Lloyds Bank - future prospects

nbrewitt

Hi, as a long suffering Lloyds shareholder, I'm seeking members general thoughts on the medium/long term future of the Bank. Surely, the consistently low share price must be making them a potential takeover target, but by who?  I know the CEO is a well respected banker with a previously good track record but it just seems to me that they have taken their eye off the ball for the past few years.

Thrugelmir

Unless there's synergy benefits from the acquisition difficult to see why Lloyds would be considered a takeover target. PPI is finally drawing to a close. The difficulty now is the damage caused by Covid. Taken a long time to get to grips with the shot gun marriage to HBOS. That's where the downfall originated. 

nbrewitt

I agree that the tie up with HBOS did them no favours but all I seem to hear about these days are fines for some type of mis-management or other (in addition to PPI) I know the whole sector has suffered but the Lloyds share price has been particularly badly hit, I just wondered if there are deeper management issues within the organisation.

EdGasketTheSecond

With interest rates near zero, they can't make a profit and a bad economy will see loan defaults. Banks are not attractive as an investment right now.

Thrugelmir

nbrewitt said:

I agree that the tie up with HBOS did them no favours but all I seem to hear about these days are fines for some type of mis-management or other (in addition to PPI) I know the whole sector has suffered but the Lloyds share price has been particularly badly hit, I just wondered if there are deeper management issues within the organisation.

Culture can take a long time to change once it's ingrained. Recall at HBOS cabbages were placed on desks of those who failed to meet sales targets. Have heard Paul Moore speak a couple of times. Fascinating insight into that era. 

[Deleted User]

Thrugelmir said:

nbrewitt said:

I agree that the tie up with HBOS did them no favours but all I seem to hear about these days are fines for some type of mis-management or other (in addition to PPI) I know the whole sector has suffered but the Lloyds share price has been particularly badly hit, I just wondered if there are deeper management issues within the organisation.

Culture can take a long time to change once it's ingrained. Recall at HBOS cabbages were placed on desks of those who failed to meet sales targets. Have heard Paul Moore speak a couple of times. Fascinating insight into that era. 

LBG is probably about as 'old' as HBOS was an entity as pre-merger BOS didn't do that type of thing.
Misguided - No doubt but hardly ingrained...

sale_of_the_century

I also held lloyds shares that I had purchased in January this year and watched them lose half of their value.!
So what I did back in May was to reluctantly sell my lloyds shares and purchased Marstons ( brewery )
whose value had dropped from a much higher level than Lloyds shares and I figured they would bounce back a lot quicker if the lockdown measures were relaxed. I have been fortunate in that I recovered my losses a lot more quickly thanks to a tie up between Marstons and Carlsberg . I think I will wait a little longer until pubs reopen before deciding whether to sell then hopefully pick up lloyds again at a discount price ( I had originally paid 63 pence for Lloyds etc )
because I can see bzz as bank shares being in the doghouse for a while yet .

Take care .
A.

Thrugelmir

dahj said:

Thrugelmir said:

nbrewitt said:

I agree that the tie up with HBOS did them no favours but all I seem to hear about these days are fines for some type of mis-management or other (in addition to PPI) I know the whole sector has suffered but the Lloyds share price has been particularly badly hit, I just wondered if there are deeper management issues within the organisation.

Culture can take a long time to change once it's ingrained. Recall at HBOS cabbages were placed on desks of those who failed to meet sales targets. Have heard Paul Moore speak a couple of times. Fascinating insight into that era. 

LBG is probably about as 'old' as HBOS was an entity as pre-merger BOS didn't do that type of thing.
Misguided - No doubt but hardly ingrained...

Reminded me of this article.

http://www.ianfraser.org/the-worst-bank-in-the-world-hboss-calamitous-seven-year-life/