Lloyds Banking Group PLC ADR (LYG) fair value: what the stock is really worth
We calculate from audited financials what Lloyds Banking Group PLC ADR is really worth. The fair value tells you whether the price is too high or too low, the quality score (0 to 100) how solid the business behind it is. 26 models, 37 quality factors, updated daily, free.
- Compare price with fair valuebelow fair value = cheap, above = expensive
- Check the quality50 and up solid, 75 and up strong
- Watch it or check another stockalert when fair value or trend changes
At a glance
Lloyds Banking Group PLC ADR
LYG · US
Below-average quality, and trading another 54% above our fair value of $3.96.
As of Aug 31, 2026, the fair value of Lloyds Banking Group PLC ADR is $3.96 per share against a price of $6.08, so the fair value sits 35% below the price. A model estimate from reported figures, not an analyst target.
Fair value as of: Aug 31, 2026
From 6 valuation models · updated 7 days ago
Share price −1.4% over the past month.
What runs behind every stock
69 individual criteria per stock, every one traceable See the method →
What matters now
- The price sits above even our optimistic bull case ($4.95). The favourable scenario is already priced in.
- Solid but not exceptional quality (47/100) and above fair value, neither a clear bargain nor a standout compounder.
- For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 31, 2026.
How to read this chart
60‑month range $1.41 – $6.26 · fair‑value band $2.97 – $4.95 · the $6.08 price screens above the $3.96 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 1 fiscal year is left out: there the valuation rested on only a fraction of the usual models. Dashed = 300-day average. As of Aug 31, 2026.
Analysis
Lloyds Banking Group PLC ADR (LYG) currently trades at $6.08, while our model-based Fair Value estimate is $3.96, implying the stock looks roughly 53.5% overvalued today. The Quality Score stands at 47/100 (below-average quality), in the Financial Services sector. Bull case: the Multiples group reads highest at a median of $4.16 per share, and 0 of the 6 models we run sit above the $6.08 price. Bear case: the Dividend Discount group reads lowest at $2.16, and 6 of the 6 models stay below the price. Evidence for this calculation is high.
Revenue grew 11.5% year over year. It earns a return on equity of 10.8%. Net debt stands at $38.5B. The stock trades on a trailing P/E of 14.8. Fundamentals as of Aug 31, 2026
Scenario range: $2.97 (bear) to $4.95 (bull), the price of $6.08 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target. The share trades about 2% below its 52-week high and 59% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at −10% fair-value upside, at −35%, LYG screens richer than that median.
Fair Value models
Based on fiscal year 2025 figures (about 8 months old). Earnings retained since then ($0.1315 per share) are deliberately not added.
Each model values the company its own way; the fair value above is the evidence-weighted blend. Evidence (0 to 100) shows how complete a model's inputs are. How we calculate →
All 6 models by family
Widest divergence: Multiples ($4.16) versus Dividend Discount ($2.16). Highest evidence: Residual Income (75).
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Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 31, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 41 · Market factors (momentum, volatility) 75
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.
About the company
Lloyds Banking Group plc, together with its subsidiaries, provides a range of banking and financial products and services for retail and commercial customers in the United Kingdom. It operates in three segments: Retail; Commercial Banking; and Insurance, Pensions and Investments.
Full company description
Lloyds Banking Group plc, together with its subsidiaries, provides a range of banking and financial products and services for retail and commercial customers in the United Kingdom. It operates in three segments: Retail; Commercial Banking; and Insurance, Pensions and Investments. The Retail segment offers a range of financial service products, including current accounts, savings, mortgages, credit cards, unsecured loans, motor finance, and leasing solutions to personal customers. Its Commercial Banking segment provides lending, transactional banking, working capital management, debt financing, and risk management services to small and medium businesses, corporates, and institutions. The Insurance, Pensions and Investments segment offers insurance, investment, and pension management products and services. It also provides life assurance; and digital banking services. The company offers its products and services under the Lloyds Bank, Halifax, Bank of Scotland, Scottish Widows, MBNA, Schroders Personal Wealth, Black Horse, Lex Autolease, Birmingham Midshires, LDC, AMC, Embark Group, Lloyds Living, Cavendish Online, Tusker, and HGP brands. The company was formerly known as Lloyds TSB Group plc and changed its name to Lloyds Banking Group plc in January 2009. Lloyds Banking Group plc was founded in 1695 and is headquartered in London, the United Kingdom.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
Lloyds Banking Group PLC ADR reported revenue of $65.0B in FY2025 versus $18.7B in FY2021, a compound +36.5%/yr. Reported net income was $4.7B in FY2025, compounding −5.3%/yr from FY2021.
of which total revenue +8.8 % · buybacks/dilution +1.6 %
Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).
LYG screens 54% overvalued. Compare with DBS Group →
Peer Group
Banks - Regional · 1070 stocks
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.
Valuation Multiples vs Banks - Regional median · lower = cheaper
Context: sector, industry, market
- Is the Financials sector expensive or cheap?
- P/E, EV/EBITDA and margins by industry (reference tables)
- Undervalued stocks: US Stocks
- Valuation of the USA market
Strength profile in five axes (Snowflake)
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Banks - Regional stocks, each showing price versus our Fair Value estimate (as of Aug 31, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| DBS Group D05 | 75.65 SGD | 40.48 SGD | −46% |
| China Merchants Bank Co 3968 | HK$47.96 | HK$76.51 | +60% |
| Intesa Sanpaolo S.p.A ISP | €6.74 | €5.66 | −16% |
| HDFC Bank Limited HDB | $23.18 | $24.12 | +4% |
| BNP Paribas SA BNP | €104.54 | €144.64 | +38% |
| UniCredit S.p.A UCG | €84.71 | €77.62 | −8% |
| Mizuho Financial Group MFG | $10.74 | $9.69 | −10% |
| ICICI Bank Limited ICICIBANK | ₹1,423 | ₹835.21 | −41% |
| Oversea-Chinese Banking Corporation O39 | 31.07 SGD | 19.80 SGD | −36% |
| CaixaBank, S.A CABK | €13.52 | €8.85 | −35% |
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