📢 Live Market News: Loading news...

With a 30% increase since the start of the year, does the Barclays share price still offer good value?


A person's hand puts the wood cube mass with the value of the floor on a wooden table

Photo source: Getty Images

To consider whether it is Barclays (LSE: Barc) The stock price represents a value for money, and I think it is reasonable to make a comparison with other banks. Fortunately, and London Stock Exchange It regularly publishes data that makes this possible.

Numbers

Based on its results during the past 12 months, Barclays has a price rate to profits from 8.2. Subordinate FTSE 100“Five five banks, and this puts it in third place in the league” licenses “schedule.

By moving to its public budget, a price ratio is 0.7, which means that the value of its assets (lower opponents) is 30 % lower than the current stock market evaluation (July 18). Here, it is better than all its peers except Carted Standard.

Input investors can look at the profit return to know the type of return they may get. Although there are never any guarantees when it comes to payments, Barclays revenue is less than all Footsie banks again, Standard Chartered.

Source: London Stock Exchange / ‘Eps’ = Arrow’s profitability / ‘ttm’ = late 12 months

So with this mixed image, where does this leave us?

What now?

We can look at the 12 -month -old goals for brokers to find out what they are thinking about. Of course, these are just expectations, but their average of 382.5 points means that Barclays shares are currently estimated at 10 %.

Encouraging, no one recommends their customers to sell stocks.

From FTSE 100 banks, only Natwist Group Not better with less than 17 % less than value.

In fact, brokers think that Standard Charreed shares are 9 % exaggerated, HSBCThe value is somewhat and that Lloyds Banking GroupThe maximum current market is 5 % lower than its real value.

Seeing wood for trees

Looking at this confused background, I think it is time to take a more subjective view rather than relying on the numbers.

In my opinion, there will always be a need for banks. All the new ones in the scene of the accident are relatively small and none of them are about to threaten “5 5” dominance in the United Kingdom.

But this does not mean that the industry does not face its challenges. There have been a lot of bank crises over the years with some prominent collapses. Many were forced to form their public budgets to ensure that they continue to meet their regulatory requirements.

And profits in the sector can be volatile. Bad loans is a special problem during economic shrinkage.

But I believe that the UK bank -industry – and Barkles in particular – is in good condition.

The latest financial stability report for England Bank says the Strip. “It maintains well, maintains liquidity functions and strong financing, and the quality of assets remains strong.

As for Barclays, the Q1 2025 results showed a 26 % increase in arrow’s profits compared to the previous year. It plans to increase its return on concrete stocks to more than 12 % by the end of 2026. In 2024, it was 10.5 %. With ownership rights more than 50 billion pounds, to improve 1.5 percentage points a significant impact.

It is recognized that this is not certain. But with an experienced president, a strong brand, and a strong public budget, I think it might meet this goal. So I plan to adhere to the presence of my shares. Other investors can think of adding stocks to their own portfolios.


CATEGORIES

JOIN NEWSLETTER

Subscribe to our newsletter.

Ready to get started, Get our Newsletter and join the Community!

More article.

Learn about new features from frequently asked question.