Lloyds Banking Group plc LLOY Dividends

The firm booked another £187m worth of bad loans during the third quarter alone. At 43.1p per share, the yield on the Black Horse Bank for 2023 sits at an enormous 6.5%. The dividend outlook remains highly uncertain beyond 2024, too. I think Lloyds might struggle to generate decent earnings as the British economy grapples with an extended Covid-19 hangover and Brexit-related problems. Trades priced above the mid-price at the time the trade is placed are labelled as a buy; those priced below the mid-price are sells; and those priced close to the mid-price or declared late are labelled ‘N/A’. The dividend history of Lloyds Banking Group, limited to just one year, does not provide enough information to assess whether its dividends are increasing.

Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

1. So profits at Lloyds might remain more stable than those of other banking stocks.
2. I was inspired to follow this path by billionaire Warren Buffett’s investment in Coca-Cola.
3. Lloyds Banking Group has a dividend yield of 5.42% and paid $0.15 per share in the past year.
4. This suggests to me that even if the bank’s profits dip over the next 18 months, the dividend should be fairly safe.
5. And with some economists predicting a prolonged downturn until well into 2024, things could get bumpy.
6. In the right-hand column, I’ve calculated the dividend yield each payout would provide at a share price of 42p.

In the right-hand column, I’ve calculated axi forex broker the dividend yield each payout would provide at a share price of 42p. Royston Wild has no position in any of the shares mentioned. The Motley Fool UK has recommended Lloyds Banking Group Plc.

Lloyds Banking Group FAQ

Add Lloyds Banking Group plc 1 minute simple and profitable forex scalping strategy pdf to receive free notifications when they declare their dividends. Sign up for Lloyds Banking Group plc and we’ll email you the dividend information when they declare.

It set aside £688m in the three months to September alone, taking the total to well above £1bn. However, I’m not convinced that the bank will continue growing strongly beyond next year. Its profits are still closely tied to the performance of the UK economy. And with some economists predicting a prolonged downturn until well into 2024, things could get bumpy.

No content should be relied upon as constituting personal advice or a personal recommendation, when making your decisions. If you require any personal advice or recommendations, please speak to an independent qualified financial adviser. The information contained within this website is provided by Allfunds Digital, S.L.U. acting through its business division Digital Look Ltd unless otherwise stated.

Lloyds Banking Group plc LLOY

But on balance I’d still rather buy other UK shares for dividend income today. That said, Lloyds faces increasingly choppy waters that might threaten dividend projections next year and beyond, and keep its share price locked in its recent downtrend. Lloyds’ share price is largely unchanged on a 12-month basis. But growing fears over the state of the UK economy have caused the bank to sink by almost a fifth since the beginning of February.

Could December be a great month to buy UK shares?

First it’s worth considering how realistic current dividend forecasts are. Shareholder payouts have risen strongly from the depths of the Covid-19 pandemic, and City analysts expect them to appreciate again to 2.8p per share in 2023 from 2.4p last year. It seems as if current dividend estimates look quite realistic, too. This provides a wide margin of error in case earnings disappoint.

Then there’s the bank’s strong balance sheet to consider, which provides dividend forecasts (in the near term at least) with added strength. Lloyds’ CET1 capital ratio stood at a robust 14.6% as of September, still well ahead of the 12.5% target and 1% management buffer. © 2024 Market data provided is at least 10-minutes delayed and hosted by Barchart Solutions. Information is provided ‘as-is’ and solely for informational purposes, not for trading purposes or advice, and Cryptocurrency Exchanges is delayed.