LLOYDS BANKING GROUP PLC-ADR (LYG) Stock Fundamental Analysis
USA - NYSE:LYG - US5394391099 - ADR
4.615 USD
-0.1 (-2.22%)
We assign a fundamental rating of 3 out of 10 to LYG. LYG was compared to 388 industry peers in the Banks industry. Both the profitability and financial health of LYG have multiple concerns. LYG is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
LYG had positive earnings in the past year.
LYG had a positive operating cash flow in the past year.
Each year in the past 5 years LYG has been profitable.
Of the past 5 years LYG 4 years had a positive operating cash flow.
1.2 Ratios
LYG has a worse Return On Assets (0.43%) than 81.19% of its industry peers.
With a Return On Equity value of 8.40%, LYG perfoms like the industry average, outperforming 47.42% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.43% | ||
| ROE | 8.4% | ||
| ROIC | N/A |
ROA(3y)0.46%
ROA(5y)0.42%
ROE(3y)8.93%
ROE(5y)7.74%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
LYG's Profit Margin of 10.27% is on the low side compared to the rest of the industry. LYG is outperformed by 84.79% of its industry peers.
LYG's Profit Margin has improved in the last couple of years.
LYG does not have Operating Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 10.27% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-9.46%
PM growth 5Y12.85%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
LYG does not have a ROIC to compare to the WACC, probably because it is not profitable.
LYG has less shares outstanding than it did 1 year ago.
LYG has less shares outstanding than it did 5 years ago.
The debt/assets ratio for LYG has been reduced compared to a year ago.
2.2 Solvency
LYG has a debt to FCF ratio of 228.60. This is a negative value and a sign of low solvency as LYG would need 228.60 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 228.60, LYG is doing worse than 86.34% of the companies in the same industry.
LYG has a Debt/Equity ratio of 2.55. This is a high value indicating a heavy dependency on external financing.
LYG's Debt to Equity ratio of 2.55 is on the low side compared to the rest of the industry. LYG is outperformed by 90.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.55 | ||
| Debt/FCF | 228.6 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC3.62%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 23.07% over the past year.
The Earnings Per Share has been decreasing by -0.52% on average over the past years.
LYG shows a decrease in Revenue. In the last year, the revenue decreased by -2.11%.
LYG shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -2.71% yearly.
EPS 1Y (TTM)23.07%
EPS 3Y1.39%
EPS 5Y-0.52%
EPS Q2Q%-8.25%
Revenue 1Y (TTM)-2.11%
Revenue growth 3Y-0.44%
Revenue growth 5Y-2.71%
Sales Q2Q%6.83%
3.2 Future
LYG is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -0.77% yearly.
The Revenue is expected to grow by 4.23% on average over the next years.
EPS Next Y-12.09%
EPS Next 2Y7.45%
EPS Next 3Y10.92%
EPS Next 5Y-0.77%
Revenue Next Year7.33%
Revenue Next 2Y8.34%
Revenue Next 3Y7.7%
Revenue Next 5Y4.23%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
LYG is valuated reasonably with a Price/Earnings ratio of 9.05.
Based on the Price/Earnings ratio, LYG is valued a bit cheaper than 79.90% of the companies in the same industry.
LYG is valuated cheaply when we compare the Price/Earnings ratio to 25.46, which is the current average of the S&P500 Index.
LYG is valuated reasonably with a Price/Forward Earnings ratio of 8.75.
62.63% of the companies in the same industry are more expensive than LYG, based on the Price/Forward Earnings ratio.
LYG is valuated cheaply when we compare the Price/Forward Earnings ratio to 35.39, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.05 | ||
| Fwd PE | 8.75 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, LYG is valued expensively inside the industry as 82.47% of the companies are valued cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 99.22 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y7.45%
EPS Next 3Y10.92%
5. Dividend
5.1 Amount
LYG has a Yearly Dividend Yield of 6.09%, which is a nice return.
LYG's Dividend Yield is rather good when compared to the industry average which is at 3.39. LYG pays more dividend than 92.78% of the companies in the same industry.
LYG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.09% |
5.2 History
The dividend of LYG decreases each year by -2.11%.
LYG has been paying a dividend for at least 10 years, so it has a reliable track record.
LYG has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-2.11%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
LYG pays out 49.20% of its income as dividend. This is a bit on the high side, but may be sustainable.
The Dividend Rate of LYG has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP49.2%
EPS Next 2Y7.45%
EPS Next 3Y10.92%
NYSE:LYG (11/19/2025, 2:58:32 PM)
4.615
-0.1 (-2.22%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners53.55%
Inst Owner Change-18.84%
Ins Owners0.07%
Ins Owner ChangeN/A
Market Cap68.05B
Revenue(TTM)38.20B
Net Income(TTM)3.92B
Analysts76.36
Price Target5.24 (13.54%)
Short Float %0.05%
Short Ratio1.07
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.09% |
Yearly Dividend0.16
Dividend Growth(5Y)-2.11%
DP49.2%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)32.8%
Min EPS beat(2)32.56%
Max EPS beat(2)33.04%
EPS beat(4)4
Avg EPS beat(4)40.54%
Min EPS beat(4)13.66%
Max EPS beat(4)82.9%
EPS beat(8)7
Avg EPS beat(8)24.91%
EPS beat(12)11
Avg EPS beat(12)29.73%
EPS beat(16)14
Avg EPS beat(16)26.77%
Revenue beat(2)0
Avg Revenue beat(2)-4.83%
Min Revenue beat(2)-5.1%
Max Revenue beat(2)-4.56%
Revenue beat(4)0
Avg Revenue beat(4)-4.58%
Min Revenue beat(4)-5.1%
Max Revenue beat(4)-4.24%
Revenue beat(8)0
Avg Revenue beat(8)-5.5%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)4.09%
PT rev (3m)6.27%
EPS NQ rev (1m)-10.95%
EPS NQ rev (3m)-12.37%
EPS NY rev (1m)-2.08%
EPS NY rev (3m)0.42%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.4%
Revenue NY rev (1m)0.09%
Revenue NY rev (3m)0.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.05 | ||
| Fwd PE | 8.75 | ||
| P/S | 1.36 | ||
| P/FCF | 99.22 | ||
| P/OCF | 8.66 | ||
| P/B | 1.11 | ||
| P/tB | 1.34 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.51
EY11.05%
EPS(NY)0.53
Fwd EY11.43%
FCF(TTM)0.05
FCFY1.01%
OCF(TTM)0.53
OCFY11.55%
SpS3.4
BVpS4.16
TBVpS3.45
PEG (NY)N/A
PEG (5Y)N/A
Graham Number6.91
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.43% | ||
| ROE | 8.4% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 10.27% | ||
| GM | N/A | ||
| FCFM | 1.37% |
ROA(3y)0.46%
ROA(5y)0.42%
ROE(3y)8.93%
ROE(5y)7.74%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-9.46%
PM growth 5Y12.85%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.55 | ||
| Debt/FCF | 228.6 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 159.37% | ||
| Cap/Sales | 14.29% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 13.31% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score6
WACC3.62%
ROIC/WACCN/A
Cap/Depr(3y)170.93%
Cap/Depr(5y)146.65%
Cap/Sales(3y)14.79%
Cap/Sales(5y)12.44%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)23.07%
EPS 3Y1.39%
EPS 5Y-0.52%
EPS Q2Q%-8.25%
EPS Next Y-12.09%
EPS Next 2Y7.45%
EPS Next 3Y10.92%
EPS Next 5Y-0.77%
Revenue 1Y (TTM)-2.11%
Revenue growth 3Y-0.44%
Revenue growth 5Y-2.71%
Sales Q2Q%6.83%
Revenue Next Year7.33%
Revenue Next 2Y8.34%
Revenue Next 3Y7.7%
Revenue Next 5Y4.23%
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-97.28%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-75.84%
OCF growth 3YN/A
OCF growth 5YN/A
LLOYDS BANKING GROUP PLC-ADR / LYG FAQ
What is the fundamental rating for LYG stock?
ChartMill assigns a fundamental rating of 3 / 10 to LYG.
What is the valuation status of LLOYDS BANKING GROUP PLC-ADR (LYG) stock?
ChartMill assigns a valuation rating of 4 / 10 to LLOYDS BANKING GROUP PLC-ADR (LYG). This can be considered as Fairly Valued.
How profitable is LLOYDS BANKING GROUP PLC-ADR (LYG) stock?
LLOYDS BANKING GROUP PLC-ADR (LYG) has a profitability rating of 3 / 10.
What is the valuation of LLOYDS BANKING GROUP PLC-ADR based on its PE and PB ratios?
The Price/Earnings (PE) ratio for LLOYDS BANKING GROUP PLC-ADR (LYG) is 9.05 and the Price/Book (PB) ratio is 1.11.
Can you provide the dividend sustainability for LYG stock?
The dividend rating of LLOYDS BANKING GROUP PLC-ADR (LYG) is 6 / 10 and the dividend payout ratio is 49.2%.