Lloyds Banking Group (NYSE:LYG) Shares Gap Down - Here's Why

Key Points

• Lloyds Banking Group's shares gapped down on Friday, opening at $4.28 after closing at $4.47, with the last traded price at $4.31.
• The company has received several upgrades from analysts, with a current average rating of "Moderate Buy" and one analyst rating it as a Strong Buy.
• Lloyds recently announced a dividend of $0.0655 per share, reflecting a yield of 370.0%, with a dividend payout ratio of 32.50%.

Lloyds Banking Group PLC (NYSE:LYG - Get Free Report) gapped down prior to trading on Friday . The stock had previously closed at $4.47, but opened at $4.28. Lloyds Banking Group shares last traded at $4.31, with a volume of 711,652 shares traded.

Analyst Ratings Changes

Several analysts have recently commented on LYG shares. Keefe, Bruyette & Woods upgraded shares of Lloyds Banking Group from a "hold" rating to a "moderate buy" rating in a research report on Thursday, July 17th. JPMorgan Chase & Co. raised Lloyds Banking Group from an "underweight" rating to a "neutral" rating in a research note on Friday, August 1st. Royal Bank Of Canada raised Lloyds Banking Group from a "sector perform" rating to an "outperform" rating in a report on Monday, August 4th. The Goldman Sachs Group raised shares of Lloyds Banking Group from a "neutral" rating to a "buy" rating in a report on Tuesday, August 5th. Finally, Morgan Stanley reissued an "overweight" rating on shares of Lloyds Banking Group in a report on Monday, August 4th. One analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating and two have issued a Hold rating to the company's stock. Based on data from MarketBeat, the company presently has an average rating of "Moderate Buy".

Lloyds Banking Group Stock Down 3.2%

The company's 50-day simple moving average is $4.30 and its 200 day simple moving average is $3.98. The company has a debt-to-equity ratio of 1.68, a current ratio of 1.44 and a quick ratio of 0.53. The firm has a market cap of $64.73 billion, a P/E ratio of 10.81, a price-to-earnings-growth ratio of 0.69 and a beta of 1.05.

Lloyds Banking Group (NYSE:LYG - Get Free Report) last announced its quarterly earnings results on Thursday, July 24th. The financial services provider reported $0.14 EPS for the quarter, beating analysts' consensus estimates of $0.10 by $0.04. The firm had revenue of $6.13 billion during the quarter, compared to the consensus estimate of $4.86 billion. Lloyds Banking Group had a net margin of 17.51% and a return on equity of 9.28%. Research analysts anticipate that Lloyds Banking Group PLC will post 0.27 EPS for the current fiscal year.

Lloyds Banking Group Cuts Dividend

The business also recently declared a semi-annual dividend, which will be paid on Friday, September 19th. Investors of record on Monday, August 4th will be issued a dividend of $0.0655 per share. This represents a yield of 370.0%. The ex-dividend date is Monday, August 4th. Lloyds Banking Group's dividend payout ratio is presently 32.50%.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the company. V Square Quantitative Management LLC bought a new stake in shares of Lloyds Banking Group in the 2nd quarter worth about $29,000. Focus Partners Wealth purchased a new position in shares of Lloyds Banking Group during the fourth quarter valued at approximately $31,000. Opal Wealth Advisors LLC bought a new position in shares of Lloyds Banking Group during the second quarter valued at approximately $35,000. Advisor Resource Council bought a new stake in shares of Lloyds Banking Group during the 1st quarter worth approximately $37,000. Finally, Earned Wealth Advisors LLC bought a new position in Lloyds Banking Group in the 1st quarter valued at $38,000. Institutional investors own 2.15% of the company's stock.

About Lloyds Banking Group

Lloyds Banking Group plc, together with its subsidiaries, provides a range of banking and financial services in the United Kingdom and internationally. It operates in three segments: Retail; Commercial Banking; and Insurance, Pensions and Investments. The Retail segment offers a range of financial service products, including current accounts, savings, mortgages, motor finance, unsecured loans, leasing solutions, and credit cards to personal customers.

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