Report | View | |
| 1st of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 28th of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Lloyds Banking's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Lloyds Banking's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2019-10-31 | 2019-09-30 | -0.03 | -0.0259 | 0.0041 | 13 | ||
2025-05-16 | 2025-03-31 | 0.09 | 0.1008 | 0.0108 | 12 | ||
2019-02-20 | 2018-12-31 | 0.08 | 0.091 | 0.011 | 13 | ||
2018-04-25 | 2018-03-31 | 0.1 | 0.0841 | -0.0159 | 15 | ||
2025-02-20 | 2024-12-31 | 0.0774 | 0.0609 | -0.0165 | 21 | ||
2019-05-02 | 2019-03-31 | 0.1 | 0.0777 | -0.0223 | 22 | ||
2024-06-27 | 2024-03-31 | 0.1199 | 0.0848 | -0.0351 | 29 | ||
2024-10-23 | 2024-09-30 | 0.09 | 0.19 | 0.1 | 111 |
Know Lloyds Banking's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Lloyds Banking is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Lloyds Banking Group backward and forwards among themselves. Lloyds Banking's institutional investor refers to the entity that pools money to purchase Lloyds Banking's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Envestnet Asset Management Inc | 2025-03-31 | 10.5 M | Blackrock Inc | 2025-03-31 | 9.1 M | Millennium Management Llc | 2025-03-31 | 8.2 M | American Century Companies Inc | 2025-03-31 | 7 M | Wells Fargo & Co | 2025-03-31 | 6.7 M | Arnhold & S. Bleichroeder Advisers, Llc | 2025-03-31 | 6.2 M | Crossmark Global Holdings, Inc. | 2025-03-31 | 4.8 M | Ramius, Llc | 2024-12-31 | 4.4 M | O'shaughnessy Asset Management Llc | 2025-03-31 | 3.8 M | Fisher Asset Management, Llc | 2025-03-31 | 132.1 M | Mondrian Investment Partners Ltd | 2025-03-31 | 66.1 M |
Lloyds Banking's market capitalization trends
The company currently falls under 'Large-Cap' category with a total capitalization of 63.22 B.Market Cap |
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Lloyds Banking's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.00 | 0.01 | |
| Return On Capital Employed | 0.04 | 0.04 | |
| Return On Assets | 0.00 | 0.01 | |
| Return On Equity | 0.10 | 0.15 |
Determining Lloyds Banking's profitability involves analyzing its financial statements and using various financial metrics to determine if Lloyds Banking is a good buy. For example, gross profit margin measures Lloyds Banking's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Lloyds Banking's profitability and make more informed investment decisions.
Evaluate Lloyds Banking's management efficiency
At this time, Lloyds Banking's Return On Equity is most likely to increase slightly in the upcoming years. At this time, Lloyds Banking's Net Tangible Assets are most likely to decrease significantly in the upcoming years. The Lloyds Banking's current Return On Tangible Assets is estimated to increase to 0.01, while Other Assets are projected to decrease to roughly 7.6 B. Lloyds Banking's management efficiency ratios could be used to measure how well Lloyds Banking manages its routine affairs as well as how well it operates its assets and liabilities.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 0.74 | 0.77 | |
| Tangible Book Value Per Share | 0.60 | 0.63 | |
| Enterprise Value Over EBITDA | 5.14 | 4.89 | |
| Price Book Value Ratio | 0.75 | 0.71 | |
| Enterprise Value Multiple | 5.14 | 4.89 | |
| Price Fair Value | 0.75 | 0.71 | |
| Enterprise Value | 137.5 B | 220.2 B |
The strategic vision of Lloyds Banking Group management plays a critical role in its financial performance. By evaluating this vision, we provide insights into the stock's growth potential.
Basic technical analysis of Lloyds Stock
As of the 31st of July, Lloyds Banking secures the Downside Deviation of 1.96, risk adjusted performance of 0.0593, and Mean Deviation of 1.22. In connection with fundamental indicators, the technical analysis model lets you check existing technical drivers of Lloyds Banking Group, as well as the relationship between them. Please verify Lloyds Banking Group standard deviation, maximum drawdown, as well as the relationship between the Maximum Drawdown and expected short fall to decide if Lloyds Banking Group is priced some-what accurately, providing market reflects its recent price of 4.21 per share. Given that Lloyds Banking Group has jensen alpha of 0.0621, we recommend you to check Lloyds Banking's last-minute market performance to make sure the company can sustain itself at a future point.Lloyds Banking's Outstanding Corporate Bonds
Lloyds Banking issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Lloyds Banking Group uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Lloyds bonds can be classified according to their maturity, which is the date when Lloyds Banking Group has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| LLOYDS BKG GROUP Corp BondUS53944YAE32 | View | |
| LLOYDS BKG GROUP Corp BondUS53944YAD58 | View | |
| LLOYDS BKG GROUP Corp BondUS53944YAB92 | View | |
| LLOYDS 8 Corp BondUS53944YAV56 | View | |
| LLOYDS 4976 11 AUG 33 Corp BondUS53944YAU73 | View | |
| LLOYDS 4716 11 AUG 26 Corp BondUS53944YAT01 | View | |
| LLOYDS 375 18 MAR 28 Corp BondUS53944YAS28 | View | |
| LLOYDS 675 Corp BondUS53944YAJ29 | View |
Understand Lloyds Banking's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Lloyds Banking's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0593 | |||
| Market Risk Adjusted Performance | 0.3835 | |||
| Mean Deviation | 1.22 | |||
| Semi Deviation | 1.81 | |||
| Downside Deviation | 1.96 | |||
| Coefficient Of Variation | 1416.3 | |||
| Standard Deviation | 1.6 | |||
| Variance | 2.57 | |||
| Information Ratio | (0.03) | |||
| Jensen Alpha | 0.0621 | |||
| Total Risk Alpha | (0.21) | |||
| Sortino Ratio | (0.02) | |||
| Treynor Ratio | 0.3735 | |||
| Maximum Drawdown | 7.49 | |||
| Value At Risk | (2.56) | |||
| Potential Upside | 2.43 | |||
| Downside Variance | 3.83 | |||
| Semi Variance | 3.29 | |||
| Expected Short fall | (1.17) | |||
| Skewness | (0.79) | |||
| Kurtosis | 1.22 |
| Risk Adjusted Performance | 0.0593 | |||
| Market Risk Adjusted Performance | 0.3835 | |||
| Mean Deviation | 1.22 | |||
| Semi Deviation | 1.81 | |||
| Downside Deviation | 1.96 | |||
| Coefficient Of Variation | 1416.3 | |||
| Standard Deviation | 1.6 | |||
| Variance | 2.57 | |||
| Information Ratio | (0.03) | |||
| Jensen Alpha | 0.0621 | |||
| Total Risk Alpha | (0.21) | |||
| Sortino Ratio | (0.02) | |||
| Treynor Ratio | 0.3735 | |||
| Maximum Drawdown | 7.49 | |||
| Value At Risk | (2.56) | |||
| Potential Upside | 2.43 | |||
| Downside Variance | 3.83 | |||
| Semi Variance | 3.29 | |||
| Expected Short fall | (1.17) | |||
| Skewness | (0.79) | |||
| Kurtosis | 1.22 |
Consider Lloyds Banking's intraday indicators
Lloyds Banking intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Lloyds Banking stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Lloyds Banking time-series forecasting models is one of many Lloyds Banking's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Lloyds Banking's historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.
Lloyds Stock media impact
There is far too much social signal, news, headlines, and media speculation about Lloyds Banking that are available to investors today. This information is accessible both publicly - through Lloyds Banking's media outlets and privately, via word of mouth or internal channels. However, regardless of the source, the sheer volume of Lloyds-related data is difficult to distill into actionable insights, especially for investors who are not well-versed in the rapidly evolving tools and techniques of investment management.
A primary focus of Lloyds Banking news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Lloyds Banking relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Lloyds Banking's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Lloyds Banking alpha.
Lloyds Banking Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Lloyds Banking can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Lloyds Banking Group Historical Investor Sentiment
Investor biases related to Lloyds Banking's public news can be used to forecast risks associated with an investment in Lloyds. The trend in average sentiment can be used to explain how an investor holding Lloyds can time the market purely based on public headlines and social activities around Lloyds Banking Group. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Lloyds Banking's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Lloyds Banking and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Lloyds Banking news discussions. The higher the estimate score, the more favorable the investor's outlook on Lloyds Banking.
Lloyds Banking Corporate Directors
| James Lupton | Non-Executive Independent Director | Profile | |
| Sarah Legg | Non-Executive Independent Director | Profile | |
| Andrew Walton | Group Corporate Affairs Director | Profile | |
| Janet Pope | Chief of Staff and Group Director - Responsible Business and Inclusion | Profile |
Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Lloyds Banking Group. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in manufacturing. You can also try the Pair Correlation module to compare performance and examine fundamental relationship between any two equity instruments.
Is Diversified Banks space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Lloyds Banking. If investors know Lloyds will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Lloyds Banking listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.252 | Dividend Share 0.033 | Earnings Share 0.35 | Revenue Per Share | Quarterly Revenue Growth 0.026 |
The market value of Lloyds Banking Group is measured differently than its book value, which is the value of Lloyds that is recorded on the company's balance sheet. Investors also form their own opinion of Lloyds Banking's value that differs from its market value or its book value, called intrinsic value, which is Lloyds Banking's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Lloyds Banking's market value can be influenced by many factors that don't directly affect Lloyds Banking's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Lloyds Banking's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Lloyds Banking is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Lloyds Banking's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.