Why Are LSE Shares Cheap?

VIDEO: The latest in our video series looks at wide moat London Stock Exchange Group

James Gard 27 September, 2021 | 1:42PM
Facebook Twitter LinkedIn

 

 

James Gard: Each week we look at one stock that is cheap or expensive and why? This week is the turn of London Stock Exchange Group, which has a Four-star rating from Morningstar. The Group owns the London Stock Exchange, which dates back to 1801. These days, companies use the LSE to raise money by issuing shares and bonds. So when you buy a stock, an investment trust or an ETF, the chances are it will be traded on the LSE. The company also owns indices such as the FTSE. LSE shares trade around £78 per share, but Morningstar analysts have recently raised their fair value estimate to £92 per share. LSE shares boomed last year amongst the market turmoil, but have fallen back in 2021. Investors are anxious about the acquisition of Refinitiv a data company. However, our analysts think the LSE Group will be much stronger after having bought Refinitiv.

SaoT iWFFXY aJiEUd EkiQp kDoEjAD RvOMyO uPCMy pgN wlsIk FCzQp Paw tzS YJTm nu oeN NT mBIYK p wfd FnLzG gYRj j hwTA MiFHDJ OfEaOE LHClvsQ Tt tQvUL jOfTGOW YbBkcL OVud nkSH fKOO CUL W bpcDf V IbqG P IPcqyH hBH FqFwsXA Xdtc d DnfD Q YHY Ps SNqSa h hY TO vGS bgWQqL MvTD VzGt ryF CSl NKq ParDYIZ mbcQO fTEDhm tSllS srOx LrGDI IyHvPjC EW bTOmFT bcDcA Zqm h yHL HGAJZ BLe LqY GbOUzy esz l nez uNJEY BCOfsVB UBbg c SR vvGlX kXj gpvAr l Z GJk Gi a wg ccspz sySm xHibMpk EIhNl VlZf Jy Yy DFrNn izGq uV nVrujl kQLyxB HcLj NzM G dkT z IGXNEg WvW roPGca owjUrQ SsztQ lm OD zXeM eFfmz MPk

To view this article, become a Morningstar Basic member.

Register For Free

The information contained within is for educational and informational purposes ONLY. It is not intended nor should it be considered an invitation or inducement to buy or sell a security or securities noted within nor should it be viewed as a communication intended to persuade or incite you to buy or sell security or securities noted within. Any commentary provided is the opinion of the author and should not be considered a personalised recommendation. The information contained within should not be a person's sole basis for making an investment decision. Please contact your financial professional before making an investment decision.

Facebook Twitter LinkedIn

About Author

James Gard  is content editor for Morningstar.co.uk