Barclays Share Discussion Threads

[johnwise] 06/6/2019 08:25

The Michael Gove policy, he's destroyed the car industry with his attack on diesel cars he must be very proud of wrecking the economy and putting people out of work , this could be the next PM it will be end of the Tory party.


Ford 'to announce closure of Bridgend engine plant TODAY' putting thousands of jobs at risk
Around 1,500 people employed at South Wales site could face unemployment

[portside1] 06/6/2019 08:20

Now back to work is barcs going to up the div

[johnwise] 06/6/2019 08:11

Moody's upgrades credit enhanced Custodial Receipts (Barclays)

[portside1] 06/6/2019 08:07

Why is it that it is always scum that march and course trouble Violent attacks on the public who do not share their vile views The police should of arrested most of the scum And charged those who left all the rubbish with fly tipping

[portside1] 06/6/2019 08:05

It has been a great visit from the president of the USA The people of the U.K. no he is good for the U.K. and on our side unlike our , Labour Party they are a national disgrace

[johnwise] 06/6/2019 07:48

You would think that Trump's visit had illustrated one thing to these people. We want CAN DO, not CAN'T DO. And now Michael Gove, will be handing our country over to the EU, by dragging Brexit out. Not a single word about supporting business, reducing taxes, getting rid of all the red tape to prosper. Gove is like May when it comes to growing and supporting business - useless and more left than Blair. No thanks

[jordaggy] 06/6/2019 03:13

Trump is showing Americans how well he is regarded by the British establishment. He's grandstanding...good psychology and scoring many points back home in the good ol' USA.

[pvee] 05/6/2019 21:28

Ken B

There isn't a party which represents Portside's reprehensible views I'm glad to say.

His comments about various individuals are verging on having a lawsuit brought against him and I think he should calm down a bit with his bile.

Of course it doesn't surprise anyone he's behind the usual shady suspects to 'lead' the UK back to prosperity. I regret to say they'll disappoint everyone in a very short time

No need to go into detail about DT here - it's all been said apart from the fact that 'solidarity with the UK' has never been part of his battle cry until now. He's running out of friends and the numpkins who are in his image (some share a similar haircut!)just about says it all about the schoolboy level of global politics à la Trump

[portside1] 05/6/2019 20:31

Only if you do not understand

[hellscream] 05/6/2019 17:06

price targets are just pie in the sky, mean nothing.

[bernie37] 05/6/2019 16:42

Barclays – Buy, price target 235p

Look for adjusted pre-tax profit of £724 million, tangible net asset value of 254p and a common equity tier 1 (CET1) ratio of 13%.

[bernie37] 05/6/2019 14:40

Lloyds is one of the most followed stocks in the FTSE and recent price action and announcements have put the company back in the spotlight. They are followed right across the board, whether you’re an income or a growth investor, long term investor or short-term trader. Those that still feel it is a 100p plus share and those eternally optimistic holders that hope it will be back to the former glory of over 400p. With the recent price action dragging them back into the 50’s we take a fresh look at recent news, developments, and the macro outlook and weigh up whether the move is justified and if it really is an opportunity or a warning sign.
Back to boring
Lloyds have received a lot of praise over the last year, mainly due to a return to boring comfortable banking.
Lloyds is back to doing what it does best – current accounts, mortgages, personal and business loans, life insurance...sound dull? Thank goodness.
Fund managers in the City used to mockingly call Lloyds “the world’s most boring bank”, who knew that would become a compliment.
It’s taken many years for Lloyds to recover from the financial crisis, not only financially, but also on a reputational level.
As we know, Lloyds made a near fatal error when it bought HBOS in the thick of the fog back in 2008.
In the four years that followed, the HBOS side of the business would incur a mammoth £45bn of loan impairments in addition to £10bn from the Lloyds side.
It was enough to bring any financial institution to its knees and Lloyds was forced into a £20bn government bailout.
Overall figures
Recent figures showed Lloyds highlighting one or two announcements that have left investors weighing up the longer term and evaluating whether the recent price action is a buy signal or not. Most notably the new dividend policy, the Chief execs Large remuneration deal, declines in mortgage lending and the final run before the PPI window finally closes to mention but a few.
The banking group announced that surprise one-off costs led it to miss quarterly earnings forecasts despite robust underlying profits. The bank reported first-quarter after-tax profits of £1.2bn, up from £1.17bn in the same period last year, but below analysts’ average forecast of £1.39bn. A drop in home loans and a £339m one-off charge that included costs linked to a legal dispute with asset manager Standard Life Aberdeen have also weighed.
Lloyds also reported a further £100m charge to cover administrative costs linked to a fresh surge in requests for information on possible payment protection insurance claims ahead of an August deadline for pay-outs.
Mortgage lending was also down £4.9bn on the previous year in the face of tough competition.
Pressure in key market
They are facing headwinds in their key mortgage market and in a recent report from BofA Merrill Lynch there is an expectation that Lloyds will see £2bn revenue headwind from competition in the mortgage market. Their key competitor in this arena, Nationwide has a 14.5% share of the market and is stronger than Lloyds’s at 13.1%.
Lloyds are currently trying to manage the trade-off between growing its mortgage volumes and sustaining its net interest margin in the face of increased competition and a lack of UK interest rate rises.
The analysts pointed out: “Lloyds is likely to continue trying to mitigate the margin pressure, but its weak first quarter 2019 lending highlights mortgage borrowers’ price sensitivity.
New dividend policy
Lloyds also recently announced they are to start paying quarterly dividends! With everything else the bank has said recently they are keen to remain in a good light with investors. It will begin paying quarterly dividends to investors from 2020.
Dividends will be paid quarterly with three interim dividends for the first three quarters of the year, payments will equate to 20% of the previous year’s total ordinary dividend per share and will be paid out in June, September and December. A larger fourth-quarter payment will be distributed in May following approval at the company AGM, as per current practice.
The key question is why?
Lloyds support this move in a recent statement, saying “it will provide a more regular flow of dividend income to all shareholders whilst accelerating the receipt of payments.” But this all seems like a bit smoke and mirrors to me. Does it really make a difference if dividends are received quarterly or bi-annually? I think one of the key drivers is to keep investors happy and divert the focus away from the Chief exec pay.
Despite everything that has gone on, Lloyds are convinced the recent move on dividend distribution will help attract the income buyers. The shares have always been popular with income buyers and in reflection of all the work the business has done key shareholders have continued to back the generous dividend policy, for 2019 and 2020 the yield does remain respectable, but hardly dazzling.
Whilst the dividend policy is appealing it does not of course reduce the levels of risk associated with the business on a whole. The bank still has a lot of exposure to the uncertainty created by Brexit in the near term and beyond. The lack of clarity, the threat of a prolonged EU process, a potentially disorderly ‘hard Brexit’ are all weighing particularly heavily on UK-focused shares. Indeed, as most recent financials showed, the issue is already affecting the bank through a combination of stunted revenues growth and an increase in bad loans.
Whilst the dividend yield is appealing it is by no means outstanding and in the FTSE, similar yields can be found from companies with far less near-term risk.
Chief Executive Remuneration
In the recent figures also came the news that Chief Executive António Horta-Osório’s remuneration for 2018 was reported at £6.27m with an unusually large pension contributions of 46%, (compared
Is Lloyds heading for a 100p 02
to the maximum contribution of 13% available to other Lloyds employees) there is a lot of debate as to whether this is justifiable and fair.
MP and chair of the Commons Work and Pensions Committee Frank Field has weighed in on the topic highlighting the “boundless greed” on display.
With fellow MP, and chair of the Business, Energy and Industrial Strategy Committee Rachel Reeves going one step further by suggesting that “investors at Lloyds and other companies should... vote against remuneration reports which include CEO pay packages vastly outstripping those of the wider workforce.”
New corporate governance guidelines say executive pension contributions should be in line with the majority of employees. Rachel Reeves went on to say Lloyds’ policy was “the latest example of a damaging narrative for UK business, there being one rule for the bosses, another for the workers”.
Despite all this noise Lloyds’ largest shareholders were unmoved by the criticism with 90 per cent of voters supporting the bank’s pay report. Only 7.9% of votes were cast against the policy, with a further 2.1% abstaining.
The protest was significantly smaller than last year, when more than a fifth of shareholders refused to back the bank.
David Herro, chief investment officer at Harris Associates, Lloyds’ second-largest shareholder, said “we are deeply supportive of the successful efforts that António and his team have made to deliver a better, more efficient, effective and valuable Lloyds.”
Although the majority of investors backed Lloyds, some small shareholders did criticise it at the AGM, arguing that the gap between highly paid executives and average workers was bad for society.
Lloyds bank pay-outs, more due, but thankfully smaller.
Whilst it looks like the PPI window is all but done, recently they have announced that more than 200,000 customers will receive pay-outs from Lloyds Banking Group after it failed to inform them about changes to interest rates on their savings accounts seven years ago.
As a result, these customers were never given the chance to switch to a better deal, and so missed out on interest earnings. The banking group has reportedly paid out £6m so far to customers of Lloyds Bank, Halifax and Bank of Scotland who were affected, which dates back to 2012.
In a smaller number of cases, Lloyds also did not inform customers when their terms and condition changed meaning savers did not have an opportunity to move their funds to an account paying better interest.
SummaryIt is always worth noting that the current NAV per share of 53.4p meaning the shares trade at a very modest premium to NAV. Despite the share’s recent pullback, the performance year to date has still been strong and with forecasts still indicating forward P/E multiples of around eight, coupled with dividend yields of 5.5% they’d be more than twice covered by predicted earnings per share.
Lloyds remain the stalwart of the UK banking sector and despite the uncertainty in the near term still offers a strong yield and good long-term upside. Short term traders need to be wary of any near-term news driven fluctuations but for the longer term it still looks a good buy.

The share price will always gather attentions especially after a pullback. At the moment the biggest and most obvious weight on the share price is the prospect of a No-deal Brexit. The market never likes uncertainty and in the current political climate uncertainty is rife, especially for domestic UK stocks. Once clarity has been gained and the reality of a No-deal firmly put to bed, this will be the trigger for Lloyds share price to start running. That is a big when and a big if and until such a time I see the share price remaining rangebound at current levels.

[bernie37] 05/6/2019 14:36

hxxps://www.atlanticmarkets.co.uk/download/199/Report?

[bradbury3559] 05/6/2019 11:29

Come join the party #BBSN

[diku] 05/6/2019 09:26

Look at that top right header chart...downtrend still intact...yesterday's rise could be just a technical bounce...back to £/$ sector rotation...

[diku] 05/6/2019 08:58

Cutting rates is bad for banks...

[buywell3] 05/6/2019 08:10

Yesterday US DJIA went up over 500 points

Because the FED indicated it might cut rates.

In May U.S. manufacturers expanded at the slowest pace in 2 1/2 years

And in addition U.S. factory orders fell 0.8% in April.

[claret dragon] 05/6/2019 06:31

Holding at 170p

Contemplating getting some more this month.

[m1k3y1] 04/6/2019 21:42

bernie...the last time they did this, it was on behalf of a private investor , not BARC bank itself.

[bernie37] 04/6/2019 21:04

Barclays Lifts Holding In Atlas Mara To Nearly 6% From Below Threshold (ALLISS)
from Alliance News | 3rd June 2019 18:24
Atlas Mara Ltd on Monday said Barclays PLC upped its holding in the banking company following a transaction on May 23.

The FTSE 100-listed bank increased its stake to 5.7% from below the notifiable level.

Atlas Mara was founded by former Barclays Chief Executive Officer Bob Diamond. Diamond recently stepped back from his chair role at Atlas Mara to take up a non-executive director position the African banking investor.

Atlas Mara shares closed down 1.65 in London on Monday at USD1.55 each, while Barclays shares ended the day up 0.1% at 149.48 pence each.