RE: Lloyds 50p + and stay there by the end of jan......23 Jan 2023 10:46
These 3 FTSE 100 stocks are my first buys of 2023
Next on my list is Lloyds (LSE: LLOY). Like GSK, the stock had a poor 2022, falling well over 10%. In fact, the last five years have been bleak for Lloyds shareholders.
However, I think now could be the time to buy. Firstly, in the short term, Lloyds is set to benefit from higher interest rates. With rates rising to counteract inflation, this allows the bank to charge customers more when they borrow.
The stock also has a low valuation, with its price-to-earnings ratio sitting at just 7.9. And with a dividend yield of 4.4%, I further like Lloyds.
The biggest challenge for the business is the recession that we’re currently facing. On top of this, as a mortgage lender it could it suffer. However, with its stock at 48p, I’ll be picking up some Lloyds shares.
Motley fool a couple of weeks ago......lol