Hargreaves Lansdown (HL.)

Sector:

Financials

Index:

FTSE 100

955.60p
   
  • Change Today:
      69.80p
  • 52 Week High: 1,640.50
  • 52 Week Low: 762.60
  • Currency: UK Pounds
  • Shares Issued: 474.32m
  • Volume: 1,208,039
  • Market Cap: £4,532.59m
  • RiskGrade: 176

Jefferies downgrades Hargreaves Lansdown to 'hold'

By Michele Maatouk

Date: Monday 21 Mar 2022

LONDON (ShareCast) - (Sharecast News) - Jefferies downgraded Hargreaves Lansdown on Monday as it initiated coverage of St James's Place at 'buy'.
The bank cut HL to 'underperform' form 'hold' and slashed the price target to 820p from 1,100p.

It gave two main reasons for the downgrade. Firstly, it argued that as the children of the 1960s approach retirement, they are likely to move from being natural clients of HL to needing advice and therefore leaving the platform in growing numbers.

Secondly, Jefferies said it was applying the same valuation methodology to both companies, reducing its long-term growth rate. "This brings our valuation down to 820p and our rating to underperform," it said, adding that there is still a lot going for HL. It noted that Hargreaves has a large and growing customer base and is successfully attracting a younger clientele.

"Being less wealthy, younger clients will not be as profitable as the older ones we think are leaving, but we believe HL/ is still likely to achieve 50% operating margins (management targets 55% in the medium term).

Jefferies said that although HL has an advice offering and is extending it, the likes of St James's Place "are better placed to take advantage of the trend".

At 1550 GMT, HL shares were down 3.5% at 1,035.50p, while STJ shares were 0.3% lower at 1,472.50p.

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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 955.60p
Change Today 69.80p
% Change 7.88 %
52 Week High 1,640.50
52 Week Low 762.60
Volume 1,208,039
Shares Issued 474.32m
Market Cap £4,532.59m
RiskGrade 176

HL. Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
62.21% below the market average62.21% below the market average62.21% below the market average62.21% below the market average62.21% below the market average
79.37% below the sector average79.37% below the sector average79.37% below the sector average79.37% below the sector average79.37% below the sector average
Price Trend
78.38% below the market average78.38% below the market average78.38% below the market average78.38% below the market average78.38% below the market average
91.04% below the sector average91.04% below the sector average91.04% below the sector average91.04% below the sector average91.04% below the sector average
Income
43.78% above the market average43.78% above the market average43.78% above the market average43.78% above the market average43.78% above the market average
35.9% below the sector average35.9% below the sector average35.9% below the sector average35.9% below the sector average35.9% below the sector average
Growth
99.61% above the market average99.61% above the market average99.61% above the market average99.61% above the market average99.61% 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 08-Aug-2022

Time Volume / Share Price
14:02 216 @ 954.20p
14:02 19 @ 954.20p
14:02 216 @ 954.40p
14:00 277 @ 955.60p
14:00 1,872 @ 955.96p

HL. Key Personnel

CEO Christopher Hill
CFO Amy Stirling

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