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Would their financials suggest the 60-70p mark is about their upper range, or could we see a return to the glory days for them?
Originally posted by ian-d
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http://www.londonstockexchange.com/exchange/prices/stocks/summary/fundamentals.html?fourWayKey=GB0008706128GBGBXSET0
Net Asset Value per Share (exc. Intangibles)!
2012 53.70p
2013 49.10p
2014 64.19p
2015 60.42p
2016 63.18p
Funnily enough, the share price is ~64p today.
Remember Joseph and the Amazing Techni-coloured Dream Coat?
Seven years of plenty, followed by seven years of famine.
A decade ago, Lloyds was the dividend King, giving ~8%, year after year, which is your glory days, and then the years of zero dividends post credit crunch and government bailout.
Dividend started again in 2015.
FY2014 0.75p
FY2015 2.75p
FY2016 3.05p
Pretty close to seven years of famine. Spooky.
Nice annual results on 22 February 2017, and a claimed progressive dividend policy. At 64p a share, 3.05p dividend is 4.7%. If you bought at 64p, and the dividend goes up to 3.3p next year, that's 5.1%.
It went ex-dividend on 6th April 2017, paying 2.2p .
I bought some at 65.6p on 5th April So I am getting
~4.6% = 3.05 / 65.6
Well, I also have some I bought at 69p, around 22nd February, so 4.4% on those.
http://www.londonstockexchange.com/exchange/news/alliance-news/detail/1491204004610683100.html
"The UK government's holding in the bank now stands at 1.97%, or approximately 1.41 billion shares. This was reduced from its previous level of 2.10 billion shares, with the share sale made at an undisclosed price."
The government seems to sell at a discount, since why would any institution buy at a premium? So, the sneaky backroom sales are probably holding the open market price down.
I feel perfectly happy if it hangs around 65p, with +/-5p wobble, and paying 4.5%. I do expect it creeping up as the dividend goes up.