10 Best Bank Penny Stocks to Buy Now

4. Lloyds Banking Group plc (NYSE:LYG)

Number of Hedge Fund Holders: 12

A prominent U.K. financial institution since 2009, Lloyds Banking Group plc (NYSE:LYG) offers a comprehensive suite of banking and financial services. Through dedicated divisions, the company serves individuals and businesses of all sizes. Retail customers get everyday banking solutions, while Commercial Banking caters to mid-sized and larger companies. Meanwhile, Insurance & Wealth helps clients with financial planning, and the “Other” segment covers trading activities and one-time gains.

Lloyds Banking Group plc’s (NYSE:LYG) Q1 2024 results met expectations despite a slight dip in profitability. The company’s other income rose by 7% due to increased activity and strategic initiatives. Asset quality remained strong with a low impairment charge. Loans and deposits experienced minor reductions.

Lloyds Banking Group is expected to generate an additional 300 million pounds ($380 million) in annual revenue from its UK business banking unit by 2026, according to CEO Charlie Nunn. This forecast comes as corporate confidence in Britain rises despite existing challenges.

Analysts’ price targets for Lloyds Banking Group plc (NYSE:LYG) stock are clustered around $3, with a high of $3.53 and a low of $2.49. This suggests an upside potential from the current price levels. Moreover, 9 analysts have given a rating of “Buy” to Lloyds Banking Group plc (NYSE:LYG) stock.

Of the 920 funds being tracked by Insider Monkey at the end of Q1 2024, 12 reported owning a stake in Lloyds Banking Group plc (NYSE:LYG). English Capital Management was the leading hedge fund investor letter in the company.