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Morningstar

London Stock Exchange Group PLC LSEG Stock Quote

Morningstar Rating
| Rating as of

XLON: LSEG

Last close prices updated as of Jun 05, 2023, 5:39 PM BST | GBX
  • Last Close 84.94
  • Sector Financial Services
  • Industry Financial Data & Stock Exchanges
  • Investment Style Large Growth
  • Day Range 8,466.00  –  8,662.00
  • Year Range 6,710.00  –  8,893.86
  • Market Cap 4.7810 Tril
  • Volume / Avg 1.6 Mil /  2.1 Mil
  • Price / Sales 6.14
  • Price / Book 1.80
  • Forward Div Yield 1.26%
  • Trailing Div Yield 0.01%

Morningstar‘s Stock Analysis LSEG

Valuation
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Is it the right time to buy or sell?
Find out with Morningstar Investor
Is it the right time to buy or sell?
Find out with Morningstar Investor

1-Star Price

INVESTOR

5-Star Price

INVESTOR

Economic Moat

INVESTOR

Capital Allocation

INVESTOR

London Stock Exchange Group: Trading and Banking Turnaround Fully Established; Shares Undervalued

Niklas Kammer Equity Analyst

Analyst Note

| Niklas Kammer |

Wide-moat London Stock Exchange Group posted a good trading update with total income growing 7.5% to GBP 2,007 million roughly in line with GBP 1,980 million consensus estimate collected by the exchange group prior to the release. Continued good performance in the data and analytics segment (up 7.8% excluding Russia/Ukraine impact) and strong growth in posttrade (up 16.8%) on heightened market volatility in the quarter are noteworthy. The trading and banking solutions, respectively growing 2.6% and 3.1% organically, have now firmly established a growth trajectory. The supposedly bleak outlook of these business units has been one major argument brought forward by bears on LSEG for why the Refinitiv deal was ill-advised. We have continuously highlighted that although the transformation toward growth will not happen overnight, we believe that LSEG is well positioned to compete effectively in trading and banking. As LSEG continues to execute on its strategy, we see arguments justifying the discrepancy between LSEG's share price and our fair value estimate of GBX 9,800 per share dwindling. Shares remain undervalued. Our fair value estimate remains unchanged.

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Key Statistics LSEG

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Company Profile LSEG

Business Description

London Stock Exchange Group is a fully integrated financial exchange company covering the financial market value chain from primary and secondary markets across multiple asset classes over data, index and analytics down to clearing and post-trading reporting. With the acquisition of Refinitiv, LSEG generates about two thirds of its revenue from data and analytics including its FTSE Russell and WM/Refinitiv benchmarks as well as data feeds and terminals. The group is also a majority shareholder in Tradeweb, one of the dominant global fixed income trading venues, as well as LCH, the largest clearing house for over-the-counter swaps globally.

Contact
10 Paternoster Square
London, EC4M 7LS, GBR
Sector Financial Services
Industry Financial Data & Stock Exchanges
Employees 28,252

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Related News LSEG

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Competitors & Peers LSEG

More on LSEG’s Competitors & Peers

Morningstar analysts hand-select direct competitors or comparable companies to provide context on the strength and durability of LSEG’s competitive advantage.

London Stock Exchange Group PLC

XLON: LSEG

Intercontinental Exchange Inc

XNYS: ICE

Deutsche Boerse AG

XETR: DB1

MSCI Inc

XNYS: MSCI
Price
8,662.00108.32163.10480.81
Currency
GBXUSDEURUSD
Change
+$168.00 (1.98%) +$0.34 (0.31%) −$2.50 (1.51%) +$2.05 (0.43%)
Market Cap
4.78 Tril60.64 Bil29.97 Bil38.50 Bil
Industry
Financial Data & Stock Exchanges Financial Data & Stock Exchanges Financial Data & Stock Exchanges Financial Data & Stock Exchanges
Sector
Financial Services
Financial Services
Financial Services
Financial Services

* Trading data in this section is delayed by at least 15 minutes.

FAQs for London Stock Exchange Group PLC Stock

Yes. LSEG has a forward dividend yield of 1.26%. See LSEG’s full dividends and stock split history on the Dividend tab.
Dividend yield allows investors, particularly those interested in dividend-paying stocks, to compare the relationship between a stock’s price and how it rewards stockholders through dividends. The formula for calculating dividend yield is to divide the annual dividend paid per share by the stock price.

Learn more about dividend yield.

LSEG’s market cap is 4.78 Tril.
Market capitalization is calculated by taking a company’s share price and multiplying it by the total number of shares. It’s often used to measure a company’s size. In the Morningstar Style Box, large-cap names account for the largest 70% of U.S. stocks, mid-cap names account for the largest 70–90%, and small-cap names are the remaining 10% of companies.

Learn more about market capitalization.

LSEG’s stock style is Large Core.
Style is an investment factor that has a meaningful impact on investment risk and returns. Style is calculated by combining value and growth scores, which are first individually calculated.

High-growth stocks tend to represent the technology, healthcare, and communications sectors. They rarely distribute dividends to shareholders, opting for reinvestment in their businesses. More value-oriented stocks tend to represent financial services, utilities, and energy stocks. These are established companies that reliably pay dividends.

Learn more about style.

LSEG’s price/sales is 6.14.
Price/sales represents the amount an investor is willing to pay for a dollar generated from a particular company’s sales or revenues.

LSEG’s price/forward earnings is 60.20.
Forward P/E gives some indication of how cheap or expensive a stock is compared with consensus earnings estimates. The lower the Forward P/E, the cheaper the stock.

LSEG’s price/book is 1.81.
Price/book ratio can tell investors approximately how much they’re paying for a company’s assets, based on historical, rather than current, valuations. Historical valuations generally do not reflect a company’s current market value. Value investors frequently look for companies that have low price/book ratios.

See LSEG’s valuation ratios compared to the Market Index.

LSEG’s beta can be found in Trading Information at the top of this page.
A stock’s beta measures how closely tied its price movements have been to the performance of the overall market.

Compare LSEG’s historical performance against its industry peers and the overall market.