Latest news with #LGEN
Wall Street Journal
4 days ago
- Business
- Wall Street Journal
Legal & General Flags Good Start to 2025, Confirms Targets
Legal & General LGEN 1.38%increase; green up pointing triangle said it made a good start to the year and is on track to deliver on its midterm targets. The London-listed provider of life insurance, pensions, retirement and investment services is aiming to grow its core operating earnings per share by between 6% and 9% per year in the midterm and confirmed on Tuesday that it expects to hit that guidance for 2025.
Reuters
4 days ago
- Business
- Reuters
Legal & General expects 2025 core operating profit to grow 6%-9%
LONDON, June 17 (Reuters) - British insurer Legal & General (LGEN.L), opens new tab expects 2025 group core operating earnings per share to grow between 6% and 9%, in line with its three-year targets, it said on Tuesday. It will announce a strategy for its asset management unit later on Tuesday, including plans to become a more capital-light business, sell more third-party financial products and provide clients with more sophisticated investment solutions. The company reiterated its 2028 targets, which include delivering 500 to 600 million pounds ($679 to $814 million) in operating profit by increasing earnings through fees charged to clients while reducing costs. Last month, Legal & General announced the merger of two of its investment units as part of efforts to cut costs and simplify its business. ($1 = 0.7369 pounds)
Yahoo
5 days ago
- Business
- Yahoo
How many Legal & General shares must an investor buy to earn £1k of monthly passive income?
The FTSE 100 is a brilliant source of passive income. Today, it's packed with dividend-paying blue-chip stocks including one of my favourites, Legal & General Group (LSE: LGEN). This is a share I hold myself, and I'm dazzled by how much income it pays. It currently yields a stunning 8.45% – more than twice a best-buy savings account rate. Even better, that figure should rise over time as Legal & General increases its shareholder payouts. It hiked its dividend by 5% to 21.36p per share in 2024 and now plans to lift it by 2% annually going forward. That's a more modest increase – and below today's inflation rate – but it should help keep payouts sustainable. When yields get this high, there's always a risk the business can't maintain them. By contrast, savings rates look set to fall, with central bankers expecting the Bank of England to cut base rates once or twice this year. So the income gap between shares and cash could widen. Another benefit of investing in Legal & General is the chance of capital growth, if the share price rises. That's not guaranteed though. Shares can fall, unlike cash. Capital is at risk. But it's a potential bonus for those willing to take the risk. Legal & General shares have underperformed overall. They're up just 12% over five years. However, in the last 12 months they've risen 13%. Add the yield and total one-year return hits 22%. What happens next? Nobody knows. Analysts are guessing, though, with forecasts from 13 suggesting the share price could hit 267.8p within a year. That's an increase of 6% from today's 252.3p. In 2024, core operating profits rose a solid but unspectacular 6% to £1.62bn. Analysts aren't expecting fireworks in 2025, and neither am I. Another year of steady growth would be fine by me, given that ultra-high income. I think Legal & General shares are worth considering. Especially since the board is planning to return more than £5bn to shareholders over the next three years, through a mix of dividends and share buybacks. Of course, there are no guarantees. Geopolitical tensions, like Israel and Iran's conflict, could spook markets. Trade tariffs could hurt too. With more than £1trn under management, Legal & General could see customer inflows and profits take a hit. The board also needs to find new areas of revenue. While bulk annuities and infrastructure offer some hope, this is a mature and competitive market. Growth won't come easy. Still, it's hard to ignore that income. So what if an investor took a big punt on Legal & General in a bid to generate £1,000 a month – £12,000 a year? This year's dividend is forecast at 21.9p a share. To hit that income, they'd need 54,795 shares. At 252.3p each, that would cost roughly £138,702. That's a huge amount to put into one stock. Unless our investor has a huge portfolio, it will break every diversification rule in the book. I wouldn't do it myself. On the other hand, £12k a year is a lot of income. It's a fraction more than the new State Pension, which pays a maximum £11,973 a year. But my figures show just how powerful FTSE 100 shares can be when chasing long-term passive income. The post How many Legal & General shares must an investor buy to earn £1k of monthly passive income? appeared first on The Motley Fool UK. More reading 5 Stocks For Trying To Build Wealth After 50 One Top Growth Stock from the Motley Fool Harvey Jones has positions in Legal & General Group Plc. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Motley Fool UK 2025
Yahoo
07-06-2025
- Business
- Yahoo
2 FTSE 100 and FTSE 250 dividend shares to consider for a passive income portfolio!
The following FTSE 100 and FTSE 250 stocks could be great ways to build a robust passive income over time. Here's why. At 8.5%, the forward dividend yield on Legal & General (LSE:LGEN) shares is a proper show-stopper. This is twice the current average for the broader FTSE 100 (3.4%). Truth be told, investors like me have become used to the enormous yields the company offers. Excluding pandemic-affected 2020, dividends here have risen for 13 straight years, helping it to maintain those market-beating payouts: Legal & General's resilience is thanks in part to its broad diversification. With operations spanning insurance, asset management, and retirement products, earnings and cash flows aren't overly dependent on strength in one sector. Furthermore, while the UK and US are critical markets for the company, its wide geographic footprint covering North America, Asia, and Mainland Europe helps cushion weakness in one territory. Like any financial services business, Legal & General is highly sensitive to broader economic conditions, and a backdrop of high inflation and weak growth has impacted its share price performance since 2020. This remains a risk as trade tensions disrupt economic conditions and consumer spending. But on the plus side, I'm optimistic the firm's prudent capital management and strong balance sheet should at least help it continue paying large dividends. Its Solvency II capital ratio was 232% as of December. Over the longer term, I expect Legal & General shares to enjoy strong momentum as demographic changes — and the growing importance of financial planning — boost demand for its products. The Brunner Investment Trust (LSE:BUT) doesn't offer the same sort of jaw-dropping yields as Legal & General shares. But one of the London Stock Exchange's greatest records of dividend growth make it worth serious attention in my book. The FTSE 250 trust has hiked shareholder payouts for 53 years on the spin. They've kept growing despite crises like banking sector meltdowns, global pandemics, and sovereign debt crises, providing an effective hedge against inflation. Brunner's resilience reflects its exposure to a broad range of blue-chip multinational companies. It currently holds shares in 56 different businesses, from tech giant Microsoft and card provider Visa, to oil producer Shell and energy manager Schneider Electric. The trading location of its shares is also well spread out, as the chart below shows. This provides some protection if, say, demand for US shares continues to decline due to political uncertainty there. I'm happy to overlook Brunner's handy-if-unspectacular 1.7% forward dividend yield. As a bonus, at £13.95 per share, the trust trades at a 2.8% discount to its net asset value (NAV) per share, adding an extra little sweetener. Investors need to consider Brunner's current high weighting to cyclical sectors. For instance, around 23% of the trust is invested in both financials and technology stocks, leaving it somewhat vulnerable to a fresh economic downturn. But the trust's proven long-term resilience gives me optimism that it can ride out any such trouble. It's delivered an average annual return of 10.7% since 2015. The post 2 FTSE 100 and FTSE 250 dividend shares to consider for a passive income portfolio! appeared first on The Motley Fool UK. More reading 5 Stocks For Trying To Build Wealth After 50 One Top Growth Stock from the Motley Fool Royston Wild has positions in Legal & General Group Plc. The Motley Fool UK has recommended Microsoft and Visa. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Motley Fool UK 2025 擷取數據時發生錯誤 登入存取你的投資組合 擷取數據時發生錯誤 擷取數據時發生錯誤 擷取數據時發生錯誤 擷取數據時發生錯誤
Reuters
23-05-2025
- Business
- Reuters
Legal & General to merge investment units, cut 80 jobs, FT reports
May 23 (Reuters) - British insurer Legal & General (LGEN.L), opens new tab will merge two of its investment divisions and cut around 80 jobs as part of a broader restructuring aimed at reducing costs, the Financial Times reported on Friday. Legal & General did not immediately respond to a Reuters request for comment.
