Barclays (BARC:GBX119.20) climbs 5.0% 02 July 2020

NEWS BITES - EUROPE

Dateline: Thursday July 02, 2020

Barclays PLC (L:BARC), the 3rd largest Bank by market cap in the United Kingdom, has climbed GBX5.66 (5.0%) from its previous trading session to close at GBX119.20. Compared with the FTSE 100 Index which rose 82.4 points (1.3%) in the day, the relative price increase was 3.6%. The volume was 0.4 times the average daily trading volume of 60.9 million shares. There were 22,720,000 shares worth GBP27.1 million (US$33.8 million) traded today.

Stock Summary (traded in GBP)

Currency1 GBP = 1.25 USD Dividend Yield2.5%
Jul 02 closeGBX119.20SectorBank
Ave Daily Volume60,942,846 sharesShares Outstanding17,341,638,892
52-Week Range73.04 - 192.96Market CapGBP20.7 billion [USD25.8 billion]
P/E14.6

ADR Summary (traded in USD)

Home ExchangeUnited Kingdom% of shares outstanding1.9%
CodeBCSRatio1 ADR equals 4 ordinary shares
ISINUS06738E2046TypeSponsored
CUSIP06738E204Jul 01 closeUSD5.62
*No. Held by Institutions80,576,082Ave Daily Volume4,590,388 ADRs
Number of shares equivalent322,304,32852-Week Range3.41 - 9.84

*Total ADRs Held by Institutions 80,576,082; equivalent to 322,304,328 Barclays Bank shares on issue. This represents 1.9% of total shares on issue.

Primary Exchange and Other Listings: Trading Currency and Volume (Excl ADR)

ExchangeTickerCurrencyLastADVTVol % of TotalToday's VI
LondonBARCGBX119.261,083,83699.60.4
XetraBCYEUR1.26119,7510.30.6
Total100.00

1 GBX [Pence Sterling]= 90.1758 EUR

ADVT= Avg. Daily Volume of Trading; VI= Volume Index (1 is avg)

Click here to export Financials table in xls

INDEX

SECTION 1 News In The Past Quarter

SECTION 2 Corporate Profile

SECTION 3 Today's Bullish Signals

SECTION 4 Ongoing Bullish Parameters

SECTION 5 Today's Bearish Signals

SECTION 6 Ongoing Bearish Parameters

SECTION 7 Insider Transaction

SECTION 8 Bank Metrics

SECTION 9 Barclays Preferred Shares

Click here to view the following

SECTION 10 Dividend

SECTION 11 News Archives (Aug 2018 - Mar 2020)

Glossary

SECTION 1 News In The Past Quarter

1.1 Share Capital

June 01: Barclays increases issued capital

Barclays (BARC.L) has announced an increase of 1,638,892 shares (or 0.01%) in total shares on issue from 17,340,000,000 to 17,341,638,892. The effective date is Sunday, May 31.

1.2 Meetings

April 07: Barclays announces AGM

Barclays has announced its Annual General Meeting will take place on Thursday, May 07.

SECTION 2 Corporate Profile

2.1 Activities

Barclays PLC provides various financial products and services in Europe, the United States, Africa, and Asia. It offers retail and commercial banking, credit cards, investment banking, wealth management, and investment management services. The companys products include current account and savings products, Woolwich branded mortgages, unsecured loans, protection products, general insurance, credit cards, Sharia-compliant products, installment finance and commercial property finance, commercial loans, and personal loans. It also offers money transmission, international and private banking, investment management, fiduciary, and brokerage services, as well as payment solutions and mobile banking services. In addition, the company provides fixed income, currency and commodities, foreign exchange, emerging markets, money markets, and credit services; equities, which include cash and equity derivatives and prime services; investment banking products and services that comprise financial advisory, and equity and debt underwriting; and advisory services. It serves individual, commercial, corporate, institutional, retail, and mass affluent customers. The company was formerly known as Barclays Bank Limited and changed its name to Barclays PLC in January 1985. Barclays PLC was founded in 1896 and is headquartered in London, the United Kingdom.

2.2 Contact Details

Websitehttp://www.barclays.com
Physical Address1 Churchill Place, Canary Wharf, London, E14 5HP, United Kingdom
Phone44-20-71161000
Fax44-20-71167665

2.3 Industry & Sector

Classification LevelName of Sector
Economic SectorFinancials
Business SectorBanking & Investment Services
Industry GroupBanking Services
IndustryBanks

SECTION 3 Today's Bullish Signals

3.1 Momentum Up 1.5% Past Week

Barclays outperformed the FTSE 100 index in 3 out of 5 days. The price ranged between a low of 110.98 on Friday, Jun 26 and a high of 114.5 on Monday, Jun 29.

DayBarclaysClose price [GBX]Price change %Relative change %Comment
WednesdayFalls for a second consecutive day, a two-day fall of 0.8%113.54-0.8-0.6Price fall on slipping relative strength
TuesdayDecreases, drops 2.1% for week114.42-0.10.8Price fall on slipping relative strength
MondayIn top 4% performers of FTSE 100 Index114.53.22.1Week-high of 114.5 Top Rise
FridayUnderperforms 86% of the market110.98-1.5-1.7Week-low of 110.98 Steepest Fall
ThursdayIncreases on rising relative strength112.620.70.3Price rise on beating relative strength

3.2 Rank in the top 21% by Relative Valuation in the United Kingdom market

DescriptionValueRank
Price to Book Value0.4In Top 14%
P/E * P/NTA5.4In Top 21%

3.3 Rank in the top 24% by Price Performance in the United Kingdom market

DescriptionValueRank
1-week Price Change %5.8In Top 9%
Price/MAP501.08In Top 24%

3.4 Uptrend

Today's Volatility:

Today its volatility (highest price minus lowest price/lowest price) of 4.9% was 1.4 times the average daily volatility of 3.5%, up from 3.0% on Wednesday and 2.9% on Tuesday. A rise in the price on high volatility is a bullish signal.

Beta > 1 combined with price rise. The Beta of the stock is 1.7.

Positive MACD:

- The Moving Average Convergence Divergence (MACD) indicator of 12-day Exponential Moving Average (EMA) of 115.73 minus the 26-day EMA of 115.27 is positive, suggesting a bullish signal. Both the 12-day EMA as well as the 26-day EMA are rising, another bullish signal.

3.5 Undervaluation

Price/Earnings:

Barclays stock is trading at the Twenty-third lowest P/E multiple in the FTSE 100 Index.

Dividend Yield > Bond Yield of 0.21%:

The dividend yield of 2.52% is 12.0 times the triple-A bond yield of 0.21%. The times factor of 12.0 is above the benchmark factor of 0.67 times set by Benjamin Graham.

(All figures in %)

Dividend Yield2.52
Bond Yield0.21
Spread2.31

SECTION 4 Ongoing Bullish Parameters

4.1 Present Value of GBP1000 Invested in the Past 3 Months; The Best Period with PVGBP1000 > 1,459

PVGBP1,0003 mo ago
BARC.LGBP1,460
Bank sectorGBP1,055
FTSE 100 IndexGBP1,139

4.2 Past quarter: price rise of 46%

3-Month price change of 46% for Barclays outperformed the change of 15.2% in the FTSE 100 index for a relative price change of 30.8%.

Price Change %Quarter
Barclays46
Bank sector5.5
FTSE 100 index15.2

4.3 Increased Volume, up 33% in 5 years

In the past five years, Average Daily Volume of Trading (ADVT) has increased 33.3% to 60.9 million shares.

Avg. Daily Volume Traded 12 months ended Jul 02, million shares

YearADVT
202060.9
201946.2
201847.8
201747.0
201645.7

4.4 Satisfies one criteria of Benjamin Graham

- The P/E of 14.6 multiplied by the P/NTA of 0.4 is 5.4. Being less than the Benjamin Graham benchmark of 22.5 the stock appears undervalued.

SECTION 5 Today's Bearish Signals

5.1 Momentum Down 0.3% Past Month

In the past quarter the steepest fall of 22.1% took place in the week beginning Monday March 30. The fall was exacerbated by volume of 2.1 times average.

The Worst 3 weeks in the past quarter:

Mon-FriChange %FTSE 100 index Change %RPC %Vol Ind [1 is avg]
Mar 30-Apr 03-22.1-2.9-19.22.1
Jun 08-12-10.9-5.9-5.11.2
May 11-15-7.3-2.1-5.31

5.2 Downtrend

Price/Moving Average Price of 0.84:

- The price to 200-day MAP ratio is 0.84, a bearish indicator. In the past 200 days this ratio has been under 0.84, 71 times suggesting further downside. The 50-day MAP of GBX110.62 is lower than the 200-day MAP of GBX141.98, another bearish indicator.

Past Month:

- Falls to Rises: In the past month the number of falls outnumbered rises 14:9 or 1.6:1.

Trailing Relative Strength (6 months) at 27 percentile:

- The stock has a 6-month relative strength of 27 in the United Kingdom market of 1,089 stocks, 5 units and 11 preference stocks indicating it is trailing 73% of the market.

5.3 Overvaluation

Price/Earnings of 14.6 > sector avg of 11.0:

- Price/Earnings of 14.6 versus sector average of 11.0 and market average of 11.0.

Dividend Yield of 2.5% < Index avg of 5.0%:

- The relative yield of the stock, defined by its yield of 2.5%, divided by average yield of dividend yielding stocks in the FTSE 100 Index of 5.0% is 50.5%. This suggests the stock is overvalued in dividend yield terms.

5.4 Other Bearish Signals

- Net profit margin has averaged 10.9% in the last 3 years. This is lower than the sector average of 15.9% and suggests a low margin of safety.

- As per the Du Pont analysis, Return on Equity is less than stellar at 3.7%. This is computed as net profit margin of 11.2% times asset turnover [sales/assets] of 0.02 times leverage factor [total assets/shareholders' equity] of 17.8.

SECTION 6 Ongoing Bearish Parameters

6.1 Past three-years

- The shares extended their fell from GBX13.67 (7.2%) 2 years ago to GBX24.33 (13.9%) a year ago.

6.2 Annualised Period-based Total Shareholder Returns [TSR %]: The Worst Periods with TSR < 2.5%

TSR %1 yr3 yrs5 yrs10 yrs20 yrs30 yrs
BARC.L-19.2-11.9-10.7-2.9-3.52.4

6.3 Present Value of GBP1000 Invested in the Past [1 Yr, 3 Yrs]; The Worst Periods with PVGBP1000 < 808

PVGBP1,0001 yr ago3 yrs ago
BARC.LGBP807GBP680
Bank sectorGBP780GBP321
FTSE 100 IndexGBP826GBP853

6.4 The Worst Periods [1 Yr, 3 Yrs] with Price Change % < -20.8

3-Year price change of -36.8% for Barclays underperformed the change of -14.7% in the FTSE 100 index for a relative price change of -22.2%.

Price Change %Year3 Years
Barclays-20.9-36.8
Bank sector-21.6-68
FTSE 100 index-16.8-14.7

6.5 Moving Annual Return of -18.9% in the past year:

Moving Annual Return was -18.9% in the past year. Based on a dynamic start date of 5 years ago, the real rate of return has averaged -5.8%. The Moving Annual Return has been negative in 4 out of 5 years.

BARCClose (GBX)Dividends (GBX)Capital Gain / (Loss) %% YieldAnnual Return %
Jul 02119.23(20.9)2(18.9)
1 Yr ago150.656.5(15.5)3.6(11.9)
2 Yrs ago178.383(5.4)1.6(3.9)
3 Yrs ago188.663472.349.3
4 Yrs ago128.365.5(45.9)2.3(43.6)

Close 5 years ago GBX237.43

6.6 MCap: 5-Year Decrease of GBP24 billion [USD299 million]

In the past 5 years Market Capitalization has decreased by GBP24 billion (54%) from GBP44.6 billion to GBP20.7 billion. Based on a dynamic start date of 5 years ago, there have been declines in MCap in 4 out of 5 years.

PriceMCap (GBP B)MCap (US$ B)
LastGBX119.2020.725.8
1 Year agoGBX150.6526.533.5
2 Years agoGBX178.3832.342.4
3 Years agoGBX188.6634.544.8
4 Years agoGBX128.3623.431
5 Years agoGBX237.4344.670.1

6.7 A 95.2% Increase in Insider Selling

In the past 5 years a total of 4,089,681 Barclays shares worth GBX798 million were sold by insiders. Based on a dynamic start date of 5 years ago, insider selling has averaged 817,936 shares per year. In the past year, insiders sold 645,712 shares, an increase of 95.2% from the previous year.

YearNo. of SharesValue, GBX
Jul 02, 2020645,71280,861,951
1 Yr ago330,75653,095,809
2 Yrs ago1,415,345290,788,406
3 Yrs ago1,218,837264,537,094
4 Yrs ago479,031108,694,888
Total4,089,681797,978,147

6.8 Declining VWAP, down 25% in 5 years

In the past five years Volume Weighted Average Price (VWAP) has decreased by 25.2% to GBX133.43. .

Past five years, 12 months ended Jul 02 (GBX)

YearHigh PriceVWAPLow Price
2020192.96133.4373.04
2019186.4161.05138.65
2018207.73187.24165.77
2017246.6182.79119.33
2016258.23178.28111.03

6.9 Declining share turnover

In the past five years, average daily share turnover has decreased 3.1% to GBP79.3 million (US$99 million). This suggests decreased liquidity.

Past five years, 12 months ended Jul 02 (GBP million)

YearAverage Daily Turnover
202079.3
201974.5
201889.5
201785.6
201681.8

6.10 Decrease in Institutional Ownership down from 2.4% to 1.9% (ADRs)

As at March 31, 2020 Institutions held 1.9% of total ADRs on issue; a decrease from 2.2% as at December 31, 2019 and 2.4% as at March 31, 2019.

Quarter-endMarch 31, 2019December 31, 2019March 31, 2020
Holdings (%)2.42.21.9

6.11 Satisfies 2 out of 9 criteria of Joseph Piotroski [pass mark 5]:

- Return on Assets improvement [from 0.1% to 0.2%].

- Improvement in current ratio from 82.4 to 98.

SECTION 7 Insider Transaction

7.1 Insider buying Summary in the past 12 months

NameNo. of SharesPrice, GBPValue, GBP
Dawn Fitzpatrick [Non-Executive Director]909,0001.71,549,629.2
Crawford Gillies [Non-Executive Independent Director]65,2910.957,798.2
Tim Breedon [Non-Executive Director]60,6600.955,993.9
Diane Schueneman [Non-Executive Director]7,7261.511,793.0
Ian Cheshire [Non-Executive Independent Director]6,3861.59,747.6
Mike Ashley [Non-Executive Director]5,4941.58,386.0
Matthew Lester [Non-Executive Director]5,0851.57,761.7
Mary Francis [Non-Executive Director]5,0101.57,647.3
Total1,064,6521.61,708,756.9

7.2 Dawn Fitzpatrick [Non-Executive Director] Reported Buying In The Past 12 Months

MonthNo. of SharesPrice, GBPValue, GBP
Oct '199090001.71,549,629.2

7.3 Crawford Gillies [Non-Executive Independent Director] Reported Buying In The Past 12 Months

In the past year shares bought per month averaged 5,441.

MonthNo. of SharesPrice, GBPValue, GBP
March 17, 2020600000.849,722.0
August 06, 201952911.58,076.2
Total: Crawford Gillies 65,2910.957,798.2

CRAWFORD GILLIES [NON-EXECUTIVE INDEPENDENT DIRECTOR] PREVIOUS 6 YEARS REPORTED BUYING

In the 6-year period 2014 to 2019 a total of 96,186 shares worth GBP192,114 were bought. In the past 6 years shares bought per year averaged 16,031.

YearNo. of SharesPrice, GBPValue, GBP
2019352911.655,488.20
201836941.97,003.80
2017NA--
2016113521.617,788.50
201558492.715,929.20
2014400002.495,904.00
Total96,1862.0192,114

7.4 Tim Breedon [Non-Executive Director] Reported Buying In The Past 12 Months

In the past year shares bought per month averaged 5,055.

MonthNo. of SharesPrice, GBPValue, GBP
Mar '20550000.947,354.5
August 06, 201956601.58,639.4
Total: Tim Breedon 60,6600.955,993.9

TIM BREEDON [NON-EXECUTIVE DIRECTOR] PREVIOUS 8 YEARS REPORTED BUYING

In the 8-year period 2012 to 2019 a total of 89,468 shares worth GBP161,722 were bought. In the past 8 years shares bought per year averaged 11,184.

YearNo. of SharesPrice, GBPValue, GBP
2019606601.698,762.40
201838591.97,316.70
2017NA--
2016105591.616,550.80
201559892.716,309.50
201430582.68,014.00
201333432.99,817.90
201220002.54,950.40
Total89,4681.81161,722

7.5 Diane Schueneman [Non-Executive Director] Reported Buying In The Past 12 Months

MonthNo. of SharesPrice, GBPValue, GBP
August 06, 201977261.511,793.0

DIANE SCHUENEMAN [NON-EXECUTIVE DIRECTOR] PREVIOUS 2 YEARS REPORTED BUYING

In the 2-year period 2018 to 2019 a total of 13,231 shares worth GBP22,230 were bought. In the past 2 years shares bought per year averaged 6,616.

YearNo. of SharesPrice, GBPValue, GBP
201977261.511,793.00
201855051.910,437.50
Total13,2311.6822,230

7.6 Ian Cheshire [Non-Executive Independent Director] Reported Buying In The Past 12 Months

MonthNo. of SharesPrice, GBPValue, GBP
August 06, 201963861.59,747.6

IAN CHESHIRE [NON-EXECUTIVE INDEPENDENT DIRECTOR] PREVIOUS 3 YEARS REPORTED BUYING

In the 3-year period 2017 to 2019 a total of 89,951 shares worth GBP176,527 were bought. In the past 3 years shares bought per year averaged 29,984.

YearNo. of SharesPrice, GBPValue, GBP
201963861.59,747.60
201835651.96,759.20
2017800002.0160,020.30
Total89,9511.96176,527

7.7 Mike Ashley [Non-Executive Director] Reported Buying In The Past 12 Months

MonthNo. of SharesPrice, GBPValue, GBP
August 06, 201954941.58,386.0

MIKE ASHLEY [NON-EXECUTIVE DIRECTOR] PREVIOUS 2 YEARS REPORTED BUYING

In the 2-year period 2018 to 2019 a total of 43,177 shares worth GBP65,578 were bought. In the past 2 years shares bought per year averaged 21,588.

YearNo. of SharesPrice, GBPValue, GBP
201954941.58,386.00
2018376831.557,191.50
Total43,1771.5265,578

7.8 Matthew Lester [Non-Executive Director] Reported Buying In The Past 12 Months

MonthNo. of SharesPrice, GBPValue, GBP
August 06, 201950851.57,761.7

MATTHEW LESTER [NON-EXECUTIVE DIRECTOR] PREVIOUS 2 YEARS REPORTED BUYING

In the 2-year period 2018 to 2019 a total of 8,816 shares worth GBP14,836 were bought. In the past 2 years shares bought per year averaged 4,408.

YearNo. of SharesPrice, GBPValue, GBP
201950851.57,761.70
201837311.97,074.00
Total8,8161.6814,836

7.9 Mary Francis [Non-Executive Director] Reported Buying In The Past 12 Months

MonthNo. of SharesPrice, GBPValue, GBP
August 06, 201950101.57,647.3

MARY FRANCIS [NON-EXECUTIVE DIRECTOR] PREVIOUS 2 YEARS REPORTED BUYING

In the 2-year period 2018 to 2019 a total of 8,679 shares worth GBP14,604 were bought. In the past 2 years shares bought per year averaged 4,340.

YearNo. of SharesPrice, GBPValue, GBP
201950101.57,647.30
201836691.96,956.40
Total8,6791.6814,604

7.10 Insider selling Summary in the past 12 months

NameNo. of SharesPrice, GBPValue, GBP
Paul Compton [COO]397,9291.2483,820.4
Total397,9291.2483,820.4

7.11 Paul Compton [COO] Reported Selling In The Past 12 Months

MonthNo. of SharesPrice, GBPValue, GBP
Mar '203979291.2483,820.4

PAUL COMPTON [COO] PREVIOUS 2 YEARS REPORTED SELLING

In the 2-year period 2018 to 2019 a total of 1,235,709 shares worth GBP2.4 million were sold. In the past 2 years shares sold per year averaged 617,854.

YearNo. of SharesPrice, GBPValue, GBP
20192307561.6368,748.10
201810049532.02,060,153.60
Total1,235,7091.972,428,902

SECTION 8 Bank Metrics

8.1 Bank Metrics (FY2018)

DescriptionGBP B FY2018GBP B FY2017]Change
Bank Revenue21.1 21.1 Up 0.3%

Favourable Changes:

- Bank Revenue up 0.3% from GBP21.1b to GBP21.1b

SECTION 9 Barclays Preferred Shares

9.1 Preferred Series

SymbolPreferreds Name
07GHBarclays Bank PLC
06GHBarclays Bank PLC
BB50Barclays Bank PLC
87PNBarclays Bank PLC

9.2 PV$1000 Comparison of Barclays Preferred Shares & Indices

PV$10001-week1-month1-year
BARC.L1,058997807

Glossary

ADVT: Average Daily Volume of shares Traded

Annual Return: Dividends Paid In a 12-Month Period/Price at the Beginning of the Period + Capital Gain or Loss over 1 Year/Price 1 Year Ago (%)

Current Ratio: Current Assets/Current Liabiliites (times)

Dividend Yield: Dividend Per Share/Share Price (%)

Income during the n years (3/2/1): Dividends received during the Period

Moving Average Price (n periods): Sum of Prices for each Period/Number of Periods

PV1000: Present value of 1000 invested 1 year/'n' years ago

Price Close/Moving Avg Price: Latest Price/Moving Average Price

Price/Earnings: Share Price/Earnings Per Share (times)

Price/NTA: Closing Share Price/Net Tangible Assets Per Share (times)

Relative Price Change [RPC]: Relative price change is price change of stock with respect to Benchmark Index

Relative Strength (6 Months): Price close today/Price close 6 months ago, then ranked by percentile within the entire market.

Return on Assets: Net Profit/Total Assets (%)

Return on Equity (Shareholders' Funds): Net Profit/Net Assets (%)

TSR: Total Shareholder Returns is expressed as an annualized rate of return for shareholders after allowing for capital appreciation and dividend

TTM: Trailing 12 Months

Volatility: Highest Price minus Lowest Price/Lowest Price (%)

Volume Index (VI): Number of shares traded in the period/Average number of shares traded for the period

Volume Weighted Average Price (VWAP): The Volume Weighted Average Price (VWAP) is the summation of turnover divided by total volume in the same period.

Created by www.buysellsignals.com