The FTSE 100 has risen 28% over the last five years. However, some companies have done much better than others. In fact, more than a third have seen their shares rise 100% or more. I'm currently looking at some of your favourite blue chips and analysing their prospects for doubling your money in the next five years. Today, it's the turn of Barclays (LSE: BARC) (NYSE: BCS.US). The last five years Barclays staggered through the financial crisis of 2008/9. Nevertheless, in contrast to Lloyds and Royal Bank of Scotland, Barclays survived without requiring a government bailout. Yet, while taxpayer-supported Lloyds and RBS have seen their shares rise 35% and 2%, respectively, over the last five years, Barclays' shares have fallen 24%. Today The market is today valuing Barclays cheaper than Lloyds and RBS on two out of three value metrics shown in the table below. Recent share price Price/tangible book value Forecast P/E 2014 Forecast dividend yield 2014 (%) Barclays 236p 0.8 11.2 2.8 Lloyds 76p 1.5 9.7 1.4 RBS 377p 1.0 10.8 0.0 Barclays is rated more cheaply than its rivals on price/tangible book value and dividend yield. It is the most highly rated on current-year forecast P/E, but if we look on to 2015, it becomes the cheapest on that measure, too. The poor performance of Barclays' shares over the last five years and the current lowly valuation could provide a good springboard for future returns. The next five years
The 26 analysts offering 12 month price targets for Barclays PLC have a median target of 285.00, with a high estimate of 365.00 and a low estimate of 210.00. The median estimate represents a 22.69% increase from the last price of 232.30. View Full Financials
I hope my guess is right but it is a guess. You seem better informed so may be ill have to wait a year! Have a good week and hope its better for the Footsie...i shall be buying a couple of European funds but dollar hedged....GLA
Dividend growth has taken a back seat at Barclays in recent times as the firm has elected to shore up the balance sheet in line with regulatory requirements. Indeed, the company has undergone extensive cost-cutting and restructuring in a bid to build its capital base, and in the absence of sustained earnings growth elected to keep the full-year payout on hold last year at 6.5p per share.
But with the bank's transformation package paying off handsomely -- City analysts expect earnings to grow 21% and 29% in 2014 and 2015 respectively -- Barclays is expected to get dividends stomping higher again.
A 2% lift in the total payout is anticipated for this year, to 6.6p per share, and expectations of sustained bottom line growth is expected to drive the dividend 44% higher to 9.5p. As a consequence Barclays' yield is set to jump from 2.6% in 2014 to a mouth-watering 3.8% in 2015.
6.5p paid last year, if it's 6.6 this year, that works out as an increase of 1.5% but out of interest, where does your info come from? I am expecting increased profits in qQ4 and hoping for a 4p final which would be an increase of 7.5%. Excuse me if I have it wrong....
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