Crest Nicholson Share Discussion Threads

[gp1948] 17/11/2017 18:24

1gw - TEF used to be the biggest holding in my portfolio but I sold out recently because their growth story seems to be coming to an end in the next two or three years according to forecasts. I bought into CRST on the recent weakness instead.

[dov] 17/11/2017 15:31

Investors chronicle reckon Crest trades at a 30% discount to the sector.Can't say I am surprised given the share price performance in the past 6 months to others but not sure we will see this discount reduce substantially any time soon.

[1gw] 17/11/2017 14:14

I've still got most of mine gp. I actually sold some Telford Homes to buy my last couple of chunks of Crest and now very skewed towards Crest. I feel it might be better to be a bit more balanced between the 2 going into the budget but haven't used the funds to buy back Tef yet.

[gp1948] 17/11/2017 14:04

Budget next week which might give some more incentives to housebuilders 1gw. I'm hanging on to my CRST holding.

[1gw] 17/11/2017 13:37

Decided to take the profit on Wednesday's purchase, selling at 529p.

[1gw] 16/11/2017 15:32

Mean reversion can be a wonderful thing.

[master rsi] 16/11/2017 14:57

House builders - CRST best of the lot by a large margin today

[master rsi] 16/11/2017 14:44

the momentum continues as it reaches 530p and still order book very strong on the bid side

DEPTH
68 v 20 on the order book

[dov] 16/11/2017 14:19

Considering this was nearer 4.50 then £5 at one point yesterday this can be seen as a bit of a result but sceptical if this momentum can be kept up

[1gw] 16/11/2017 13:12

That's a very nice bounce-back to 520p. Has it got the momentum to continue?

[master rsi] 16/11/2017 12:45

Some profit taking and then another spike and breaking a new high for the day 515p
and carry on

DEPTH
55 v 30 on the order book

[master rsi] 16/11/2017 11:07

reason of the spike..........
BBC home editor Mark Easton - Social housing: Ministers move debt to boost building
Plans to encourage housing associations to borrow money to invest in new homes are being announced as part of a fresh government house-building drive.
Housing associations will be reclassified as private bodies allowing their £70bn debt to be removed from the government's balance sheet.

Housing providers said changing their financial status would help them secure the "long-term finance" needed.
But Labour said there was no coherent plan to address the "housing crisis".
It comes a week before Chancellor Philip Hammond's autumn Budget, in which support for housing is expected to figure prominently.

Prime Minister Theresa May has pledged to take "personal charge" of the government's strategy to address what is widely regarded as the chronic shortage of new affordable homes being built, particularly for rent.

In her much-maligned leader's speech to the Conservative conference last month, she promised to kick start a new generation of council house building - by making available an additional £2bn for social housing, while leveraging an extra £5bn in resources for councils and housing associations.
But critics said the sums being allocated were modest.
And there have been reports of tensions within the cabinet about whether the government should be borrowing tens of billions to directly fund more schemes.

In 2015, the Office for National Statistics shocked the government by announcing that ministerial control of housing associations had become so intrusive they could no longer be seen as charities or private businesses.

Now, after the drafting of new regulations currently going through Parliament, the ONS has agreed the government has become hands-off enough again to take all that debt away.
The announcement of the change, before the new regulations have come into law, appears to be part of a move to encourage Philip Hammond to offer more help to the housing sector.
Whether such pressure will move the Treasury to loosen the purse strings remains to be seen.

'Rootless generation'
In a speech in Bristol on Thursday, Communities Secretary Sajid Javid will say the decision to remove housing association debt from the UK balance sheet will help create a more "stable investment environment" for the thousands of providers.

Housing associations were classified as public bodies in 2015 because of the way they were funded.
But the sector warned then that this could have a negative impact on house-building.
At the time, ministers said they would consider the best way to let housing associations act as private sector bodies and to take advantage of low interest rates, to borrow, to invest.

Mr Javid will say the rethink by the Office for National Statistics, along with other initiatives, will help "lay the foundation" for thousands and thousands of new homes.
But he will warn new thinking is required to stop "a rootless generation" of tenants drifting from one short-term tenancy to another.

"There are many, many faults in our housing market, dating back many many years. If you only fix one you will make some progress but not enough. This is a big problem and we have to think big."
On a visit to a housing development in north London, Mrs May will say successive governments have failed to build enough homes and those that have been built have not been done quickly enough.

"This will be a long journey and it will take time for us to fix the broken housing market," she will say.

[wilkie_hk] 16/11/2017 07:20

Jumped in a little early at 490p yesterday. To me the trading statement was pretty much as anticipated. Mindful of the historic 1st quarter outperformance of housebuilding shares and having profited from this last year, I have been poised to buy for the last few months. Obviously disappointed not to have achieved the sub 480p that was available if I hadn't hit the buy button so soon (being in a busy office yesterday trying to conceal my trading didn't help!), I have to remind myself that I wasn't expecting an opportunity to buy in at sub 500p.

So now we will have a final divi of approx. 20p per share going ex divi in March. If we achieve the average 1st quarter 10% share price appreciation of 10%, that will give 14%-0.5% SD - 0.2% = 13.3% gain. I'd settle for that all day long!

[pillion] 15/11/2017 16:42

Good find GP !

[1gw] 15/11/2017 15:26

Bought some more at 4.85 (funded by selling more TEF).

[dov] 15/11/2017 14:32

bounce over? looks like we might see 4.75 again today

[gp1948] 15/11/2017 13:22

Extract from the Investors' Chronicle today:

" ..... a broadly upbeat statement from Crest Nicholson (CRST) was pounced on for highlighting a modest increase in sales outlets, and the shares fell 5 per cent. However, trading has been strong. Average selling prices have risen as has the number of completions, while the forward order book is up 13.6 per cent from a year earlier. Buy."

[dov] 15/11/2017 13:21

No evidence yet I am afraid to see why crest will not continue its underperformance against peers

[salpara111] 15/11/2017 13:10

Never clear why Crest has underperformed the sector over the last 2 years.
Steady growth at good margins and a chunky divi.
I wont be selling mine.

[miikke] 15/11/2017 12:26

Takeover target if this continues??Any thoughts?Or will there be a bounce back tomorrow?

[dov] 15/11/2017 12:01

Straight through 4.75 surely not 4.50 today

[essentialinvestor] 15/11/2017 11:46

May be worth noting director dealings imv,
some chunky director share sales in the sector of late.

[dov] 15/11/2017 11:31

will woodford be buying more to average down his losses?

i wish someone could explain why this is worth a 7% fall today plus all the falls prior

[dov] 15/11/2017 10:56

my guess 4.75 today. January next date for something positive perhaps.