|I bought into RDW to sit alongside BDEV in my portfolio - this morning RDW is reflecting BDEV's good Interims. Both charts are looking good - if it does go pear-shaped I think I will be out before 420p, but Stop-Losses are pretty personal...As ever we climb a "wall of worry"; interest rate increases, commitment confidence, government policy impact - but I am not worrying much about my Housebuilders!Cheers, tightfist|
|Good to see you here Grindertrade - a good pick imho!|
|Good afternoon. I am new to this board and a New Buy for me at 486p with a Stop at 420p. (Yes I use Stops during initial purchase..don't judge me ;)
Rolling Ratios are very positive ROCE 21%, ROE 23%, Good margins at 29% and quite high in it's sector. Yield 3%.
I guess I could rattle on a few more figures however I see The_Equaliser has summed up the outlook and progress quite well.
I required a housing sector to balance and diversify portfolio and found RDW to be a suitable candidate. Good luck all.|
|2 Directors selling at top
|Redrow hikes H1 pretax profit by 35%
Redrow has hiked its H1 pretax profit by 35% to £140m, from £104m in the year-earlier same period, in what it penned as a robust performance.
Interim dividend vaulted 50% higher to 6p a share, from 4p.
The company's group revenue improved to £739m, from £603m.
"Redrow delivered a robust performance in the first half, producing another set of record results," said chairman Steve Morgan.
In the last six months legal completions increased 13% to 2459, adding to the country's much needed supply of new homes, he said.
"At the beginning of February we purchased Radleigh Homes a regional housebuilder based in the East Midlands.
"Radleigh is an excellent fit given its geographical location and high quality market position. Radleigh will form the basis of a new division for the Group."
Redrow, said Morgan, had entered H2 with a record order book, while customer traffic and sales remained robust.
"Given the strength of our sales position and land holdings our growth strategy is firmly on track, giving me every confidence this will be another year of significant progress for Redrow."|
|CEO on Bloomberg for RDW
Confident as last time he was on
No impact from currency
built in to mortgage appeovals, no issue as salary
planning permission to be reduced from 3 yrs to 2 yrs|
|07:07 Redrow PLC (RDW) Redrow hikes H1 pretax profit by 35%
Well i dont want to say i told you so
Best results from house builder yet maybe
Group revenue rose 23% to a first half record of £739m
· Homes revenue increased 26% to a first half record of £733m
· Gross margin rose to 25% (2016: 24.2%); operating margin of 19.5% (2016: 18.2%)
· Record first half pre-tax profit of £140m, up 35%
· Earnings per share (EPS) up 35% to 31p
· Return on capital employed of 24% (2016: 21%)
· Net debt of £56m (June 2016: £139m) giving gearing of 5% (June 2016: 14%)
· Interim dividend of 6p per share (2016: 4p)
· Medium term guidance updated with 2019 turnover of £1.9bn, operating margin of 19.5% and EPS of 77p
· Legal completions rose 13% to 2,459 (2016: 2,178), including our Croydon Joint Venture
· Average number of outlets increased to 122 (2016: 121)
· Private order book up 35% at £897m (Dec 2015: £664m)
· Current land bank up 18% to 25,300 plots (Dec 2015: 21,435)
· Acquisition of Radleigh Homes an East Midlands housebuilder in February 2017, which has 1,300 plots with planning and a further 1,200 plots under options in its strategic land pipeline
Steve Morgan, Chairman of Redrow, said
"Redrow delivered a robust performance in the first half, producing another set of record results. In the last six months legal completions increased by 13% to 2,459 adding to the country's much needed supply of new homes.
At the beginning of February we purchased Radleigh Homes a regional housebuilder based in the East Midlands. Radleigh is an excellent fit given its geographical location and high quality market position. Radleigh will form the basis of a new division for the Group.
We entered the second half with a record order book, and customer traffic and sales remain robust.|
The new housing strategy for England includes forcing councils to plan for their local housing needs and giving them powers to pressure developers to start building on land they own.
The government says at least 250,000 new homes are needed each year and local councils and developers need to "get real" to the scale of the challenge.
Reducing the time allowed between planning permission and the start of building from three to two years|
|Parlimets white paper to ease on house constructions
Based on Redrows last CEO's comments on Bloomberg
I see good results
Belway, announced well today|
|SP for 4 days
444.5 450.4 448.9 457
trade volume for 4 days
Date Buy Vol Sell Vol Total Vol
03/02/2017 122,810 456,712 579,522
02/02/2017 459,464 317,167 776,631
01/02/2017 522,962 438,100 961,062
31/01/2017 559,373 330,768 890,141
30/01/2017 265,281 287,627 552,908
Note low trade volume yet best share price rise on Friday,
I,m guessing someone possibly stake building
03-02-17 16:35:06 457.00 172,530|
|I remember seeing RDW CEO on bloomberg, saying what slow down due to Brexit (in not so many words) I visited an area RDW building houses, all £500k nortwards.All selling really well, (due to good schools near by)|
|Home sales booming four months after Brexit, Redrow (RDW) boss says.|
|Think i'd rather listen to the company than some spotty faced scribbler in a pin stripe just out of uni.
The very top analyst estimate for the year just gone was £240M and that got beat easily.
Net migration into the UK might slow but it will never reverse. Not while there are problems in the rest of the world and the UK is seen as a safe and just country. Plus we will always need migrant workers and people have been coming to this tiny country long before we joined the EU so leaving wont be any different and we wont be growing any more land so prices will only go up with the exception of the occasional timely correction.
So for me the company statement is more pertinent.
Redrow entered the new financial year with a record private forward order book of GBP807m, up 54% on the previous year; including Social Housing, the total forward order book is GBP897m, up 51%. Sales in the first 10 weeks are very encouraging and up 8% on a strong comparator last year.
We have recently launched a number of significant new sites and have a strong pipeline in the planning process. Our strategy is to continue to grow the business, increasing the number of outlets and hence the number of homes we build. This process is on track and as such I am confident that this will be another year of significant progress for Redrow.
|I agree that the final results presented yesterday were excellent, but the longer term effects of Brexit are still, as yet, unknown. This applies to the whole sector, not just Redrow.
Analysts' estimates of EPS for the year ending June 2017 have been cut by over 20% compared to three months ago and the figures for year ending June 2018 have been trimmed by nearly 30%. Not the rosy outlook it once was, but perhaps the analysts are being too pessimistic? Time will tell.|
|Excellent interims this morning and this still trades on an utterly derisory multiple. Huge increase in dividend also reflects the confidence of the Board and nice to see the clear statement that the referendum has had zero impact. The whole sector is undervalued, including RDW. It also feels to me that there could well be further consolidation in this sector, and I'd expect RDW to be one of the targets|
|God alone knows who their average customer is, av. selling price 288K, certainly not a first time buyer, elderly people downsizing to all inclusive mod cons, or the people moving up the chain! Housing more and more unaffordable, it's going to have to be Agadir for me!|
|Very robust set of results considering the Brexit doom and gloomers.
Another misunderstood house builder.
I dont think the markets realise this country still needs more houses.|
|Pound strengthens after retail sales surge in July.|
|Just got to get through this £3.50 psychological barrier convincingly, then we are away.|
|Other housebuilders doing very well.I can't see Redrow being any different.|
|Again thanks Dave for posting.A good tip on Redrow.
Copy and paste into your browser and as you say join up the i's.|
Just move the i's together and all will be revealed!|
|Thanks for that Dave.Interesting.|
|time top bail?|