Legal & General Group (LON:LGEN) Given "Underperform" Rating at Jefferies Financial Group

Key Points

• Jefferies reiterated an “underperform” rating on Legal & General Group, maintaining a GBX 185 price target that implies 39.52% downside from the current price. The broader analyst consensus remains “hold,” with an average target of GBX 265.29.
• Legal & General shares rose 1.0% to GBX 305.90, near their 52-week high, while the company reported quarterly earnings of GBX 8.01 per share and a 15.89% return on equity.
• Insiders have continued buying shares, and the company repurchased and canceled approximately 1.75 million ordinary shares, supporting its capital-return strategy despite mixed analyst views.

Legal & General Group (LON:LGEN - Get Free Report)'s stock had its "underperform" rating restated by analysts at Jefferies Financial Group in a note issued to investors on Wednesday,London Stock Exchange reports. They presently have a GBX 185 price target on the financial services provider's stock. Jefferies Financial Group's price target would indicate a potential downside of 39.52% from the stock's current price.

Other analysts have also issued reports about the company. Peel Hunt reiterated an "add" rating and issued a GBX 320 price objective on shares of Legal & General Group in a research report on Tuesday. Berenberg Bank reissued a "buy" rating and set a GBX 308 price objective on shares of Legal & General Group in a report on Friday, May 1st. Royal Bank Of Canada restated an "underperform" rating and set a GBX 255 target price on shares of Legal & General Group in a research report on Wednesday, July 29th. Finally, Citigroup raised their target price on shares of Legal & General Group from GBX 249 to GBX 251 and gave the company a "neutral" rating in a research note on Tuesday, June 9th. Two analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of "Hold" and an average price target of GBX 265.29.

Legal & General Group Trading Up 1.0%

LGEN traded up GBX 3.10 during mid-day trading on Wednesday, reaching GBX 305.90. The stock had a trading volume of 93,150,555 shares, compared to its average volume of 35,811,547. The firm's fifty day simple moving average is GBX 286.50 and its two-hundred day simple moving average is GBX 268.91. The stock has a market capitalization of £16.75 billion, a P/E ratio of 31.41, a P/E/G ratio of 2.34 and a beta of 0.80. Legal & General Group has a 52 week low of GBX 217.20 and a 52 week high of GBX 310. The company has a debt-to-equity ratio of 1,100.04, a quick ratio of 0.50 and a current ratio of 59.08.

Legal & General Group (LON:LGEN - Get Free Report) last released its earnings results on Wednesday, August 5th. The financial services provider reported GBX 8.01 earnings per share for the quarter. Legal & General Group had a return on equity of 15.89% and a net margin of 0.91%. On average, equities analysts predict that Legal & General Group will post 24.2376446 EPS for the current year.

Insider Buying and Selling at Legal & General Group

In related news, insider Mark Jordy purchased 3,683 shares of Legal & General Group stock in a transaction dated Wednesday, July 1st. The shares were acquired at an average cost of GBX 287 per share, for a total transaction of £10,570.21. Over the last 90 days, insiders acquired 8,390 shares of company stock valued at $2,444,751. Corporate insiders own 0.59% of the company's stock.

Key Stories Impacting Legal & General Group

Here are the key news stories impacting Legal & General Group this week:

• Positive Sentiment: Legal & General reported quarterly earnings of GBX 8.01 per share. Although the release did not provide a comparison with analyst estimates, the company reported a 15.89% return on equity, reinforcing its profitability profile. Legal and General earnings information
• Positive Sentiment: Insider buying is providing an additional confidence signal. Non-executive director Mark Jordy bought 3,494 shares for approximately £10,587 at GBX 303, while executive Andrew Kail purchased 73 shares for about £220 at GBX 302. Jordy has also made purchases in each of the previous two months. Legal and General insider buying
• Positive Sentiment: The company repurchased and canceled approximately 1.75 million ordinary shares under its ongoing buyback. A smaller share count can support earnings per share and signals continued capital returns to investors. Legal and General share buyback
• Positive Sentiment: Peel Hunt reaffirmed its “add” rating and set a GBX 320 price target, indicating potential upside from recent trading levels. Peel Hunt Legal and General rating
• Positive Sentiment: Five senior executives increased their holdings through the company’s employee share plan, adding to the recent insider-ownership support. Executive share purchases
• Neutral Sentiment: Legal & General admitted 169,845 new shares connected with an employee scheme. The issuance partially offsets the buyback’s reduction in shares but is primarily an administrative matter. Employee scheme share listing
• Negative Sentiment: Analyst views remain mixed. RBC and Jefferies rate the stock “underperform,” while the broader consensus is “hold,” with average targets around GBX 256–265—below recent levels. This suggests valuation concerns could limit further gains despite the positive momentum.

About Legal & General Group

Legal & General Group Plc provides various insurance products and services in the United Kingdom, the United States, and internationally. It operates in Legal & General Retirement Institutional (LGRI), Legal & General Investment Management (LGIM), Legal & General Capital (LGC), and Retail segments. The LGRI segment offers annuity contracts with guaranteed income for a specified time; and longevity insurance products. The LGIM segment offers index fund management; active fixed income funds and liquidity funds; active equity management; solution and liability driven investment; multi-asset funds; corporate pension scheme solutions; and real assets.

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