| Legal & General Group PLC (GB0005603997) | |||
2,51 GBXStand (close): 03.07.25 |
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| Datum / Uhrzeit | Titel | Bewertung |
| 25.06.25 05:36:38 | Investors in Legal & General Group (LON:LGEN) have seen favorable returns of 71% over the past five years |  |
| When you buy and hold a stock for the long term, you definitely want it to provide a positive return. Furthermore, you'd generally like to see the share price rise faster than the market. Unfortunately for shareholders, while the Legal & General Group Plc (LON:LGEN) share price is up 16% in the last five years, that's less than the market return. However, if you include the dividends then the return is market beating. Looking at the last year alone, the stock is up 11%. Let's take a look at the underlying fundamentals over the longer term, and see if they've been consistent with shareholders returns. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. In his essay The Superinvestors of Graham-and-Doddsville Warren Buffett described how share prices do not always rationally reflect the value of a business. By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. During five years of share price growth, Legal & General Group actually saw its EPS drop 37% per year. Since the EPS are down strongly, it seems highly unlikely market participants are looking at EPS to value the company. Given that EPS is down, but the share price is up, it seems clear the market is focussed on other aspects of the business, at the moment. We note that the dividend is higher than it was previously - always nice to see. It could be that the company is reaching maturity and dividend investors are buying for the yield. You can see how earnings and revenue have changed over time in the image below (click on the chart to see the exact values).LSE:LGEN Earnings and Revenue Growth June 25th 2025 We like that insiders have been buying shares in the last twelve months. Even so, future earnings will be far more important to whether current shareholders make money. So we recommend checking out this freereport showing consensus forecasts What About Dividends? When looking at investment returns, it is important to consider the difference between total shareholder return (TSR) and share price return. The TSR incorporates the value of any spin-offs or discounted capital raisings, along with any dividends, based on the assumption that the dividends are reinvested. It's fair to say that the TSR gives a more complete picture for stocks that pay a dividend. As it happens, Legal & General Group's TSR for the last 5 years was 71%, which exceeds the share price return mentioned earlier. This is largely a result of its dividend payments! Story Continues A Different Perspective It's good to see that Legal & General Group has rewarded shareholders with a total shareholder return of 22% in the last twelve months. And that does include the dividend. That's better than the annualised return of 11% over half a decade, implying that the company is doing better recently. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. I find it very interesting to look at share price over the long term as a proxy for business performance. But to truly gain insight, we need to consider other information, too. Take risks, for example - Legal & General Group has 2 warning signs (and 1 which is concerning) we think you should know about. There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this freelist of undervalued small cap companies that insiders are buying. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on British exchanges. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View Comments |
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| 04.04.25 11:29:13 | Legal & General Group (LON:LGEN) Will Pay A Larger Dividend Than Last Year At £0.1536 |  |
| The board of Legal & General Group Plc (LON:LGEN) has announced that it will be increasing its dividend by 5.0% on the 5th of June to £0.1536, up from last year's comparable payment of £0.146. This will take the dividend yield to an attractive 9.0%, providing a nice boost to shareholder returns. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. Legal & General Group's Future Dividend Projections Appear Well Covered By Earnings While it is great to have a strong dividend yield, we should also consider whether the payment is sustainable. Based on the last payment, earnings were actually smaller than the dividend, and the company was actually spending more cash than it was making. Paying out such a large dividend compared to earnings while also not generating any free cash flow would definitely be difficult to keep up. Over the next year, EPS is forecast to expand rapidly. If the dividend continues along recent trends, we estimate the payout ratio could reach 80%, which is on the higher side, but certainly feasible.LSE:LGEN Historic Dividend April 4th 2025 View our latest analysis for Legal & General Group Legal & General Group Has A Solid Track Record The company has an extended history of paying stable dividends. The annual payment during the last 10 years was £0.093 in 2015, and the most recent fiscal year payment was £0.214. This works out to be a compound annual growth rate (CAGR) of approximately 8.7% a year over that time. The growth of the dividend has been pretty reliable, so we think this can offer investors some nice additional income in their portfolio. The Dividend Has Limited Growth Potential Investors could be attracted to the stock based on the quality of its payment history. However, things aren't all that rosy. Legal & General Group's earnings per share has shrunk at 37% a year over the past five years. Such rapid declines definitely have the potential to constrain dividend payments if the trend continues into the future. On the bright side, earnings are predicted to gain some ground over the next year, but until this turns into a pattern we wouldn't be feeling too comfortable. Legal & General Group's Dividend Doesn't Look Sustainable Overall, this is probably not a great income stock, even though the dividend is being raised at the moment. In the past the payments have been stable, but we think the company is paying out too much for this to continue for the long term. We would be a touch cautious of relying on this stock primarily for the dividend income. Story Continues It's important to note that companies having a consistent dividend policy will generate greater investor confidence than those having an erratic one. Meanwhile, despite the importance of dividend payments, they are not the only factors our readers should know when assessing a company. To that end, Legal & General Group has 2 warning signs (and 1 which is a bit unpleasant) we think you should know about. Looking for more high-yielding dividend ideas? Try our collection of strong dividend payers. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View Comments |
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| 13.03.25 07:22:36 | Legal & General Group Plc (LON:LGEN) is favoured by institutional owners who hold 83% of the company | |
| Key Insights Significantly high institutional ownership implies Legal & General Group's stock price is sensitive to their trading actions 51% of the business is held by the top 22 shareholders Insiders have bought recently If you want to know who really controls Legal & General Group Plc (LON:LGEN), then you'll have to look at the makeup of its share registry. And the group that holds the biggest piece of the pie are institutions with 83% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company. Since institutional have access to huge amounts of capital, their market moves tend to receive a lot of scrutiny by retail or individual investors. Hence, having a considerable amount of institutional money invested in a company is often regarded as a desirable trait. Let's take a closer look to see what the different types of shareholders can tell us about Legal & General Group. View our latest analysis for Legal & General Group LSE:LGEN Ownership Breakdown March 13th 2025 What Does The Institutional Ownership Tell Us About Legal & General Group? Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing. Legal & General Group already has institutions on the share registry. Indeed, they own a respectable stake in the company. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. If multiple institutions change their view on a stock at the same time, you could see the share price drop fast. It's therefore worth looking at Legal & General Group's earnings history below. Of course, the future is what really matters.LSE:LGEN Earnings and Revenue Growth March 13th 2025 Investors should note that institutions actually own more than half the company, so they can collectively wield significant power. Legal & General Group is not owned by hedge funds. BlackRock, Inc. is currently the company's largest shareholder with 8.9% of shares outstanding. Meanwhile, the second and third largest shareholders, hold 5.1% and 4.9%, of the shares outstanding, respectively. After doing some more digging, we found that the top 22 have the combined ownership of 51% in the company, suggesting that no single shareholder has significant control over the company. While it makes sense to study institutional ownership data for a company, it also makes sense to study analyst sentiments to know which way the wind is blowing. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too. Story Continues Insider Ownership Of Legal & General Group The definition of an insider can differ slightly between different countries, but members of the board of directors always count. The company management answer to the board and the latter should represent the interests of shareholders. Notably, sometimes top-level managers are on the board themselves. Insider ownership is positive when it signals leadership are thinking like the true owners of the company. However, high insider ownership can also give immense power to a small group within the company. This can be negative in some circumstances. Our information suggests that Legal & General Group Plc insiders own under 1% of the company. It is a very large company, so it would be surprising to see insiders own a large proportion of the company. Though their holding amounts to less than 1%, we can see that board members collectively own UK£17m worth of shares (at current prices). Arguably recent buying and selling is just as important to consider. You can click here to see if insiders have been buying or selling. General Public Ownership The general public, who are usually individual investors, hold a 14% stake in Legal & General Group. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run. Next Steps: It's always worth thinking about the different groups who own shares in a company. But to understand Legal & General Group better, we need to consider many other factors. Case in point: We've spotted 2 warning signs for Legal & General Group you should be aware of, and 1 of them can't be ignored. But ultimately it is the future, not the past, that will determine how well the owners of this business will do. Therefore we think it advisable to take a look at this free report showing whether analysts are predicting a brighter future. NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View Comments |
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| 04.03.25 06:08:05 | 3 UK Stocks Estimated To Be Trading Below Intrinsic Value By Up To 40.5% | |
| The United Kingdom's FTSE 100 index has recently experienced a downturn, influenced by weak trade data from China, highlighting the interconnectedness of global markets and the challenges faced by economies attempting to recover post-pandemic. Amid these conditions, investors may find opportunities in stocks that are trading below their intrinsic value, offering potential for growth if market sentiments shift favorably. Top 10 Undervalued Stocks Based On Cash Flows In The United Kingdom Name Current Price Fair Value (Est) Discount (Est) On the Beach Group (LSE:OTB) £2.275 £4.47 49.1% Dr. Martens (LSE:DOCS) £0.656 £1.22 46.4% Gaming Realms (AIM:GMR) £0.365 £0.67 45.7% Legal & General Group (LSE:LGEN) £2.46 £4.87 49.5% Victrex (LSE:VCT) £9.24 £18.16 49.1% Deliveroo (LSE:ROO) £1.35 £2.46 45.2% Likewise Group (AIM:LIKE) £0.195 £0.37 47.5% Calnex Solutions (AIM:CLX) £0.555 £1.01 45.2% Optima Health (AIM:OPT) £1.82 £3.34 45.4% Melrose Industries (LSE:MRO) £6.55 £12.22 46.4% Click here to see the full list of 56 stocks from our Undervalued UK Stocks Based On Cash Flows screener. Below we spotlight a couple of our favorites from our exclusive screener. Fintel Overview: Fintel Plc provides intermediary services and distribution channels to the retail financial services sector in the United Kingdom, with a market cap of £287.57 million. Operations: The company's revenue segments include Research & Fintech (£24.20 million), Distribution Channels (£21.40 million), and Intermediary Services (£23.30 million). Estimated Discount To Fair Value: 33.8% Fintel appears undervalued, trading at £2.76 compared to a fair value estimate of £4.17, with earnings expected to grow significantly at 31.7% annually over the next three years, outpacing the UK market's 14%. Revenue growth is forecasted at 7.5%, above the market average but below high-growth thresholds. Recent executive changes include Neil Stevens stepping down as Joint CEO by June 2025, with Matt Timmins assuming sole CEO responsibilities post-AGM in May 2025. According our earnings growth report, there's an indication that Fintel might be ready to expand. Take a closer look at Fintel's balance sheet health here in our report.AIM:FNTL Discounted Cash Flow as at Mar 2025 Hochschild Mining Overview: Hochschild Mining plc is a precious metals company involved in the exploration, mining, processing, and sale of gold and silver across Peru, Argentina, the United States, Canada, Brazil, and Chile with a market cap of £944.55 million. Operations: The company's revenue segments include $266.70 million from San Jose and $451.91 million from Inmaculada, with a segment adjustment of $79.60 million. Story Continues Estimated Discount To Fair Value: 23.8% Hochschild Mining is trading at £1.84, significantly below its estimated fair value of £2.41, with a forecasted earnings growth of 40.3% annually, surpassing the UK market's 14%. Despite high debt and recent share price volatility, revenue is expected to grow at 9.1% per year, above the market average. Recent board changes include Andrew Wray joining as an independent Non-Executive Director post-June AGM, enhancing governance with his extensive sector experience. Our comprehensive growth report raises the possibility that Hochschild Mining is poised for substantial financial growth. Unlock comprehensive insights into our analysis of Hochschild Mining stock in this financial health report.LSE:HOC Discounted Cash Flow as at Mar 2025 Morgan Advanced Materials Overview: Morgan Advanced Materials plc is a UK-based materials science and application engineering company with a market cap of approximately £602 million. Operations: Morgan Advanced Materials plc generates revenue through its operations in the materials science and application engineering sectors, primarily within the United Kingdom. Estimated Discount To Fair Value: 40.5% Morgan Advanced Materials is trading at £2.14, below its estimated fair value of £3.59, with earnings expected to grow significantly at 21.8% annually, outpacing the UK market's 14%. Despite high debt levels and a dividend not well covered by free cash flows, revenue growth is forecasted at 3.9% per year. Recent leadership changes include CEO Pete Raby retiring in July 2025, with Damien Caby set to assume the role, potentially impacting strategic direction. Our expertly prepared growth report on Morgan Advanced Materials implies its future financial outlook may be stronger than recent results. Navigate through the intricacies of Morgan Advanced Materials with our comprehensive financial health report here.LSE:MGAM Discounted Cash Flow as at Mar 2025 Summing It All Up Gain an insight into the universe of 56 Undervalued UK Stocks Based On Cash Flows by clicking here. Have a stake in these businesses? Integrate your holdings into Simply Wall St's portfolio for notifications and detailed stock reports. Unlock the power of informed investing with Simply Wall St, your free guide to navigating stock markets worldwide. Ready For A Different Approach? Explore high-performing small cap companies that haven't yet garnered significant analyst attention. Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence. Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include AIM:FNTL LSE:HOC and LSE:MGAM. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com View Comments |
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| 03.03.25 06:07:52 | UK Stocks Trading At Estimated Discounts: A Trio Of Value Opportunities | |
| The UK stock market has recently faced challenges, with the FTSE 100 index experiencing declines due to weak trade data from China and a broader global economic slowdown. As investors navigate these uncertain conditions, identifying undervalued stocks becomes crucial for those seeking potential value opportunities amidst the current market turbulence. Top 10 Undervalued Stocks Based On Cash Flows In The United Kingdom Name Current Price Fair Value (Est) Discount (Est) On the Beach Group (LSE:OTB) £2.25 £4.47 49.7% Dr. Martens (LSE:DOCS) £0.6565 £1.22 46.4% Gaming Realms (AIM:GMR) £0.372 £0.67 44.7% Legal & General Group (LSE:LGEN) £2.447 £4.86 49.6% Victrex (LSE:VCT) £9.24 £18.17 49.1% Deliveroo (LSE:ROO) £1.362 £2.46 44.7% Likewise Group (AIM:LIKE) £0.195 £0.37 47.7% Calnex Solutions (AIM:CLX) £0.555 £1.01 45.2% Optima Health (AIM:OPT) £1.825 £3.34 45.3% Melrose Industries (LSE:MRO) £6.41 £12.22 47.5% Click here to see the full list of 57 stocks from our Undervalued UK Stocks Based On Cash Flows screener. Let's explore several standout options from the results in the screener. Gamma Communications Overview: Gamma Communications plc, with a market cap of £1.26 billion, offers technology-based communications and software services to businesses of various sizes across the United Kingdom and Europe. Operations: The company's revenue segments include £78.50 million from European operations, £373.10 million from Gamma Business, and £119.90 million from Gamma Enterprise. Estimated Discount To Fair Value: 35.7% Gamma Communications is trading at £13.2, significantly below its estimated fair value of £20.52, presenting a potential undervaluation based on discounted cash flow analysis. The company's earnings are projected to grow at 14.16% annually, outpacing the UK market's growth rate of 14%. While revenue growth is moderate at 6.7% per year, it surpasses the broader market's forecasted revenue increase of 3.8%. Analysts expect a stock price rise by approximately 40%. In light of our recent growth report, it seems possible that Gamma Communications' financial performance will exceed current levels. Get an in-depth perspective on Gamma Communications' balance sheet by reading our health report here.AIM:GAMA Discounted Cash Flow as at Mar 2025 Savills Overview: Savills plc is a global real estate services provider operating across the United Kingdom, Continental Europe, Asia Pacific, Africa, North America, and the Middle East with a market cap of £1.41 billion. Operations: The company's revenue segments include Consultancy (£464.80 million), Transaction Advisory (£803.60 million), Investment Management (£100.50 million), and Property and Facilities Management (£920.90 million). Story Continues Estimated Discount To Fair Value: 13.2% Savills is trading at £10.4, slightly below its estimated fair value of £11.98, indicating a modest undervaluation based on cash flows. Earnings are forecast to grow significantly at 32.66% annually, well above the UK market average of 14%, though revenue growth remains moderate at 5.1% per year. Recent executive changes with experienced hires like James Hiatt may enhance investment opportunities in central London, potentially impacting future cash flow positively despite an unstable dividend history and lower profit margins compared to last year. Our growth report here indicates Savills may be poised for an improving outlook. Navigate through the intricacies of Savills with our comprehensive financial health report here.LSE:SVS Discounted Cash Flow as at Mar 2025 Vp Overview: Vp plc offers equipment rental and associated services both in the United Kingdom and internationally, with a market cap of £220.98 million. Operations: The company's revenue segments include £339.21 million from the United Kingdom and £43.35 million from international operations. Estimated Discount To Fair Value: 41% Vp is trading at £5.6, significantly below its estimated fair value of £9.5, presenting a strong undervaluation based on cash flows. Despite its high debt levels and unsustainable 6.96% dividend, Vp is expected to achieve profitability within three years with earnings projected to grow at 55.72% annually, surpassing market averages. The recent appointment of Richard Smith as a non-executive director may bolster strategic oversight as he brings substantial growth experience from his tenure at Unite Group plc. Our expertly prepared growth report on Vp implies its future financial outlook may be stronger than recent results. Click here and access our complete balance sheet health report to understand the dynamics of Vp.LSE:VP. Discounted Cash Flow as at Mar 2025 Turning Ideas Into Actions Delve into our full catalog of 57 Undervalued UK Stocks Based On Cash Flows here. Are you invested in these stocks already? Keep abreast of every twist and turn by setting up a portfolio with Simply Wall St, where we make it simple for investors like you to stay informed and proactive. Elevate your portfolio with Simply Wall St, the ultimate app for investors seeking global market coverage. Contemplating Other Strategies? Explore high-performing small cap companies that haven't yet garnered significant analyst attention. Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence. Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include AIM:GAMA LSE:SVS and LSE:VP.. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com View Comments |
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| 28.02.25 06:07:55 | UK Stocks Estimated To Be Trading Below Intrinsic Value In February 2025 | |
| As the FTSE 100 and FTSE 250 indices experience downward pressure due to weak trade data from China, concerns about global economic recovery continue to weigh on investor sentiment in the United Kingdom. In such a challenging market environment, identifying stocks that are trading below their intrinsic value can present opportunities for investors looking to capitalize on potential long-term growth. Top 10 Undervalued Stocks Based On Cash Flows In The United Kingdom Name Current Price Fair Value (Est) Discount (Est) On the Beach Group (LSE:OTB) £2.25 £4.48 49.7% Gaming Realms (AIM:GMR) £0.372 £0.67 44.7% Legal & General Group (LSE:LGEN) £2.437 £4.86 49.8% Victrex (LSE:VCT) £9.13 £18.15 49.7% Gateley (Holdings) (AIM:GTLY) £1.37 £2.65 48.4% AstraZeneca (LSE:AZN) £120.18 £220.00 45.4% Likewise Group (AIM:LIKE) £0.195 £0.37 47.7% Calnex Solutions (AIM:CLX) £0.555 £1.01 45% Optima Health (AIM:OPT) £1.83 £3.33 45% Melrose Industries (LSE:MRO) £6.222 £12.19 49% Click here to see the full list of 56 stocks from our Undervalued UK Stocks Based On Cash Flows screener. Below we spotlight a couple of our favorites from our exclusive screener. CVS Group Overview: CVS Group plc operates in the veterinary, pet crematoria, online pharmacy, and retail sectors with a market cap of £744.66 million. Operations: The company generates revenue through its operations in veterinary services, pet crematoria, online pharmacy, and retail businesses. Estimated Discount To Fair Value: 38.6% CVS Group is trading at £10.38, significantly below its estimated fair value of £16.92, indicating it may be undervalued based on cash flows. Despite a decline in net income to £11.2 million from £14.6 million year-over-year, earnings are forecast to grow significantly at 22.8% annually over the next three years, outpacing the UK market's growth rate of 14.5%. However, profit margins have decreased and interest payments are not well covered by earnings. Upon reviewing our latest growth report, CVS Group's projected financial performance appears quite optimistic. Click to explore a detailed breakdown of our findings in CVS Group's balance sheet health report.AIM:CVSG Discounted Cash Flow as at Feb 2025 Coats Group Overview: Coats Group plc, along with its subsidiaries, manufactures and supplies industrial sewing threads globally and has a market cap of £1.41 billion. Operations: The company's revenue segments consist of Apparel at $731 million, Footwear at $381.90 million, and Performance Materials at $327 million. Estimated Discount To Fair Value: 40.6% Coats Group is trading at £0.88, significantly below its estimated fair value of £1.49, suggesting it is undervalued based on cash flows. Revenue growth is projected to outpace the UK market at 5.9% annually, while earnings are expected to rise by 17.3% per year, surpassing the market's rate of 14.5%. Despite a high debt level and an unstable dividend history, analysts anticipate a price increase of 38.7%. Story Continues The analysis detailed in our Coats Group growth report hints at robust future financial performance. Dive into the specifics of Coats Group here with our thorough financial health report.LSE:COA Discounted Cash Flow as at Feb 2025 Dr. Martens Overview: Dr. Martens plc designs, develops, procures, markets, sells, and distributes footwear under the Dr. Martens brand and has a market cap of approximately £660.59 million. Operations: Dr. Martens generates revenue primarily from its footwear segment, which amounts to £805.90 million. Estimated Discount To Fair Value: 44.1% Dr. Martens is trading at £0.69, considerably below its estimated fair value of £1.23, highlighting its undervaluation based on cash flows. The company forecasts a robust annual earnings growth of 40.6%, significantly exceeding the UK market's average growth rate of 14.5%. However, recent financials show a decline in profit margins from 10.6% to 3.6% and an unstable dividend history, which may temper investor enthusiasm despite expected revenue growth surpassing the market average at 4.7%. Our growth report here indicates Dr. Martens may be poised for an improving outlook. Click here to discover the nuances of Dr. Martens with our detailed financial health report.LSE:DOCS Discounted Cash Flow as at Feb 2025 Where To Now? Discover the full array of 56 Undervalued UK Stocks Based On Cash Flows right here. Have a stake in these businesses? Integrate your holdings into Simply Wall St's portfolio for notifications and detailed stock reports. Elevate your portfolio with Simply Wall St, the ultimate app for investors seeking global market coverage. Ready To Venture Into Other Investment Styles? Explore high-performing small cap companies that haven't yet garnered significant analyst attention. Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence. Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include AIM:CVSG LSE:COA and LSE:DOCS. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com View Comments |
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| 27.02.25 06:07:55 | UK Stocks Estimated To Be Up To 49.9% Below Intrinsic Value | |
| The United Kingdom's stock market has recently experienced turbulence, with the FTSE 100 index closing lower amid weak trade data from China and global economic uncertainties. As these challenges persist, investors may find opportunities in stocks that are estimated to be significantly undervalued, potentially offering a margin of safety in an unpredictable market environment. Top 10 Undervalued Stocks Based On Cash Flows In The United Kingdom Name Current Price Fair Value (Est) Discount (Est) Pan African Resources (AIM:PAF) £0.357 £0.71 49.9% Gaming Realms (AIM:GMR) £0.372 £0.67 44.8% Gateley (Holdings) (AIM:GTLY) £1.365 £2.65 48.5% Legal & General Group (LSE:LGEN) £2.444 £4.86 49.8% Victrex (LSE:VCT) £9.45 £18.17 48% Duke Capital (AIM:DUKE) £0.30 £0.54 44.5% Likewise Group (AIM:LIKE) £0.195 £0.37 47.8% Calnex Solutions (AIM:CLX) £0.556 £1.01 45.1% Optima Health (AIM:OPT) £1.82 £3.33 45.3% Melrose Industries (LSE:MRO) £6.214 £12.26 49.3% Click here to see the full list of 53 stocks from our Undervalued UK Stocks Based On Cash Flows screener. Below we spotlight a couple of our favorites from our exclusive screener. Brickability Group Overview: Brickability Group Plc, with a market cap of £200.54 million, supplies, distributes, and imports building products in the United Kingdom through its subsidiaries. Operations: The company's revenue is derived from several segments, including £90.55 million from importing, £88.22 million from contracting, £63.21 million from distribution, and £380.56 million from bricks and building materials. Estimated Discount To Fair Value: 29.8% Brickability Group is trading at £0.62, significantly below its estimated fair value of £0.89, presenting a potential undervaluation based on discounted cash flow analysis. Despite lower profit margins this year and significant insider selling, the company’s earnings are expected to grow substantially at 35.2% annually, outpacing the UK market's average growth rate. However, its dividend yield of 5.37% is not well covered by earnings, indicating potential sustainability concerns. Insights from our recent growth report point to a promising forecast for Brickability Group's business outlook. Delve into the full analysis health report here for a deeper understanding of Brickability Group.AIM:BRCK Discounted Cash Flow as at Feb 2025 Pan African Resources Overview: Pan African Resources PLC is a company involved in the mining, extraction, production, and sale of gold in South Africa with a market capitalization of £724.47 million. Operations: The company's revenue is primarily derived from its operations at Evander Mines ($162.06 million) and Barberton Mines ($190.16 million), with additional contributions from Agricultural ESG Projects ($0.43 million). Story Continues Estimated Discount To Fair Value: 49.9% Pan African Resources is trading at £0.36, significantly below its estimated fair value of £0.71, indicating potential undervaluation based on discounted cash flow analysis. Despite high debt levels and a dividend yield of 2.67% not well covered by free cash flows, the company forecasts significant earnings growth of 34.5% annually, surpassing UK market averages. Recent results show stable gold production with expected increases in future output driven by infrastructure investments and operational improvements. Upon reviewing our latest growth report, Pan African Resources' projected financial performance appears quite optimistic. Dive into the specifics of Pan African Resources here with our thorough financial health report.AIM:PAF Discounted Cash Flow as at Feb 2025 Avon Technologies Overview: Avon Technologies Plc, with a market cap of £430.69 million, specializes in providing respiratory and head protection products for military and first responder markets across Europe and the United States. Operations: The company's revenue segments include Team Wendy, generating $129.40 million, and Avon Protection, contributing $145.60 million. Estimated Discount To Fair Value: 10.3% Avon Technologies is trading at £14.5, slightly below its estimated fair value of £16.17, suggesting potential undervaluation based on cash flow analysis. The company has recently secured an $18 million order from the Defense Logistics Agency, enhancing revenue prospects. While revenue growth is modest at 5.8% annually, earnings are projected to grow significantly at 59.2% per year over the next three years, outpacing UK market averages despite low forecasted return on equity and large one-off items impacting results. Our growth report here indicates Avon Technologies may be poised for an improving outlook. Unlock comprehensive insights into our analysis of Avon Technologies stock in this financial health report.LSE:AVON Discounted Cash Flow as at Feb 2025 Where To Now? Click this link to deep-dive into the 53 companies within our Undervalued UK Stocks Based On Cash Flows screener. Hold shares in these firms? Setup your portfolio in Simply Wall St to seamlessly track your investments and receive personalized updates on your portfolio's performance. Simply Wall St is your key to unlocking global market trends, a free user-friendly app for forward-thinking investors. Contemplating Other Strategies? Explore high-performing small cap companies that haven't yet garnered significant analyst attention. Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence. Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include AIM:BRCK AIM:PAF and LSE:AVON. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com View Comments |
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| 07.02.25 15:56:51 | Legal & General Sells US Protection Business, Forms Strategic Partnership With Japan's Meiji Yasuda: Details | |
| Legal & General Sells US Protection Business, Forms Strategic Partnership With Japan's Meiji Yasuda: Details Legal & General Group (OTC:LGGNY) has agreed to sell its US insurance entity, comprising its US protection and US Pension Risk Transfer businesses, to long-term partner Meiji Yasuda for an equity value of 1.8 billion British pounds ($2.3 billion) payable in cash at completion. Following completion, the Japanese mutual life insurance company will own L&G’s US protection business and have a 20% economic interest in its US PRT business. L&G will retain 80% of existing and new PRT through reinsurance arrangements. As part of the deal, Meiji Yasuda plans to acquire approximately 5% of L&G Group’s shares and expand collaboration in asset management. Following completion, L&G intends to execute an additional 1 billion British pound share buyback, contributing to its goal of returning approximately 40% of its market capitalization to shareholders between 2025 and 2027. L&G will allocate 400 million British pounds to fund the US PRT reinsurance arrangement, with the remaining proceeds used for strategic investments. The deal is expected to increase L&G’s Solvency II ratio by 22% at completion and 7% post-buyback. The sale aligns with L&G’s long-term growth strategy, enhancing its US PRT and global asset management businesses while reinforcing its core areas—Asset Management, Institutional Retirement, and UK Retail. L&G maintains its 2024 guidance for mid-single-digit core operating profit growth and remains on track to achieve a 6-9% EPS CAGR (2024-2027) and>20% Return on Equity (2025-2027). The sale is projected to generate over 1 billion British pounds in IFRS profit, with anticipated 2024 US statutory net assets of the businesses being sold at $850 million. “Today’s announcement reflects our commitment to value creation and shareholder returns as we expect to distribute c. 40% of our market cap through dividends and share buybacks over the next three years,” commented António Simões, Group Chief Executive Officer of Legal & General. This agreement marks a significant step in L&G’s strategic expansion and shareholder value creation, reinforcing its global presence and capital strength. Price Action: LGGNY shares traded higher by 2.04% at $15.47 at last check Friday. Photo via Shutterstock. Up Next: Transform your trading with Benzinga Edge's one-of-a-kind market trade ideas and tools. Click now to access unique insights that can set you ahead in today's competitive market. Get the latest stock analysis from Benzinga? This article Legal & General Sells US Protection Business, Forms Strategic Partnership With Japan's Meiji Yasuda: Details originally appeared on Benzinga.com © 2025 Benzinga.com. Benzinga does not provide investment advice. All rights reserved. View Comments |
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| 07.02.25 12:16:45 | Trending tickers: Amazon, Palantir, Legal & General, Pinterest | |
| Amazon (AMZN) Amazon (AMZN) stock was trading around 2.8% lower in premarket on Friday as jitters persist about its latest set of results. The ecommerce giant reported its fourth quarter results after the bell on Thursday, beating on the top and bottom lines, but providing worse-than-anticipated Q1 guidance. Amazon's (AMZN) guidance for Q1 was well short of the midpoint of Wall Street's outlook. The company says it sees Q1 revenue of between $151bn and $155bn (£121m and £124m). Analysts were anticipating $158bn. In a statement, the company said its Q1 revenue outlook, "anticipates an unusually large, unfavourable impact of approximately $2.1bn, or 150 basis points, from foreign exchange rates". Amazon (AMZN) added the leap year in 2024 added $1.5bn to net sales. “Investor concerns about big spending on AI-related infrastructure have moved up a gear and Amazon (AMZN) is at the centre of the storm,” says Dan Coatsworth, investment analyst at AJ Bell. “Last year we saw the first round of questions about how quickly companies would get a positive return on AI investments. Those concerns have now intensified as the big tech companies continue to throw billions of dollars on AI." Even with AI spending jitters, the companies fundamentals are strong. "It has never been afraid to try new things – if they work, great; if they don’t, it moves on," added Coatsworth. "Some experiments have been slightly off the mark, some were actual clangers, but it learns from each one. It can afford to take this approach because of the significant cash flow generated by the group. This strength should be recognised by investors, but it seems they’re fearing the worst over the very large bet on AI infrastructure." •USD (AMZN) Follow View Quote Details Palantir (PLTR) Palantir (PLTR) stock closed more than 8.9% higher on Thursday and looked set to continue its upwards trajectory on Friday following its fourth-quarter earnings report earlier in the week. Over the last five days the software and data company's market cap has grown by more than 37%. Palantir (PLTR) posted fourth quarter revenue of $827.5m (£665.7m), well above estimates of $775.9m, while adjusted earnings of $0.14 per share beat expectations of $0.11. The AI software developer also offered a strong outlook for the coming year. For the first quarter, Palantir (PLTR) guided to revenue of between $858m and $862m and for the year, the company said it expected turnover to come in between $3.741bn and $3.757bn. Matt Britzman, senior equity analyst at Hargreaves Lansdown (HL.L), said earlier in the week: "Palantir (PLTR) is the Michael Jordan of AI stocks right now, not only capturing investors imagination but delivering game-winning shots when it counts. Story Continues "The company’s massive retail investor fanbase is playing three moves ahead, but with its sky-high valuation, this ride could get bumpy. AI’s growing relevance keeps Palantir (PLTR) in the spotlight, but investors should buckle up for volatility." •USD (PLTR) Follow View Quote Details Legal & General (LGEN.L) Legal & General (LGEN.L) stock headed more than 5% higher on Friday morning in London, jumping as much as 11% as investors cheered news that it will sell its US protection business to Meiji Yasuda for £1.8bn. The Japanese life insurance firm plans to take a 5% stake in as part of the move, the company said. The deal is expected to close towards the end of 2025 and is still subject to regulatory approvals. •USD (LGEN.L) Follow View Quote Details Pinterest (PINS) Pinterest (PINS) stock gained 22% in premarket on Friday despite posting fourth-quarter earnings that lagged analyst estimates. The company posted quarterly earnings of $0.56 per share, missing the Zacks consensus estimate of $0.63 per share. This was compared to earnings of $0.53 per share a year ago. Figures were adjusted for non-recurring items. Revenues, however, came in at $1.15bn for the quarter ended December 2024. This compares to year-ago revenues of $981.3m. The company has topped consensus revenue estimates four times over the last four quarters. The digital pinboard company's share price has been on a rollercoaster over the past year. For the year-to-date its stock price is down 17.7%. Global monthly active users of the platform grew 11% year-on-year to 553 million in the fourth quarter. That was ahead of Wall Street estimates of 547.4m. •USD (PINS) Follow View Quote Details Download the Yahoo Finance app, available for Apple andAndroid. View Comments |
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| 07.02.25 10:26:53 | L&G to Sell US Insurance Arm to Meiji in $2.3 Billion Deal | |
| (Bloomberg) -- Legal & General Group Plc agreed to sell its US insurance entity for $2.3 billion, the latest move by Chief Executive Officer António Simões to revamp the financial services firm and boost payouts to shareholders. Most Read from Bloomberg Nice Airport, If You Can Get to It: No Subway, No Highway, No Bridge Citadel to Leave Namesake Chicago Tower as Employees Relocate NYC Sees Pedestrian Traffic Increase in Congestion-Pricing Zone How London’s Taxi Drivers Navigate the City Without GPS Transportation Memos Favor Places With Higher Birth and Marriage Rates The US insurance entity, which comprises the firm’s local protection and pension risk-transfer businesses, will be sold to Meiji Yasuda Life Insurance Co., according to a statement on Friday. Following completion, the Japanese insurer will own L&G’s US protection business and have a 20% economic interest in its US PRT business. Meiji Yasuda also plans to buy a 5% stake in L&G. London-based L&G will use £1 billion ($1.24 billion) of the proceeds for share repurchases. Another £400 million will be spent to fund a US PRT reinsurance arrangement with Meiji Yasuda in which the UK insurer will retain 80% interest. L&G shares surged as much as 11.4% in early London trading, the biggest intraday gain since November 2020. “This is a transformative transaction that brings significant strategic and financial benefits to the group,” sharpening L&G’s focus on core businesses and “driving sustainable growth to enhance shareholder returns,” CEO Simões said in the statement. Simões, who took the helm at L&G about a year ago, has unveiled a new strategy for the company that envisioned merging its asset management units and scaling up private-market and higher fee-paying assets. As part of the sweeping changes, with the goal of returning more capital to shareholders from 2024 to 2027, L&G agreed in September to sell UK homebuilder Cala Group with expected cash proceeds of £1.16 billion. Before joining L&G as CEO, Simões was regional head of Europe for Banco Santander SA. The former McKinsey & Co. partner also spent 13 years at HSBC Holdings Plc earlier, including as CEO of UK and Europe. Tokyo-based Meiji Yasuda has been seeking acquisitions overseas, particularly in the US, where its subsidiary StanCorp Financial Group Inc. is buying Allstate Corp.’s benefits unit for about $2 billion. The firm’s ambitions reflect bold moves also being made by many of its local rivals, all hunting for growth outside of the country given Japan’s shrinking population. Story Continues The earnings impact from losing a 20% economic interest in the US PRT business is likely to be “minimal,” RBC analysts led by Mandeep Jagpal wrote in a note Friday, noting the protection businesses were assessed by L&G as having less of a strategic fit than other parts of the group. L&G now expects to return the equivalent of about 40% of its market value to shareholders over 2025 to 2027 through a combination of dividends and buybacks. The transaction, expected to conclude toward the end of 2025 pending regulatory approvals, will also provide capital to invest in growth across L&G’s three core businesses of asset management, institutional retirement and UK retail, it said in the statement. Reiterating its guidance for full year 2024 of mid-single digit growth in core operating profit, L&G said it was on track to achieve its remaining targets. What Bloomberg Intelligence Says: Legal & General’s sale of its US business, which only made $23 million profit in 2023, recognizes L&G’s capital concerns, with the sale to Meiji Yasuda Life at 2.8x net assets boosting Solvency II by 22 percentage points. — Kevin Ryan & Charles Graham, insurance analysts --With assistance from Nao Sano. (Updates with Meiji Yasuda’s ambitions and analyst comment.) Most Read from Bloomberg Businessweek Orange Juice Makers Are Desperate for a Comeback Business Schools Confront Trump Immigration Policies Believing in Aliens Derailed This Internet Pioneer’s Career. Now He’s Facing Prison The Reason Why This Super Bowl Has So Many Conspiracy Theories Inside Elon Musk’s Attack on the US Government ©2025 Bloomberg L.P. View Comments |
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