Legal & General Share Discussion Threads

[tag57] 19/2/2024 16:47

CWA1, I would suggest the downticks just be ignored as their is no rhyme nor reason to it.

[lippy4] 19/2/2024 16:38

he must have a screw loose as what is the point of it??

[marktime1231] 15/2/2024 22:38

Do you mean grauenbuschigerschwanzrat?

[spud] 15/2/2024 17:29

According to Clarkson it was asking the German spy to say Squirrel. spud

[marktime1231] 15/2/2024 17:25

Don't tell him, Pike!

[eurofox] 15/2/2024 17:22

wuster and toaster

[marktime1231] 15/2/2024 17:15

This is paraphrasing what I wrote a week ago. Plagiarism! Right, which one of you is the German spy. Go on, pronounce Worcestershire Sauce and Towcester Racecourse ...

[pj84] 15/2/2024 11:36

"Berenberg sees a smoother road ahead for L&G
Legal & General (LGEN) will enjoy a smoother ride from here given the growth prospects for UK pensions, says Berenberg.

Analyst Thomas Bateman reiterated his ‘buy’ recommendation and target price of 289p on the Citywire Elite Companies A-rated insurer, which gained 2%, or 4.6p, to 235p on Wednesday ahead of its full-year 2023 results, but still has some way to go to recover the 7% loss over the past year.

‘The road ahead for L&G is much smoother than what can be seen in its rear-view mirror,’ said Bateman.

‘We remain convinced that in a scenario where interest rates fall slowly in the UK, then the 8.8% 2024 dividend yield L&G currently offers is an extremely attractive investment proposition, especially given the strong growth prospects in UK pensions.’

Although there are some ‘frustrating accounting movements’ that will feature in the full-year results, he said they do not affect the cash generation of the business.

‘More importantly, longevity releases will drive solvency capital generation, assets under management in L&G’s asset management business is rising, corporate bond spreads are falling in the UK, and the demand for annuities remains exceptionally strong,’ he said."

[geckotheglorious] 15/2/2024 10:05

Legal & General (LGEN) will enjoy a smoother ride from here given the growth prospects for UK pensions, says Berenberg.

Analyst Thomas Bateman reiterated his ‘buy’ recommendation and target price of 289p on the Citywire Elite Companies A-rated insurer, which gained 2%, or 4.6p, to 235p on Wednesday ahead of its full-year 2023 results, but still has some way to go to recover the 7% loss over the past year.

‘The road ahead for L&G is much smoother than what can be seen in its rear-view mirror,’ said Bateman.

‘We remain convinced that in a scenario where interest rates fall slowly in the UK, then the 8.8% 2024 dividend yield L&G currently offers is an extremely attractive investment proposition, especially given the strong growth prospects in UK pensions.’

Although there are some ‘frustrating accounting movements’ that will feature in the full-year results, he said they do not affect the cash generation of the business.

‘More importantly, longevity releases will drive solvency capital generation, assets under management in L&G’s asset management business is rising, corporate bond spreads are falling in the UK, and the demand for annuities remains exceptionally strong,’ he said.

[fatherjack3] 15/2/2024 09:07

There is a fundamental reason why this excellent company is overlooked and unloved....Brexit. The only Brexit dividend I can see is the excellent dividend yields that income investors can lock in.

[tornado12] 15/2/2024 08:44

Breathtaking how the Eu stocks are so more advanced in value to the FTSE. I really don’t see a fundamental reason as Europe is suffering just as us and Germany even more so . The divi yields are not a reflection on the company investment risk, but a missing interest in owning Uk stocks .. hence the flight to NASDAQ

[tornado12] 15/2/2024 07:30

Looks like another good start to the ftse futures today after the positive news yesterday. Will this recover back to 245-250p mark before results ? I like to add in my new ISA but was hoping sub230p for that. The share price trend seems totally dependent on the monthly inflation and interest rate direction and timing of the reduction GLA

[skinny] 14/2/2024 12:26

Zac - that's a stupendous and consistent return - I hold plenty of funds, but can't come even close to that.

The thing with my LGEN investment is that timing obviously played a big part.

For comparison, I bought AV. in May 2010 @294p and sold half (due to the appreciation) a year later in May 2011 @445p.

I continue to hold the remainder and added a few last August for rounding purposes @377.

So whilst they've provided a steady dividend, had I held the lot for 14 years, the capital appreciation has been poor by comparison to LGEN.

[zac0_4] 14/2/2024 11:51

Skinny - well done. And well done continuing to hold over the years.

I'd like to apply some context to the figures regarding you getting back the value of your original investment every 4.5 years. This isn't intended to undermine your achievement, simply provide food for thought.

Before I go any further, I hold LGEN and intend to continue to hold within my ISA for many years.

However, my largest holding by far is in Fundsmith Equity Fund. The fund was launched in November 2010, so not a million miles from your 99p purchase date. As an example had you invested £10,000 on day 1 and, as you have done, simply held until now your investment would be worth £66,200. For every 15% increase in the fund price today your holding would be growing by the value of your initial investment.

Here's the key bit . . . it's average annual return, since inception, has been 15.4%. So, if that continues, and there's no guarantee, each year you continue to hold you're getting the value of your initial investment back in capital appreciation over that 12 month period. Good Luck.

[tornado12] 14/2/2024 11:22

I brought my first investment in JULY 2018 and invested every year since then.....Wished I brought them many years before, of course.........My compounded returns have arrived to 5 figures now and this accelerated my DIVI vs CAPEX break even date. You need to be patient with such approach and need a robust divi payer plus a little luck. My lowest purchase was 146p...

[keyno] 14/2/2024 11:12

Well done!

[skinny] 14/2/2024 10:58

99p in 2011.

[zac0_4] 14/2/2024 10:57

" . . . I recover my original capital outlay here in @4.5 years . . . "

Just out of dividends? What price did you buy at and when?

[skinny] 14/2/2024 10:40

Because I bought in at a fortuitous price and the increase in dividend size, I recover my original capital outlay here in @4.5 years.

[chiefbrody] 14/2/2024 09:45

If you bought in at 13% yield(or whatever it was) then it might not be too long.

[zac0_4] 14/2/2024 09:08

". . . at some point in next 5 years I will have recovered my capital invested . . ."

You must have bought some time ago as it takes a little longer than 5 years to recover your capital.

[tornado12] 14/2/2024 07:54

I agree Jonny, the game change is when inflation genie is back in the bottle and interest rates start to fall. I dont expect a negative impact on dividend policy even under these current conditions GLA

[jonnybig] 14/2/2024 07:47

Inflation will come crashing down in April when the energy price cap falls approximately 15% and commodities have high comparatives.

Then the likes of lgen and phnx should really start motoring. Those who have the balls to ignore the fear and doom will be laughing.