Hargreaves Lansdown (HL.)

Sector:

Financials

Index:

FTSE 100

972.00p
   
  • Change Today:
    -11.00p
  • 52 Week High: 1,598.00
  • 52 Week Low: 762.60
  • Currency: UK Pounds
  • Shares Issued: 474.32m
  • Volume: 722,579
  • Market Cap: £4,610.38m
  • RiskGrade: 176

Berenberg lowers target price on Hargreaves Lansdown

By Iain Gilbert

Date: Wednesday 11 Aug 2021

LONDON (ShareCast) - (Sharecast News) - Analysts at Berenberg lowered their target price on investment bank Hargreaves Lansdown from 2,000.0p to 1,850.0p on Wednesday following the group's full-year earnings report earlier in the week.
Berenberg stated Hargreaves Lansdown's share price remained roughly 10% lower than it was before its full-year results on Monday, given larger-than-expected cost growth, weaker-than-expected net new business and continued client demographic changes.

Although the German bank said higher costs were "unhelpful", it believes that consensus adequately captured the likely client activity slowdown stemming from Covid-19 lockdowns and that HL's client base, which was 17% bigger year-on-year, can drive "meaningful value creation".

"HL is attractive, in our view, trading on 24.5x our FY23 P/E, a circa 15% discount to its long-run average, with a 7% underlying FY20-24 EPS CAGR," said the analysts.

Berenberg also highlighted that retention was "critical", stating that many investors appear worried that brokerage activity will fall beyond consensus expectations.

"In our view, as long as client retention rates remain high, this concern is well hedged, assuming a progressively less active client within brokerage switches assets into funds," said Berenberg, which thinks retention will remain "solid".

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

HL. Market Data

Currency UK Pounds
Share Price 972.00p
Change Today -11.00p
% Change -1.12 %
52 Week High 1,598.00
52 Week Low 762.60
Volume 722,579
Shares Issued 474.32m
Market Cap £4,610.38m
RiskGrade 176

HL. Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
73.75% below the market average73.75% below the market average73.75% below the market average73.75% below the market average73.75% below the market average
80.95% below the sector average80.95% below the sector average80.95% below the sector average80.95% below the sector average80.95% below the sector average
Price Trend
69.94% below the market average69.94% below the market average69.94% below the market average69.94% below the market average69.94% below the market average
70.15% below the sector average70.15% below the sector average70.15% below the sector average70.15% below the sector average70.15% below the sector average
Income
32.10% above the market average32.10% above the market average32.10% above the market average32.10% above the market average32.10% above the market average
45.45% below the sector average45.45% below the sector average45.45% below the sector average45.45% below the sector average45.45% below the sector average
Growth
98.96% above the market average98.96% above the market average98.96% above the market average98.96% above the market average98.96% above the market average
100.00% above the sector average100.00% above the sector average100.00% above the sector average100.00% above the sector average100.00% above the sector average

What The Brokers Say

Strong Buy 8
Buy 1
Neutral 6
Sell 0
Strong Sell 5
Total 20
neutral
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

HL. Dividends

  Latest Previous
  Final Interim
Ex-Div 22-Sep-22 03-Mar-22
Paid 24-Oct-22 01-Apr-22
Amount 27.44p 12.26p

Trades for 16-Aug-2022

Time Volume / Share Price
16:54 1,583 @ 969.99p
16:35 246,248 @ 972.00p
16:29 74 @ 973.60p
16:29 38 @ 973.60p
16:29 38 @ 973.40p

HL. Key Personnel

CEO Christopher Hill
CFO Amy Stirling

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