|Bulgarian Property Developments
||EPS - Basic
||Market Cap (m)
Real-Time news about Bulgarian Prop. (London Stock Exchange): 0 recent articles
|markt: ...note that the listed co. Bulgarian Land have just announced revaluation of their holdings.....and have gone up ...and their share price rose accordingly...
...I reckon all or many Bulgarian development countries are seeing valuation uplifts........and that BPD will announce the same at some time....
take a look at the Bulgarian Land announcement.
|isa23: More Housing Shares To Avoid
By Maynard Paton
"Observation over many years has taught us that the chief losses to investors come from the purchase of low-quality securities at times of favourable business conditions. It is then, also, that common stocks of obscure companies can be floated far above tangible investment, on the strength of two or three years of excellent growth... Most of these fair weather investments, acquired at fair weather prices, are destined to suffer disturbing price declines when the horizon clouds over -- and often sooner than that."
So said Ben Graham in his masterpiece The Intelligent Investor. His advice would have steered investors far away from all the dotcom dross a few years ago. It should also prompt a wide berth from the embryonic, speculative and/or somewhat mysterious growth stories spawned by the current housing bubble, most of which will end up being the property equivalent of Jellyworks.
Stratospheric UK prices have prompted many adventurous landlords to search overseas for new properties. Enter Bulgarian Property Developments (LSE: BPD.L - news) (LSE: BPD), which claims now is a 'good time' to be buying Bulgarian homes because of the country's steadily growing economy, prospective EU membership and (up to) 12% rental yields.
BPD joined the stock market at the start of the year and aside from the money it raised, its main asset seems to be six plots of land near the Sofia ring road. BPD typifies that age-old bubble phenomenon of speculators piling into strange markets in distant lands and those tempted ought to read this first... then give the far-flung buy-to-lets a miss.
United Carpets is due to float anytime soon and could also come a cropper in a housing bust. United has in the last eight years created an estate of 50 shops selling carpets, wood floorings and beds. Assisted by a franchise system, the site count is expected to double by 2008.
But beware: if house prices go into reverse and mortgage equity withdrawals take a hit, spending on big-ticket home furnishings could very well evaporate. Beware too of Carpetright (LSE: CPR.L - news) (LSE: CPR), the sector leader that enjoys much greater management experience. A value of £20m is touted for United and going on market tradition, such a fast-growing specialist retailer will almost certainly sport a racy price to earnings ratio that allows plenty of downside.
Finally, Trading New Homes (LSE: TNH), which floated last week, is another likely to provide serious disappointment when the public loses its lust for property. Details on the company are sketchy, but essentially its plan is to 'actively trade' off-plan and new-build homes. Apparently, the firm's trick with off-plan properties is to buy in early to secure a decent discount from the developer, which should then help to produce a profit after they're built and sold on.
However, this so-called 'flipping' strategy seems a lot like the quick-buck 'stagging' that went on with Internet shares in the tech boom. The obvious problems with property 'trading' can be seen here and here... Suffice to say, anybody owning a collection of half-built homes when the housing music stops is in for big trouble.
Share Price Market
Bulgarian Property 57p £5m
United Carpets n/a £20m*
Trading New Homes 105p £11m
More: Other Housing Shares To Avoid|
|hectorp: I suppose it would be possible ( with compound growth of 20-30% a year for the next 3-4 years in property values?) of a share price of 2-3 quid.
I missed out and in fact never saw this share till yesterday.. so I'll be waiting for a chance to get in lower , in a few weeks perhaps.|
|dwelshmafia: is the best place to put your money in and bpd is the best play on the property for bulgaria.the weeknes in share price is due to the boys( market makers) shaking the tree to get the punters out,dont be put off by them sell was small to buyers.the mm's playing games for you to sell stock.this stock will be the best stock for 2005,come back in jan 2006 and you will see it 5 or 6 pounds with out fail.|
|ratters: Peter, fft et al,
Yes I now know that the airport expansion has actually started and I have been advised that there is a ring road of sorts.
Property prices in the airport area "have skyrocketed in the last year (actually not only there but everywhere in Bulgaria and especially in Sofia and the resorts). Actually a lot of buyers are from the UK as for the Brits the prices are still very low compared to Europe.
The real estate market is going crazy. There are people from everywhere in Europe buying land, buildings, houses and apartments like they havn't seen such things. It really is amazing. Just for your information the Brits visiting Bulgaria every year are at least 50-60% more than the previous year.
It seems they have found a substitution for Spain at a reasonable price and they buy summer houses or just invest their money.
There is also another Greek Property development company called Interlodgic Property which was listed on the Bulgarian Stock Exchange (BSE) 3 months ago
(they made an IPO in Bulgaria) and their share price went up by 1324%. Yes you saw the right figure - 1324 percent). From 40 leva a share they are trading today for 549.42 leva per share."
Above is quoted from my Bulgarian friend's e-mail last night.
I am sure he will not mind me quoting it to you all.|
Bulgarian Property Developments share price data is direct from the London Stock Exchange