Legal & General Group PLC (LGEN) fair value: what the stock is really worth
As of Nov 11, 2026: fair value (intrinsic value) of Legal & General Group PLC stock £2.83, price £3.10, that is 8.7% below the price, quality 62 out of 100. Rating: fairly valued. Calculated from audited financials with 13 of our 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 10, 2026.
How to read this chart
60‑month range £1.46 – £3.11 · fair‑value band £1.88 – £4.29 · the £3.10 price screens above the £2.83 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 10, 2026.
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Legal & General Group Plc provides various insurance products and services in the United Kingdom, the United States, and internationally. It operates through Institutional Retirement, Asset Management, Insurance, and Retail Retirement segments.
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The Institutional Retirement segment offers annuity contracts with guaranteed income for a specified time; longevity insurance products; and writes assured payment policies (APP). The Asset Management segment provides unit linked institutional pensions, segregated investment management mandates, and collective investment schemes; index fund management; pooled and segregated active fixed income funds; active equity management; solutions for cash management requirements for institutional investors; solutions and liability driven investment; multi-asset funds; private markets strategies for physical real estate, private corporate debts, infrastructure debts, and real estate loans; and direct investment services.
The Retail Retirement segment offers protection products, such as health, disability, critical illness, and accident; annuities; lifetime mortgages; lifetime care plans; retirement interest only mortgages; and workplace and retail savings scheme that provides corporate pension scheme solutions.
Legal & General Group Plc was founded in 1836 and is headquartered in London, the United Kingdom.
Stock analysis
Legal & General Group PLC (LGEN) currently trades at £3.10, while our model-based Fair Value estimate is £2.83, so the stock looks roughly fairly valued today (gap 9.5%).
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Valuation
Bull case: the Dividend Discount group reads highest at a median of £3.92 per share, and 6 of the 13 models we run sit above the £3.10 price.
Bear case: the Economic Profit group reads lowest at £0.6800, and 7 of the 13 models stay below the price. Data coverage for this calculation is high.
Scenario range: £1.88 (bear) to £4.29 (bull), the price of £3.10 sits inside it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 62/100 (solid quality), in the Financial Services sector.
Legal & General Group PLC reported revenue of £54.5B in FY2025 versus £9.3B in FY2021, a compound +55.7%/yr. Reported net income was £498M in FY2025, compounding −29.8%/yr from FY2021.
Key figures
Market cap £18.4B Large · P/E ratio 28.2 · P/S ratio 0.26 · EPS (TTM) £0.1100 · Dividend yield 7.1% · Net margin 0.9% · Return on equity 27.0% · Return on assets (EBIT) 0.2% (5-year average).
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 63 out of 100 (low confidence).
What moves the price
The share trades at its 52-week high and 44% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Financial Services peers we cover trades at −4% fair-value upside, at −9%, LGEN screens richer than that median.
Fair Value models
Bear£1.88Fair Value £2.83Bull£4.29
Price £3.10 · Downside -8.7%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate.
−16.1%
Earnings growth per share plus dividend.
Earnings per share, growth per year−23.2%
Dividend (yield on the price)7.1%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.−23.2% vs −7.6%, slowing
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.15% → 2%
News mood ⓘNews mood, the average tone of recent news (99 articles), rated against how stocks are usually covered. 🚀 Hype = unusually upbeat · 🙂 Positive = above average · 😐 Neutral = typical · 🙁 Negative = below average · 😨 Very negative = unusually downbeat. It reflects the tone of coverage, not our valuation.Neutral
Recent news coverage is roughly neutral, about typical for how stocks are covered.
AI conclusion: Moderate scale in asset management with growth via clean power funds and buybacks forms the main strength, while high leverage exceeding equity and unclear profitability durability represent the key weakness.
Main risk: Private equity backed insurers such as Athora and Brookfield backed entities could capture more UK pension risk transfer deals from Legal & General and pressure margins in its institutional retirement business.
Bull case: By leveraging its integrated asset management arm and private markets origination Legal & General could defend or expand its share of pension risk transfer business against rival pressure.
Bear case: If private equity backed competitors continue to consolidate the UK bulk annuity market Legal & General could lose material share in its institutional retirement segment with knock-on effects on fee income.
Legal & General is growing its asset management arm through a new clean power infrastructure fund while steadily reducing its share count with buybacks. Our models currently see the stock as undervalued. Will the fresh fee income from private markets investments outweigh any margin pressure in the core retirement and insurance operations?
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Asset Management · 633 stocks
Beats the industry median on 6/15 measures
A mixed picture versus its industry peers.
Valuation
Quality Score62 · Above median
Fair Value upside−8.7% · Below median
Profitability
Return on equity (12 months)27.0% · Top 25%
Return on assets0.1% · Below median
Net margin (12 months)18.0% · Below median
Operating margin (12 months)13.4% · Below median
Growth and dividend
Revenue growth (quarter YoY)15.3% · Above median
Dividend yield (12 months)7.1% · Top 25%
Balance sheet
Debt / equity2.02× · Highest 25%
Valuation Multiplesvs Asset Management median · lower = cheaper
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "Legal & General Group PLC Fair Value". https://www.fairvalue-calculator.com/stock/LGEN
Frequently asked questions
Is Legal & General Group PLC (LGEN) overvalued or undervalued?
As of Nov 10, 2026, our model estimates a fair value of £2.83 versus a price of £3.10, about 9% lower (fairly valued).
What is the fair value of LGEN?
Our model-based fair value for Legal & General Group PLC is £2.83 (as of Nov 10, 2026), built from audited fundamentals. The current price: £3.10.
What is the quality score of LGEN?
Legal & General Group PLC has a Quality Score of 62/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Legal & General Group PLC (LGEN)?
Our model-based price target is the fair value of £2.83 (as of Nov 10, 2026) from 13 valuation models. Cautious scenario £1.88, optimistic scenario £4.29. It is a calculation from audited fundamentals, not an analyst target.
What is the Legal & General Group PLC stock forecast for 2026?
Our models put fair value at £2.83, about 9% lower versus a price of £3.10 (fairly valued). Cautious scenario £1.88, optimistic scenario £4.29. The calculation is refreshed regularly with new filings.
Does Legal & General Group PLC pay a dividend?
Legal & General Group PLC currently shows a dividend yield of 7.07% relative to its recent price (as of Nov 10, 2026).
How much is the dividend of Legal & General Group PLC (LGEN) and when is the ex-dividend date?
Legal & General Group PLC pays a dividend of £0.219 per share a year, a dividend yield of 7.1%. The last ex-dividend date was Aug 20, 2026. A dividend has been paid every year since at least 1993. The payout ratio is 199% of earnings. Our assessment: Payout strained. The dividend exceeds reported earnings (though reported profit is often depressed by one-off charges), and free cash flow only just covers it (or coverage is unknown). Not an emergency, but little room for error.
What is the intrinsic value of Legal & General Group PLC (LGEN)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Legal & General Group PLC it is £2.83 per share (as of Nov 10, 2026), against a price of £3.10. It is the blended result of 13 valuation models in 7 families (DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Growth DCF, Economic Profit).
Is Legal & General Group PLC stock overvalued or undervalued in 2026?
As of Nov 10, 2026, LGEN trades above its calculated fair value: price £3.10, fair value £2.83, a gap of about −9% (fairly valued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of LGEN?
No. The price is what the market pays today (£3.10); the fair value is what the company's own numbers justify (£2.83). For Legal & General Group PLC the two are £0.2690 per share apart. That gap is exactly why we show both numbers side by side.
How much is Legal & General Group PLC worth?
The market values Legal & General Group PLC at about £18.4B (market capitalisation, as of Nov 10, 2026). Per share that is £3.10; our models calculate a fair value of £2.83 per share.
What do the bullish and bearish scenarios say about LGEN?
Our models span a range for Legal & General Group PLC: cautious scenario £1.88, base £2.83, optimistic £4.29 per share (as of Nov 10, 2026, price £3.10). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of LGEN?
Legal & General Group PLC trades at a price-to-earnings ratio of 28.2 (as of Nov 10, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of £2.83 is built from several models across several years. Median P/E at fiscal year-end, 10 fiscal years (2016 to 2025), reported earnings: 11.1. Other multiples: PEG 1.5, P/B 10.7, P/S 2.1, EV/EBITDA 9.4.
What is the PEG ratio of LGEN?
The PEG ratio of Legal & General Group PLC is 1.53 (P/E divided by earnings growth, as of Nov 10, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of Legal & General Group PLC (LGEN)?
Balance-sheet figures for Legal & General Group PLC (as of Nov 10, 2026): return on equity 27.0%, debt of 2.02 per unit of equity. They feed the Quality Score of 62/100, which measures business quality independently of the share price.
How far is LGEN from its 52-week high?
Legal & General Group PLC trades at £3.10, at its 52-week high of £3.11 and 44% above the low of £2.16 (as of Nov 11, 2026). Distance from the high says nothing about value: that is what the fair value of £2.83 is for.
Which stocks are comparable to Legal & General Group PLC?
From the same area (Financial Services) we also value Blackstone Inc, KKR & Co, Brookfield Asset Management Ltd, Apollo Global Management, Inc, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Legal & General Group PLC stock attractive at the current price?
The data as of Nov 10, 2026: price £3.10, calculated fair value £2.83 (−9%), Quality Score 62/100, from 13 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of LGEN calculated?
We run Legal & General Group PLC through 13 models from 7 families: DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Growth DCF, Economic Profit. Every model gets the same audited fundamentals; the fair value of £2.83 builds on their evidence-weighted average, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 14.0% above its aggregate fair value. Legal & General Group PLC itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Legal & General Group PLC (LGEN)?
The closing price on Nov 11, 2026 was £3.10. Our model-based fair value is £2.83, about 9% lower (fairly valued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Legal & General Group PLC right now?
The price sits close to our fair value, market and models broadly agree here, little valuation tension. A fairly wide model range (£1.88 to £4.29) leaves room in how you read the outcome. For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
Where does the earnings growth of Legal & General Group PLC (LGEN) come from?
Earnings per share at Legal & General Group PLC grew −11.4 % a year from 2014 to 2025. Broken into its drivers: revenue per share +12.0 %, EBIT margin −22.0 %, tax rate +1.7 %, residual (interest, one-offs) −0.3 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of Legal & General Group PLC
How large is the market capitalisation of Legal & General Group PLC (LGEN)?
The market capitalisation of Legal & General Group PLC is £18.4B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Legal & General Group PLC (LGEN)?
The price-to-sales ratio of Legal & General Group PLC is 0.26 (P/E × margin). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Legal & General Group PLC (LGEN)?
Earnings per share at Legal & General Group PLC are £0.1100 (price ÷ EPS = P/E 28.2). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Legal & General Group PLC (LGEN)?
The dividend yield of Legal & General Group PLC is 7.1% (payout 199%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Legal & General Group PLC (LGEN)?
The net margin of Legal & General Group PLC is 0.9% (fiscal year 2025). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Legal & General Group PLC (LGEN)?
The return on equity (ROE) of Legal & General Group PLC is 27.0% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Legal & General Group PLC (LGEN)?
On an EBIT basis the return on assets of Legal & General Group PLC is 0.2% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Legal & General Group PLC (LGEN)?
The operating margin of Legal & General Group PLC is 13.4% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Legal & General Group PLC (LGEN)?
Revenue at Legal & General Group PLC is growing +15.3% versus a year earlier (3y avg +74.9%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Legal & General Group PLC (LGEN)?
Earnings per share at Legal & General Group PLC are growing +507% versus a year earlier. How much earnings per share grew versus a year earlier.
How much free cash flow does Legal & General Group PLC (LGEN) generate?
The free cash flow of Legal & General Group PLC is £4.5B (fiscal year 2025). The cash truly left after running and investing in the business, this is what pays dividends and buybacks.
How much net debt does Legal & General Group PLC (LGEN) carry?
The net debt of Legal & General Group PLC is £8.0B (fiscal year 2025, ≈ 1.8 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Broad data
Nov 10, 2026