Where do I see the Lloyds Banking Group (LON:LLOY) share price heading over the next few months? Well, it’s very difficult to say because these are not normal times. Between trade wars, recessions, Brexit, an unstable political climate and consumer apathy, share prices are incredibly volatile and can lurch up and down with no reflection on a company’s performance, sentiment or results.
So, based on normal times, given the bank’s most recent trading history, I’d say that Lloyds is a good investment that pays a strong dividend. I calculate that the shares I have purchased this year so far, when factoring in dividend and today’s stock price, will yield a 5% return.
Do I expect to see a 5% return on my investment? Probably not. As I’ve said these are not normal trading conditions and the ongoing Brexit uncertainty in the UK is taking it’s toll on everything from high street sales to house prices.
Truth be told I’m holding these for the long game so a 0.5% return would be fine with me, anything greater than a 1-2% decline will be a disappointment.