Legal General Group Stock Buy Hold or Sell Recommendation

LGGNF Stock  USD 3.26  0.03  0.93%   
Assuming the 90 days horizon and your above-average risk tolerance, our recommendation regarding Legal General Group is 'Cautious Hold'. Macroaxis provides Legal General buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding LGGNF positions. The advice algorithm takes into account all of Legal General's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Legal General's buy or sell advice are summarized below:
Real Value
3.17
Hype Value
3.26
Market Value
3.26
Naive Value
3.21
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Legal General Group given historical horizon and risk tolerance towards Legal General. When Macroaxis issues a 'buy' or 'sell' recommendation for Legal General Group, the advice is generated through an automated system that utilizes algorithms and statistical models.
  
Check out Legal General Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
In addition, we conduct extensive research on individual companies such as Legal and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Legal General Group. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in board of governors.

Execute Legal General Buy or Sell Advice

The Legal recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Legal General Group. Macroaxis does not own or have any residual interests in Legal General Group or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Legal General's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Legal GeneralBuy Legal General
Cautious Hold

Market Performance

InsignificantDetails

Volatility

Relatively riskyDetails

Hype Condition

StaleDetails

Current Valuation

Fairly ValuedDetails

Odds Of Distress

LowDetails

Economic Sensitivity

Responds to the marketDetails

Analyst Consensus

Not AvailableDetails

Reporting Quality (M-Score)

InapplicableDetails
For the selected time horizon Legal General Group has a Mean Deviation of 2.01, Semi Deviation of 2.37, Standard Deviation of 2.56, Variance of 6.55, Downside Variance of 6.46 and Semi Variance of 5.62
We provide investment recommendation to complement the last-minute expert consensus on Legal General Group. Our dynamic recommendation engine harnesses a multidimensional algorithm to analyze the entity's potential to grow using all technical and fundamental data available at the time. To make sure Legal General Group is not overpriced, please verify all Legal General Group fundamentals, including its price to earning, cash per share, number of employees, as well as the relationship between the gross profit and book value per share . Given that Legal General Group has a price to book of 1.29 X, we recommend you to check Legal General market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your last-minute risk tolerance and investing horizon.

Legal General Trading Alerts and Improvement Suggestions

The company has accumulated 5.14 B in total debt with debt to equity ratio (D/E) of 4.52, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. Legal General Group has a current ratio of 0.88, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist Legal General until it has trouble settling it off, either with new capital or with free cash flow. So, Legal General's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Legal General Group sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Legal to invest in growth at high rates of return. When we think about Legal General's use of debt, we should always consider it together with cash and equity.
Legal General Group has accumulated about 24.77 B in cash with (169 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 4.18, which can makes it an attractive takeover target, given it will continue generating positive cash flow.

Legal General Returns Distribution Density

The distribution of Legal General's historical returns is an attempt to chart the uncertainty of Legal General's future price movements. The chart of the probability distribution of Legal General daily returns describes the distribution of returns around its average expected value. We use Legal General Group price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Legal General returns is essential to provide solid investment advice for Legal General.
Mean Return
0.08
Value At Risk
-3.58
Potential Upside
3.59
Standard Deviation
2.56
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Legal General historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Legal General Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Legal General or Financial Services sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Legal General's price will be affected by overall pink sheet market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Legal pink sheet's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over NYSE Composite
-0.09
β
Beta against NYSE Composite1.31
σ
Overall volatility
2.59
Ir
Information ratio -0.02

Legal General Volatility Alert

Legal General Group currently demonstrates below-average downside deviation. It has Information Ratio of -0.02 and Jensen Alpha of -0.09. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Legal General's pink sheet risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Legal General's pink sheet price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.

Legal General Fundamentals Vs Peers

Comparing Legal General's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Legal General's direct or indirect competition across all of the common fundamentals between Legal General and the related equities. This way, we can detect undervalued stocks with similar characteristics as Legal General or determine the pink sheets which would be an excellent addition to an existing portfolio. Peer analysis of Legal General's fundamental indicators could also be used in its relative valuation, which is a method of valuing Legal General by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Legal General to competition
FundamentalsLegal GeneralPeer Average
Return On Equity0.19-0.31
Return On Asset0.0034-0.14
Operating Margin(120.08) %(5.51) %
Current Valuation(5.1 B)16.62 B
Shares Outstanding5.97 B571.82 M
Shares Owned By Insiders0.96 %10.09 %
Shares Owned By Institutions47.61 %39.21 %
Price To Earning8.62 X28.72 X
Price To Book1.29 X9.51 X
Price To Sales2.06 X11.42 X
Revenue45.45 B9.43 B
Gross Profit4.44 B27.38 B
EBITDA3.14 B3.9 B
Net Income2.05 B570.98 M
Cash And Equivalents24.77 B2.7 B
Cash Per Share4.18 X5.01 X
Total Debt5.14 B5.32 B
Debt To Equity4.52 %48.70 %
Current Ratio0.90 X2.16 X
Book Value Per Share1.97 X1.93 K
Cash Flow From Operations(169 M)971.22 M
Earnings Per Share0.41 X3.12 X
Target Price14.0
Number Of Employees10.74 K18.84 K
Beta1.38-0.15
Market Capitalization18.28 B19.03 B
Total Asset582.64 B29.47 B
Z Score1.88.72
Annual Yield0.07 %
Five Year Return6.63 %
Net Asset582.64 B
Last Dividend Paid0.19

Legal General Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Legal . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About Legal General Buy or Sell Advice

When is the right time to buy or sell Legal General Group? Buying financial instruments such as Legal Pink Sheet isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.

Use Investing Ideas to Build Portfolios

In addition to having Legal General in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Electronic Equipment
Electronic Equipment Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Electronic Equipment theme has 61 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Electronic Equipment Theme or any other thematic opportunities.
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Check out Legal General Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
You can also try the Financial Widgets module to easily integrated Macroaxis content with over 30 different plug-and-play financial widgets.

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When running Legal General's price analysis, check to measure Legal General's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Legal General is operating at the current time. Most of Legal General's value examination focuses on studying past and present price action to predict the probability of Legal General's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Legal General's price. Additionally, you may evaluate how the addition of Legal General to your portfolios can decrease your overall portfolio volatility.
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Please note, there is a significant difference between Legal General's value and its price as these two are different measures arrived at by different means. Investors typically determine if Legal General is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Legal General's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.