Investors interested in stocks from the Banks - Foreign sector have probably already heard of Lloyds (LYG) and Canadian Imperial Bank (CM) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight ...

Core Viewpoint - The article compares Lloyds (LYG) and Canadian Imperial Bank (CM) to determine which stock is more attractive to value investors, highlighting the importance of valuation metrics and analyst outlooks in making investment decisions [1][3]. Valuation Metrics - Lloyds has a forward P/E ratio of 10.01, while Canadian Imperial Bank has a forward P/E of 10.53, indicating that Lloyds may be undervalued compared to its peer [5]. - The PEG ratio for Lloyds is 0.91, suggesting a favorable growth outlook relative to its earnings, whereas Canadian Imperial Bank has a PEG ratio of 1.30, indicating a less attractive growth valuation [5]. - Lloyds also has a P/B ratio of 0.95, compared to Canadian Imperial Bank's P/B of 1.40, further supporting the notion that Lloyds is undervalued [6]. Analyst Outlook - Lloyds currently holds a Zacks Rank of 2 (Buy), indicating a positive earnings estimate revision trend, while Canadian Imperial Bank has a Zacks Rank of 3 (Hold), suggesting a less favorable outlook [3]. - Based on the combination of valuation metrics and analyst ratings, Lloyds is positioned as the superior value option compared to Canadian Imperial Bank [6].

Lloyds (LYG) could be a solid choice for investors given its recent upgrade to a Zacks Rank #2 (Buy). This upgrade is essentially a reflection of an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.The sole determinant of the Zacks rating is a company's changing earnings picture. The Zacks Consensus Estimate -- the consensus of EPS estimates from the sell-side analysts covering the stock -- for the current and following years is tracked by the system.Since a chang ...

Group 1 - The headline fourth quarter results for Lloyds Banking Group appear messy, with the company missing consensus on the bottom line due to provisions for potential motor commission claims [1] - The underlying performance suggests a long-term, buy-and-hold investment approach may be suitable, particularly for stocks that can sustainably generate high-quality earnings [1] Group 2 - The article emphasizes a focus on dividend and income stocks, indicating a preference for UK names alongside US/Canadian stocks [1]

Financial Performance - £0.8 billion additional revenues generated from strategic initiatives in 2024, surpassing the initial target of approximately £0.7 billion[40] - 12.3% Return on Tangible Equity (RoTE) achieved in 2024, with a target of over 15% RoTE by 2026[8] - Statutory profit after tax for 2024 was £4.5 billion, with underlying profit at £6.3 billion, reflecting a net income of £17.1 billion and a return on tangible equity of 12.3%[61][72] - Underlying net interest income of approximately £13.5 billion and operating costs of around £9.7 billion[89] - The Group's net revenue growth from 2021 to 2024 was approximately £2 billion, with £0.8 billion additional revenues from strategic initiatives[156] Shareholder Returns - £1.7 billion share buyback announced alongside a 15% increase in total ordinary dividend to 3.17 pence, totaling £3.6 billion in distributions for 2024[38] - A final ordinary dividend of 2.11 pence per share was recommended, resulting in a total dividend for the year of 3.17 pence, up 15% from the prior year[59] - Total ordinary dividend per share for 2024 increased by 15% to 3.17p, with £3.6 billion returned to shareholders[117] Customer Engagement - 28 million customers served, with around 23 million digitally active users, exceeding the 2024 ambition[25] - The mobile app has over 20 million users and 6 billion annual logins, with a 50% increase since 2021, enhancing customer engagement[76] - Digital user base reached 22.7 million, reflecting a growth in digitally active users[123] - The number of digitally active customers grew to 22.7 million, an increase from 18.3 million in 2021[170] Operational Efficiency - 17.5% reduction in legacy technology applications and over 30% reduction in data centers, enhancing operational efficiency[28] - Cost:income ratio targeted to be less than 50% by 2026[8] - The Group plans to achieve a cost:income ratio of less than 50% by 2026 through technology modernization and operational efficiencies[82] - The company achieved a 50% digitization rate for key servicing interactions in the small business deposit market, targeting to maintain this share by 2026[183] Capital Management - 148 basis points capital generation achieved in 2024, with a goal of over 200 basis points by 2026[8] - The Group's capital generation was 148 basis points, with a pro forma CET1 ratio of 13.5% after £3.6 billion of shareholder distributions[63][72] - Capital generation of greater than 200 basis points, with a CET1 ratio target of approximately 13.0%[89] - The Group announced a share buyback program of up to £1.7 billion, aiming to maintain a CET1 ratio of 13.5% by the end of 2024[59][63] Sustainable Financing - More than £20 billion provided for sustainable financing since 2022, surpassing the target of £18 billion[43] - The Group's sustainability goals include £11.4 billion of EPC A and B mortgage lending and £10.7 billion of sustainable financing in 2024[67][68] - The Group achieved £11.4 billion in EPC A and B mortgage lending by 2024, exceeding the £10 billion target[165] - £10 billion of sustainable finance provided for Commercial Banking customers in 2024[110] - The Group aims for over £21 billion in new sustainable financing targets by 2027 for EPC A and B rated mortgage lending and electric vehicle financing[147] - The Group has supported £47.3 billion of sustainable lending since 2022, with £17.5 billion in 2024 alone[147] - £9.4 billion was provided for financing battery electric and plug-in hybrid vehicles since 2021[170] Workforce and Diversity - 4,000 new hires into technology and data roles to drive growth and efficiency[32] - 40.4% of senior roles held by women and 12.6% held by Black, Asian, or Minority Ethnic colleagues in 2024[110] - The Mass Affluent customer base grew to over 3 million, with a 15% increase in banking balances since 2021[173] Market Position - Mortgage market share for total gross lending stood at 19.9%[125] - The market share in all issuer sterling debt capital markets increased from 6% to 10% since 2021[187] - The company improved its sterling interest-rate swap ranking from 7th in 2021 to 2nd in 2024[187] Cost Management - £1.2 billion of gross cost savings were achieved, alongside addressing a £7 billion pension deficit[157] - The company has achieved £1.2 billion in gross cost savings since 2021, with a 30% reduction in office footprint by 2024[194] Future Outlook - The Group aims to deliver over £1.5 billion in additional strategic initiative income by 2026, with a focus on high-value areas and digital solutions[77][83] - House prices expected to rise by around 2% in 2025, with consumer credit balances up 4.9%[120] - The company plans to implement Basel 3.1 regulations by January 2027, with an expected moderately positive initial impact[147] - The company announced a £500 million funding arrangement to support the retrofit of social housing in the UK[188] - The company has provided over £2 billion in lending to the social housing sector in 2024[189]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 Form 20-F ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR 12(g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended 31 December 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☐ SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commiss ...

Group 1 - The company is concluding the first phase of its five-year strategic transformation, with a focus on delivering strong outcomes for stakeholders and positioning for accelerated transformation in the second phase [2][3] - Financial performance for 2024 was robust and aligned with guidance, featuring a 15% increase in ordinary dividends and a share buyback of £1.7 billion, despite a £700 million provision [4]

Financial Data and Key Metrics Changes - Statutory profit after tax for 2024 was £4.5 billion, or £5 billion excluding the Q4 motor provision, equating to a return on tangible equity of 12.3%, or 14% ex-motor [19] - Net income for the full year was £17.1 billion, with a net interest margin of 2.95% and 9% growth in other operating income [20] - Operating costs for the year were £9.4 billion, up 3% year-on-year, with an impairment charge of £433 million, resulting in an asset quality ratio of 10 basis points [21][47] Business Line Data and Key Metrics Changes - Group lending balances increased to £459 billion, up £9 billion or 2% in the year, with strong mortgage growth of £6.1 billion [23][33] - Other asset books showed solid performance, with combined balances for cards, unsecured loans, and motor up £2.8 billion, or 8% [35] - Total deposits increased by over £11 billion, or 2%, to £483 billion, with retail balances up £11 billion [37] Market Data and Key Metrics Changes - The UK housing market showed signs of recovery, with the mortgage book growing by £6.1 billion in 2024 [33] - The macroeconomic outlook remains stable, with GDP growth forecasted at 1% for 2025 and modest house price growth of around 2% [60] Company Strategy and Development Direction - The company is in the first phase of a five-year strategic transformation, focusing on growth, efficiency, and digital leadership [2][76] - Strategic priorities include enhancing customer propositions, driving revenue growth, and maintaining cost efficiency, with a target of a cost-to-income ratio below 50% by 2026 [95] - The company aims to leverage technology and data to improve customer engagement and drive business outcomes [98] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in delivering higher, sustainable returns, with expectations for net interest income to grow to around £13.5 billion in 2025 [30][74] - The company anticipates further robust lending and deposit growth, despite some pressures from deposit churn and mortgage refinancing [31][74] - The management highlighted a supportive economic backdrop for growth, with a focus on high-value areas such as housing and infrastructure [108] Other Important Information - The company announced a final ordinary dividend of 2.11p per share, totaling 3.17p, which is a 15% increase from the prior year [70] - A share buyback of £1.7 billion was also announced, contributing to a total distribution of up to £3.6 billion for 2024 [71] Q&A Session Summary Question: What are the expectations for net interest income in 2025? - The company expects net interest income to grow to around £13.5 billion, up about £700 million from last year, supported by robust lending and deposit growth [30] Question: How is the company addressing the motor finance provision? - An additional £700 million provision was taken for potential remediation costs related to motor commission arrangements, following a recent court judgment [52] Question: What is the outlook for asset quality? - Asset quality remains strong, with an expected asset quality ratio of circa 25 basis points for 2025 based on stated economic assumptions [56]

Group 1 - The report titled "Enterprise Tech Ecosystem Series: Lloyds Banking Group Plc 2024" provides insights into Lloyds Banking Group's technology activities, including digital transformation strategies and innovation programs [1][4] - Lloyds Banking Group offers a wide range of financial services in the UK, including current and savings accounts, loans, mortgages, investment products, and insurance [2][3] - The company operates under various brands such as Lloyds Bank, Scottish Widows, and Halifax, distributing products through branches, ATMs, and digital channels [3] Group 2 - The report details Lloyds Banking Group's technology initiatives, including partnerships, product launches, investments, and acquisitions, along with insights on each initiative's objectives and benefits [4][5] - Key topics covered in the report include digital transformation strategy, innovation programs, technology focus, investments, acquisitions, and ICT budget [6] - A selection of companies mentioned in the report includes Cleareye.ai, Google Cloud, Visa, and Mastercard, indicating a broad network of partnerships and collaborations [6][7]

Core Insights - The report "UK Retail Banking: Competitor Benchmarking 2024" analyzes the financial performance of the top 15 banks in the UK, focusing on market shares and financial ratios of key retail banking products [1][6] - It evaluates customer satisfaction, Net Promoter Score, and the effectiveness of banks in cross-selling and upselling products [2][4] Financial Performance - Lloyds Banking Group leads the market share in main retail banking products, while challengers like Monzo and Starling are gaining ground [3] - Barclays experienced a significant decline in credit card market share, dropping nearly 10 percentage points from 2018 to 2023 [5] Customer Relationships - Starling is recognized as the top bank for Net Promoter Score, indicating strong customer relationships, whereas First Direct has the lowest customer confidence in achieving financial goals [4][5] - RBS recorded the lowest Net Promoter Score in 2024, with 30% of its customers identified as detractors [5] Customer Satisfaction - Overall satisfaction with branch and call center access has decreased annually since 2022, highlighting a growing concern among customers [4] - Digital problem resolution satisfaction is notably low, suggesting banks are not adequately addressing customer issues despite branch closures [4] Actionable Steps - The report provides insights into the successes and failures of each bank, along with recommendations for addressing shortcomings in customer service and product offerings [2][6]