The amount of £ 10,000 invested in Lloyds shares is forecast to be worth 12 months

Lloyds (LSE: Lloy) The actions have had turbulent time lately, along with almost any other Ftse 100 stock.

But during the last year, the trip has not been too bad. Despite 11% fall in the last week, Lloyds is still in a gain of 22% for 12 months.

Add a dividend yield of around 4.75%, and the investors that have been maintained have enjoyed a total yield that is approaching 27%.

It is not bad at all, especially given the chaos out there.

Is this purchase of FTSE 100 shares?

Global commercial concerns and political tensions have backed away Lloyds, as it was reaching.

Markets welcomed his results of the whole year published on February 20, choosing to look at the concerns beyond the incorrect sale scandal of the engine finance and focus on the considerable program of repurchase of shares of £ 1.7 billion of the Board, a sign of safe confidence.

However, the numbers were not perfect. Annual earnings fell 20%. The margins of net interests, the difference between what Lloyds paid the savers and charges the borrowers, and a key profitability metric, fell 16 basic points to 2.95% as interest rates began to relieve.

That is something to see, especially if the Bank of England reduces rates faster than expected in response to recent economic turbulence. Some now predict four cut -off rates cuts this year, while only two predicted predicted.

On the other hand, lower interest rates can lift the demand for the mortgage, which increases the demand of Lloyds as the number one lender in the United Kingdom through the Halifax subsidiary.

Lloyds also reserved £ 700 million more for possible engine finance compensation, pushing the total provision towards £ 1.15 billion. There is still a lot of uncertainty about how it will be developed, with a key decision of the Court that is due to this month.

As a bank mainly focused on the United Kingdom, it will not be directly affected by tariffs, but if the United Kingdom's economy slows down, people can borrow less, fight to make payments and reduce their savings. All of which exerts pressure on banks such as Lloyds.

Even so, there are reasons for cautious optimism. The 17 analysts who have crunch the numbers think that Lloyds' actions could be worth a little less than 79p in 12 months.

Growth, dividends and repurchases

That would be an increase of more than 18% of the 67p today. Combine that with the dividend yield of 5.25% forecast by 2025, and an investor is considering a total yield of around 23.25%.

If it is correct, that would turn £ 10,000 into £ 12,235. That doesn't sound bad.

Forecasts like these should be taken with a healthy salt pin, especially today. Many made before the recent sauce on the market, and feeling can change rapidly. But for long -term investors, moments such as this can offer rare opportunities to collect quality income with a discount. Lloyd's shares look good with a 10.2 Price Price ratio.

I maintain that Lloyds shares me and I have no plans to sell. I am thinking of years, and with luck decades, not days or weeks.

Investors focused on constant dividends and patient growth could consider taking advantage of recent volatility. Although they should prepare for more ups and downs, while we wait to see how commercial wars are operated. Not to mention that case of incorrect sale. I could go anyway. At the longest, I'm still optimistic.