Bellway Share Discussion Threads

[1gw] 09/6/2016 07:06

Pretty good statement, including:

"Notwithstanding the uncertainty surrounding the impending EU referendum, the
Group has not experienced any noticeable effect on trading, with customer
confidence continuing to be strong and the cancellation rate remaining low..."

[1gw] 08/6/2016 13:44

All gone very quiet over here. Has everyone else sold out?

TU tomorrow.

[steeplejack] 19/4/2016 08:47

A technical support level of £22-85 would appear to be under pressure,suggesting that the stock could fall through £20.
JPMorgan have a target price of £33, Citigroup £30,forecasts made on April 1st(an April Fools perhaps)Deutshe have a target of £27.
PE around 10,PEG of 0.23,yield of around 3.8% with an XD on 19 May of some 34p.There are no discernible short positions.The volume attached to the share decline is fairly average but further falls of some 10% will see the stock hit 12 month lows.The stock is weaker than its sector peers.

The stock looks well oversold to me but the environment with the Referendum pending is unhelpful.If we vote to stay in EU,would expect a pronounced recovery in the share price.I'm not selling,in fact any further weakness and I'll look to buy.

[sharestobuy] 19/4/2016 08:21

I'm not sure whether or not to sell this? Any advice?

[steeplejack] 14/4/2016 09:57

Bellway

Housebuilder Bellway (LSE:BWY) has been a relatively poor performer in recent years. Shares in the firm have risen by 266% since 2011, compared to 358% for Taylor Wimpey and 405% for Barratt Developments.

Bellway's 3.6% forecast yield also lags behind the 5% to 6% yields available from most of the other big housebuilders. Despite a booming housing market, Bellway has failed to build up a cash pile. Net debt is actually rising.

The good news is that Bellway's profits are still growing strongly. Earnings per share are expected to rise by 27% in 2016. The firm's operating margin has caught up with peers and is now nearly 22%.

If this strong momentum can continue for another couple of years, then Bellway shares could deliver a respectable profit from here. However, in my view it could be too late in the housing cycle for this to be a safe bet.

I rate Bellway as a hold, rather than a buy.

Motley Fool April 2016

In addition to this somewhat unenthusiastic commentary ,some fund managers are drawing attention to the fact that Bellway trades on two times book which they feel is too high.

[steeplejack] 11/4/2016 13:32

Being traded within a 10% range roughly between £24 to £27,not out of line with the sector.Don't see changing til Referendum out of the way.

[sharestobuy] 11/4/2016 12:59

This recently has turned into a very poor share. Doesn't seem to be going places at all.

[bigbertie] 08/4/2016 10:55

Deutsche on 2,736p though.

Edit - mind you even 2,736 would be welcome today!

[sharestobuy] 07/4/2016 00:49

It's frustrating when you see short term target prices of £33 and £37 a share but never getting close to hitting them. I don't understand what's stopping these from rising alot further. We have had alot of good news and have proven we are still growing as a business

[steeplejack] 31/3/2016 09:05

FT carrying article about how £120m was pulled out of property funds in February as investors became nervous of a correction in the UK property market.These redemptions have clearly obliged fund managers to top slice property holdings and this has probably washed through to effect building companies in the last month or so.

[sharestobuy] 29/3/2016 12:22

Thank you. Much appreciated

[glaws2] 29/3/2016 12:04

sharestobuy

1/7 and 19/5 respectively

[sharestobuy] 29/3/2016 11:43

When is bellways dividend pay date? Does anyone know what date you have to be on the company register in order to receive the dividend? Thanks

[steeplejack] 23/3/2016 23:01

Bellway's shares gained on Tuesday as Canaccord Genuity reiterated its 'buy' rating and 3,390p target price after the housebuilder's first half profits beat expectations.

In the six months to the end of January, pre-tax profit rose 42.6% to £226.6m, beating Canaccord's forecast of £216m.

Revenue rose 30.5% to £1.08bn as the number of homes sold was increased 11.6% to 4,188 compared with 3,754 the year before, while the average selling price increased 17.3% to £257,280.

Earnings per share came in at 148.7p from 103.5p in the same period a year ago and the company lifted its interim dividend 36% to 34p per share.

The interim dividend was raised 36% to 34.0p.

Bellway said the outlook was positive and housing completions for the full year are expected to increase by at least 10%, as is the average selling price. The operating margin, meanwhile, should approach 22% for the full year.

"We would expect consensus PBT to move up by around +5% on the back of these results. Reassuring set of results and outlook comments overall," said Canaccord analysts Aynsley Lanmin and Matthew Walker.

[deadly] 22/3/2016 09:54

Yes excellent results.
Now wait for Taffee to spout his mad Armageddon stuff.

[1gw] 22/3/2016 07:10

Excellent interim statement as far as I can see. Good news on margin, ROCE, eps, dividend and debt.

Disposal of Barking Riverside looks reasonable.

Comments on London look positive.

Outlook is good.

[1gw] 18/3/2016 16:49

Heck of a closing auction by the look of things. 858k traded at £24.42.

[steeplejack] 07/3/2016 16:15

Other sites,talking about exposure to Nine Elms but it doesn't fully explain the retreat.Goldmans share price target of £34-85p put out but a month ago.No shorts of any significance that I can see.

[steeplejack] 07/3/2016 15:56

So how low do the technical signals suggest this could go ? £20 ?

[sharestobuy] 04/3/2016 11:02

Thanks for the reply. I'm happy to hold. I bought in at the 24.00 level so broken even now but I do feel this should be in the 30.00 pound level right now so it's just a matter of time I guess

[steeplejack] 04/3/2016 10:33

I think the referendum is overshadowing the sector,uncertainty etc.Perhaps there's also switching going on,out of the past strong sectors,building,breweries etc into bombed out areas like mining,oils.I'd suggest that there's s bit of shorting as well.When the building sector turns,the movements can be dramatic but the current ratings,PE,PEG and a reasonable yield,all suggest that Bellway,TW etc,remain solid value.Irritating more than concerning.

[sharestobuy] 04/3/2016 09:51

Agreed. I don't understand the recent downtrend here when the company is doing so well. Can anyone explain?

[steeplejack] 04/3/2016 09:34

Broken down through support.Not good.

[steeplejack] 26/2/2016 09:45

Simply posting here because the "new post" isn't possible to access on the other thread.Flirted with breakdown through the 2470 support level but that has now been reinforced.Hopefully,the recovery will now be consolidated.It's been a sector retracement.