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The Markets
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Coverage of London’s small caps continues on proactiveinvestors.com
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The Markets
by Proactive
Proactive UK has moved.
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The Markets
by Proactive
Proactive UK has moved.
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Pharma & Biotech

Barclays’s figures will likely take Tuesday’s spotlight

Traders will be keen to see what Barclays has to say on dividends.

Investors will no doubt have their attentions firmly fixed on Barclays come Tuesday as it rounds off the series of big bank results.

With Lloyds and RBS last week it was very much a mixed bag.

On Friday, RBS (LON:RBS) shares sank over 8% as it unveiled its eighth annual loss after another round of write-downs, provisions and restructuring costs. The market did not seem impressed.

But Lloyds (LON:LLOY), on Thursday, saw its shares surge over 13% - the biggest intraday high for years - as it posted higher annual profits but took a £4bn hit for insurance mis-selling. Notably, it recommended a final dividend of 1.5p per share, resulting in a total annual pay-out of 2.25p. It also proposed a capital distribution in the form of a special dividend of 0.5p per share.

The Lloyds special divi was picked up on by commentators and traders will be keen to see what Barclays has to say on the matter next week.

At the start of 2015, it said it continued to target a 40-50% payout ratio but at the half-year, new chairman John McFarlane said the target for a particular ratio was being dropped. Consensus forecast is that management will pay the same 3.5p final dividend and 6.5p total payout as last year.

Pre-tax profit for the year is expected to come in at £6.1bn against an actual figure of £5.1bn at the nine month stage.

Also likely to be in the spotlight will be insurer Direct Line, Glencore and homebuilder Taylor Wimpey.

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