Lloyds (LON: LLOY) Profit growth: Bank upgrade forecast

The Lloyds Banking Group (LSE: LLOY) The share price rose about 3% in the first trading this morning. The profit came after the bank announced a তৃতীয় 1,600m profit in the third quarter, more than double the same period last year.

As the housing market continues to boom, Lloyds added £ 2.7 billion in new mortgage loans to the quarter. Customer deposits were also higher, rising 4.7 billion to £ 479.1bn.

The increase in lending has helped Lloyds ’net interest income and its improvement The amount of total interest. It presents the difference between the interest received on a loan and the interest paid on a deposit. This is a key measure of profitability for a bank.

Losses from bad loans tend to be smaller than expected, providing more lift for profit. Last year, Lloyds set aside 4,247m for potential bad debts. So far this year, the bank has released পরিমাণ 740m of this amount, including £ 84m in the third quarter.

2021 Guide has been upgraded

CEO Charlie Nan has now upgraded the bank’s financial guidelines for 2021, suggesting that profits for the full year will be slightly higher than previously expected.

There was no talk today about this year’s dividend or any share buyback plan. But the bank’s strong performance so far this year means it now has significantly more capital than it needs.

Today’s third-quarter results show that Lloyds ’general equity tier 1 ratio at the end of September was 17.2%, about 5% ahead of its current target of 12.5%. In general, a bank’s ability to pay dividends is based on the amount of its available surplus capital.

Prior to today’s results, Lloyds shares offered a forecast dividend gain of 4.5%.

The post Lloyds (LON: LLOY) Profit growth: Bank upgrade forecast first appeared on The Motley Flower UK.

5 stocks to try to create wealth after 50

The coronavirus epidemic has devastated markets around the world.

And as many large companies trade towards ‘discount-bin’ prices, now may be the time for savvy investors to make some potential bargains.

But whether you are a novice investor or an experienced professional, deciding which stock to add to your shopping list can be a daunting possibility at an unprecedented time.

Fortunately, The Motley Full is here to help: Our UK Chief Investment Officer and his team of analysts have shortlisted five companies that they believe have significant potential for long-term growth despite the global lock-down.

You see, here at The Motley Flower we don’t believe that “over-trading” is the right path to financial freedom in retirement; Instead, we support the purchase and holding of 15 or more quality companies (for at least three to five years), led by a shareholder-centric management team.

That’s why we’re sharing the names of these five companies in a special investment report that you can download for free today. If you’re 50 or older, we believe these stocks may be suitable for any well-diversified portfolio, and you might consider creating a position in the top five right now.

Click here to claim your free copy of this special investment report now!

Read more

  • UK bank stocks looking cheap
  • Can Lloyds shares rise this week?
  • Lloyds’ share price is close to 50p. Now is the time to buy?
  • Will Lloyds Bank’s share price recover?
  • Here’s why the Lloyds share price could touch 100p

Roland Head has no position in any of the shares mentioned. The Motley Fool UK has recommended Lloyds Banking Group. Opinions about the companies mentioned in this article may differ from those of the author and therefore our official recommendations for subscription services such as Share Advisor, Hidden Winner and Pro. Here at The Motley Fool we believe that considering the insights of different ranges makes us better investors.

Source link

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button