On April 30, 2026, UBS upgraded Lloyds Banking Group plc (NYSE:LYG) to Buy from Neutral and raised its price target to 115 GBp from 110 GBp previously. The firm described the business as \u201cgrowing strongly\u201d while trading at an undervalued level.<\/p>\n
On April 29, 2026, Lloyds Banking Group plc (NYSE:LYG) reported Q1 EPS of 2.4p versus 1.7p last year and underlying net interest income of GBP 3.569B compared to GBP 3.294B. CEO Charlie Nunn said the group delivered \u201csustained strength\u201d in financial performance, with income growth, cost discipline, and strong profitability, while maintaining a resilient business model amid economic uncertainty and reiterating its 2026 outlook.<\/p>\n
![\"UBS](\"https:\/\/www.europesays.com\/ch\/wp-content\/uploads\/2026\/05\/e2ba6de6454304fc7896895c5897ae45.jpeg\")
UBS Upgrades Lloyds Banking Group (LYG) to Buy <\/p>\n
Image by MayoFi<\/a> from Pixabay<\/a><\/p>\n The company continues to expect underlying net interest income above GBP 14.9B, a cost income ratio below 50%, an asset quality ratio of about 25 basis points, return on tangible equity above 16%, capital generation above 200 basis points, and a CET1 ratio of around 13.0%.<\/p>\n Lloyds Banking Group plc (NYSE:LYG) provides banking and financial services to retail and commercial customers in the United Kingdom.<\/p>\n While we acknowledge the potential of LYG as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the\u00a0best short-term AI stock<\/a>.<\/p>\n READ NEXT:\u00a033 Stocks That Should Double in 3 Years<\/a> and Cathie Wood 2026 Portfolio: 10 Best Stocks to Buy<\/a>.\u00a0<\/p>\n