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LSE London Stock Exchange Group Plc

8,620.00
0.00 (0.00%)
02 May 2024 - Closed
Delayed by 15 minutes
London Stock Exchange Investors - LSE

London Stock Exchange Investors - LSE

Share Name Share Symbol Market Stock Type
London Stock Exchange Group Plc LSE London Ordinary Share
  Price Change Price Change % Share Price Last Trade
0.00 0.00% 8,620.00 01:00:00
Open Price Low Price High Price Close Price Previous Close
8,620.00 8,620.00
more quote information »

Top Investor Posts

Top Posts
Posted at 27/12/2023 23:19 by markydeedrop
#DAGB has had a storming few weeks and it's been one of my star performers for 2023. A great way to play the crypto space for UK investors.
Posted at 05/4/2016 13:17 by dins1249
Market cap is £9bn. Financing in place for £10bn. LSE is a prized asset and NYSE will not let is get away. Almost 10% upside possible implying counter bid at nearly £31. I think investors have not woken upto this.
Posted at 16/7/2010 10:43 by etome
Questor share tip: Watch LSE to see if it can deliver on services


Questor says HOLD

There's nothing quite like the thought of a shareholder rebellion at an annual general meeting to bring out chairmen and chief executives in cold sweats.

Pity then, for impartial observers at yesterday's London Stock Exchange AGM that the 30-odd investors gathered at Plaisterers' Hall in the City had not read the script, sitting instead in silence at one of the most cordial events likely to be seen this year.

The fact the directors received such an easy ride would normally suggest that the LSE is a business in boom. However, Questor believes the next few months will be pivotal for the exchange and will determine whether it remains an attractive investment as the world emerges from the financial crisis into the age of austerity.

Since taking over from Dame Clara Furse last year, Xavier Rolet, LSE's new chief executive, has tried to cut costs across the market and diversify its business model in the face of competition from new trading platforms such as Chi-X.

The scale of the problem facing him became clearer in May when LSE revealed full-year pre-tax profits had fallen by 20pc as the bourse continued to suffer from both the impact of the economic downturn and the loss in market share in its equity trading business.

Speaking at the time, Mr Rolet said he was confident the exchange would see an improvement in its performance. His comments were put to the test yesterday as LSE posted a 1pc rise in first-quarter sales, with a less than stellar performance in its capital markets business. Even the acquisition of Sri Lankan technology company Millennium IT last October failed to provide much of a lift.

Questor gave LSE a Hold recommendation on March 26 last year on the basis that the financial markets would recover from the impact of the financial crisis. Since then the market has risen 34pc, while LSE shares have lagged this somewhat, rising only 14pc.

Conditions at LSE remain challenging with June figures indicating that its trading volume fell by 11pc year-on-year, although the value of these trades actually rose by 7pc.

LSE shares currently yield 4pc, a figure that is expected to improve over the coming years. The current price-earnings ratio stands at 10.1, although this expected to improve to 8.3 by 2012.

On this basis, Questor can justify maintaining its hold recommendation on the LSE in the short term, although investors are advised to watch its performance closely over the coming months.

The number of UK listings is not anticipated to pick up any time soon and equity trading is likely to remain under pressure. The exchange also faces fresh competition from NYSE Euronext, which has decided to set up a UK-based platform.

However, the LSE will benefit if it can deliver on its promise to become more of a services-based business. Its plans to build up its derivatives operations could also help offset the loss of revenues in its core operations, which are unlikely to recover any time soon.

Like most shareholders, Questor will be keeping a very close eye on how the bourse performs.

Hold.

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