Latest Ratios: P/E Ratio 16.8x · EV/EBITDA 15.7x · ROE 9.9%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $88.1B | $79.2B | $42.9B | $39.3B | $38.3B | $45.8B | $34.9B | $59.0B | $46.3B | $67.9B | $55.8B |
| Enterprise Value | $139.3B | $117.7B | $68.7B | $54.8B | $38.1B | $61.0B | $70.1B | $117.2B | $96.9B | $95.8B | $100.2B |
| P/E Ratio → | 16.82 | 19.63 | 10.88 | 7.97 | 11.00 | 8.50 | 40.83 | 23.64 | 11.64 | 22.06 | 25.83 |
| P/S Ratio | 1.02 | 1.22 | 1.14 | 1.16 | 1.84 | 2.45 | 1.87 | 2.38 | 2.14 | 2.86 | 2.29 |
| P/B Ratio | 1.42 | 1.66 | 0.93 | 0.83 | 0.87 | 0.86 | 0.71 | 1.23 | 0.92 | 1.38 | 1.14 |
| P/FCF | — | — | — | 29.00 | 2.11 | 13.49 | 1.44 | 7.52 | — | — | — |
| P/OCF | 15.24 | 18.28 | — | 5.77 | 1.74 | 6.91 | 1.29 | 5.23 | — | — | 26.91 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.81 | 1.83 | 1.62 | 1.83 | 3.26 | 3.75 | 4.73 | 4.49 | 4.04 | 4.11 |
| EV / EBITDA | 15.70 | 17.67 | 7.31 | 5.27 | 5.31 | 6.28 | 17.72 | 16.61 | 11.59 | 11.98 | 15.99 |
| EV / EBIT | 15.70 | 17.67 | 11.51 | 7.31 | 7.97 | 8.84 | 57.19 | 26.67 | 16.26 | 17.03 | 25.77 |
| EV / FCF | — | — | — | 40.48 | 2.10 | 17.99 | 2.89 | 14.95 | — | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 29.9% | 29.9% | 49.5% | 56.5% | 77.3% | 87.2% | 81.0% | 73.1% | 86.3% | 78.5% | 69.9% |
| Operating Margin | 10.2% | 10.2% | 15.9% | 22.1% | 23.0% | 36.9% | 6.6% | 17.7% | 27.6% | 23.7% | 15.9% |
| Net Profit Margin | 7.2% | 7.2% | 11.8% | 16.1% | 18.4% | 30.9% | 7.1% | 11.8% | 20.4% | 16.5% | 8.5% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 9.9% | 9.9% | 9.5% | 12.0% | 7.9% | 11.3% | 2.7% | 6.0% | 8.9% | 8.0% | 4.3% |
| ROA | 0.5% | 0.5% | 0.5% | 0.6% | 0.4% | 0.7% | 0.2% | 0.4% | 0.5% | 0.5% | 0.3% |
| ROIC | 3.6% | 3.6% | 3.3% | 4.1% | 2.6% | 3.4% | 0.6% | 2.1% | 3.1% | 3.0% | 2.0% |
| ROCE | 1.6% | 1.6% | 1.5% | 1.9% | 1.2% | 1.7% | 0.3% | 1.2% | 1.7% | 1.5% | 1.0% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.99 | 1.99 | 1.93 | 1.98 | 2.09 | 1.73 | 2.20 | 2.38 | 2.11 | 1.77 | 1.90 |
| Debt / EBITDA | 14.28 | 14.28 | 9.42 | 9.00 | 12.79 | 9.44 | 27.48 | 16.11 | 12.67 | 10.90 | 14.77 |
| Net Debt / Equity | — | 0.80 | 0.56 | 0.33 | -0.00 | 0.29 | 0.71 | 1.22 | 1.01 | 0.57 | 0.91 |
| Net Debt / EBITDA | 5.78 | 5.78 | 2.75 | 1.49 | -0.03 | 1.57 | 8.89 | 8.25 | 6.06 | 3.49 | 7.08 |
| Debt / FCF | — | — | — | 11.48 | -0.01 | 4.50 | 1.45 | 7.42 | — | — | — |
| Interest Coverage | 0.39 | 0.39 | 0.31 | 0.51 | 1.01 | 2.89 | 0.34 | 0.66 | 2.02 | 1.10 | 0.53 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.12 | 0.12 | 0.14 | 0.17 | 0.19 | 0.17 | 0.16 | 0.13 | 0.13 | 0.14 | 0.12 |
| Quick Ratio | 0.12 | 0.12 | 0.14 | 0.17 | 0.19 | 0.17 | 0.16 | 0.13 | 0.13 | 0.14 | 0.12 |
| Cash Ratio | 0.11 | 0.11 | 0.13 | 0.16 | 0.19 | 0.16 | 0.16 | 0.12 | 0.12 | 0.13 | 0.11 |
| Asset Turnover | — | 0.07 | 0.04 | 0.04 | 0.02 | 0.02 | 0.02 | 0.03 | 0.03 | 0.03 | 0.03 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.9% | 2.5% | 5.4% | 4.2% | 3.8% | 1.9% | 1.3% | 3.9% | 4.8% | 3.4% | 3.6% |
| Payout Ratio | 42.0% | 42.0% | 52.6% | 30.2% | 38.5% | 15.2% | 34.4% | 79.0% | 50.8% | 58.4% | 97.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 5.9% | 5.1% | 9.2% | 12.6% | 9.1% | 11.8% | 2.4% | 4.2% | 8.6% | 4.5% | 3.9% |
| FCF Yield | — | — | — | 3.4% | 47.4% | 7.4% | 69.5% | 13.3% | — | — | — |
| Buyback Yield | 2.5% | 2.1% | 4.7% | 5.1% | 5.3% | 0.0% | 0.0% | 1.9% | 2.2% | 0.0% | 0.0% |
| Total Shareholder Yield | 5.4% | 4.6% | 10.1% | 9.3% | 9.1% | 1.9% | 1.3% | 5.8% | 7.0% | 3.4% | 3.6% |
| Shares Outstanding | — | $14.9B | $15.8B | $16.4B | $17.4B | $17.9B | $17.8B | $17.8B | $18.1B | $18.1B | $18.0B |
UK Mortgage Market Concentration
According to recent market data, Lloyds trades at a P/B of 1.35, which appears elevated relative to its peers and historical performance, suggesting that investors may be pricing in a recovery in profitability that is not yet supported by the bank's current return on equity metrics.
The current P/B multiple implies an expectation of future ROTCE expansion that seems disconnected from the bank's recent earnings volatility. Investors should monitor whether this valuation premium is a reflection of the bank's dominant UK deposit franchise or merely a mispricing of the risks inherent in its mortgage-heavy balance sheet.
Based on reported financial figures, the bank's ROE has remained consistently low, fluctuating between 1.4% and 3.2% over the last ten quarters, which indicates that the core profitability engine is currently strained by both margin compression and an inability to leverage the balance sheet effectively.
The decomposition of ROE suggests that the bank's reliance on non-interest income has become a primary, albeit volatile, driver of performance. This shift away from traditional interest-bearing lending activities may indicate that the bank is struggling to maintain its historical profitability quality in a competitive UK retail environment.
As indicated by the 2025Q4 data, the efficiency ratio reached a concerning 96.1%, which suggests that nearly all revenue is being consumed by operating expenses, a trend that highlights significant challenges in managing the bank's legacy cost base while attempting to transition toward a digital-first model.
The extreme volatility in the efficiency ratio warrants further investigation, as it may be masking underlying structural costs associated with the bank's physical branch network. The inability to maintain a stable efficiency ratio suggests that the bank's operating leverage is currently working against its profitability goals.
Based on a comparison with NatWest Group, Lloyds appears to be trading at a valuation premium despite lagging in key profitability metrics like ROE, which suggests that the market may be misinterpreting the bank's structural advantages in the UK retail deposit market.
While NatWest demonstrates a more efficient conversion of assets into earnings, Lloyds' valuation remains anchored by its perceived moat in current accounts. Investors should monitor whether this gap is structural or if the market is simply overestimating the long-term value of the bank's specific retail distribution strategy.
The P/E ratio is frequently misapplied to Lloyds, as it fails to account for the significant volatility in impairment charges and fair value adjustments that distort earnings, making the P/TBV a more reliable metric for assessing the bank's true valuation and capital adequacy.
Using P/E to value a bank with such high sensitivity to IFRS 9 impairment modeling often leads to misleading conclusions about its earnings power. Analysts should instead focus on P/TBV and the sustainability of the structural hedge to better understand the bank's underlying value proposition.
Includes 30+ ratios · 30 years · Updated daily
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Compare growth, multiples, and margins vs sector.
Quick answers to the most common questions about buying LYG stock.
Lloyds Banking Group plc's current P/E ratio is 16.8x. The historical average is 26.9x. This places it at the 45th percentile of its historical range.
Lloyds Banking Group plc's current EV/EBITDA is 15.7x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 27.2x.
Lloyds Banking Group plc's return on equity (ROE) is 9.9%. The historical average is 13.6%.
Based on historical data, Lloyds Banking Group plc is trading at a P/E of 16.8x. This is at the 45th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Lloyds Banking Group plc's current dividend yield is 2.88% with a payout ratio of 42.0%.
Lloyds Banking Group plc has 29.9% gross margin and 10.2% operating margin. Operating margin between 10-20% is typical for established companies.
Lloyds Banking Group plc's Debt/EBITDA ratio is 14.3x, indicating high leverage. A ratio above 4x may signal elevated financial risk.