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Barclays (LSE:BARC) is back on many investors’ screens after its latest reported figures showed £26,016m in revenue and £5,945m in net income. This has prompted fresh interest in how the share price lines up with those fundamentals.
See our latest analysis for Barclays.
At a share price of £4.862, Barclays has seen a 19.46% 90 day share price return and a 1 year total shareholder return of 68.05%. This suggests momentum has been building around the story, both on recent results and the longer term turnaround.
If Barclays’ recent run has caught your eye, it could be worth broadening your search to other banks and financials or casting the net wider across the market. If you are curious about what else is moving, now is a good time to broaden your investing horizons and check out fast growing stocks with high insider ownership
With Barclays trading at £4.862, an implied intrinsic discount of around 45% and only a small gap to analyst targets, investors are left with a key question: is there still a buying opportunity here, or is the market already pricing in future growth?
Barclays’ most followed narrative points to a fair value of £4.92, just above the current £4.86 share price. This frames the recent rally in a tight valuation range.
Investments in digital banking, client relationship growth, and acquisitions are boosting efficiency and expanding revenue in high margin, structurally growing segments. Strategic cost control, technology upgrades, and business mix improvements are driving consistently higher returns and strengthening long term earnings quality.
Read the complete narrative.
Curious what sits behind that near match between price and fair value? The narrative leans on steady top line expansion, firm margins and a richer earnings multiple. The model also builds in buybacks and a specific required return. Want to see exactly how those moving parts combine into that £4.92 figure?
Result: Fair Value of £4.92 (UNDERVALUED)
Have a read of the narrative in full and understand what’s behind the forecasts.
However, this depends on deposits remaining stable and credit quality staying resilient, with tougher competition or weaker conditions potentially putting pressure on margins and earnings.
Find out about the key risks to this Barclays narrative.
If you look at the numbers and reach a different conclusion, or simply prefer to test your own view, you can build a personalised Barclays story in just a few minutes with Do it your way
