LSEG Shares Slip Despite Record Half-Year Results and Raised Guidance

London Stock Exchange Group (LON: LSEG) shares fell on Thursday, sliding over 3%, despite the exchanges and data group reporting record first-half results and upgrading its full-year guidance.

For the six months to 30 June 2026, LSEG posted total income excluding recoveries up 8.4% organically, with growth across all divisions: Data & Analytics rose 5.1%, FTSE Russell climbed 9.1%, Risk Intelligence gained 9.7%, and Markets surged 11.9%. Adjusted EBITDA jumped 14.1% on an organic basis, with margins expanding 260 basis points to 52.7%. Adjusted EPS rose 17.2% to 244.9p, while reported EPS jumped 33.5% to 163.8p.

The group also highlighted a record £2.1 billion returned to shareholders via buybacks in H1, with a further £1.35 billion planned by February 2027, alongside a 17% hike in the interim dividend to 55.0p per share.

WELCOME BONUS - Free Share Bundle When You Invest £50! Get up to £500 cashback for investing with IG.

Invest in 15,000+ shares and ETFs. Open an account now, invest at least £50, and you’ll get a free share bundle worth between £40 and £200. T&Cs apply.

5.0

Open Account Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 68% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.

Looking ahead, CEO David Schwimmer emphasised LSEG’s push into AI monetisation, citing strong uptake of its AI Search tool within Workspace and new partnerships with Amazon Quick and Google Gemini under its “LSEG Everywhere” data strategy.

Management raised full-year guidance, now targeting organic income growth of 7.0-7.5% and constant currency EBITDA margin expansion of around 100 basis points.

Despite the upbeat numbers, the share price decline suggests investors may have been pricing in even stronger figures, or are cautious about sustaining the pace of growth given tough comparatives, including the previously flagged SwapClear revenue-share change. Some analysts may also be questioning whether current valuations already reflect the AI-driven optimism management is projecting.

Nonetheless, with strong cash generation—equity free cash flow up 37% to £1.2 billion—and continued innovation across Markets and data businesses, LSEG remains a core holding for investors seeking exposure to financial market infrastructure.