Kier Share Discussion Threads

[fizzypop] 27/6/2018 09:48

Cheap just got cheaper, now over 7% yield.

[mfhmfh] 14/6/2018 10:23

Liberium Capital today reiterates buy recommendation and 1,600p target price

[woodhawk] 08/6/2018 21:43

Thanks for the info, Fizzy! Good luck with FDEV. I've had a great couple of months and IMB, WPP, RWS, SCPA and STOB have all been star performers for me recently. Hopefully, KIE will emulate them. Good luck with the ISA - I used up all my ISA and SIPP allowances on 6th April!

[fizzypop] 08/6/2018 19:56

Hi Woody

Interim ex div 22/3 pay 18/5
Final 28/9 01/12

No dosh left for SCPA as picked up load of FDEV below 1700p last couple days.

Also in profit on KIE purchase at £9.78 ( yep could have deployed on SCPA. but got distracted !)

Have a great weekend - more fun for us next week. Still got half ISA allowance
to deploy for wife and I.

Well done on RWS, I thought the chart messy so stayed on sideline but you were
right again.

[woodhawk] 08/6/2018 16:36

Nice one, Fizzy! Made two buys today and now in profit. Have you got dates for the ex-divis?

Hope you got into SCPA as I mentioned elsewehere? Up 4.3% this pm.

[fizzypop] 08/6/2018 16:12

Forecast divi circa 6.9% as interim 23p + final 45p = 68p total.

[woodhawk] 08/6/2018 12:25

Just made my maiden purchase, thanks for the tip, Fizzy! Nice divi at these levels.

[sandeep67] 07/6/2018 13:42

well they could not have timed that any worse with today's JV news

[minerve] 07/6/2018 12:10

Extract from Barclays:

With a share price down over 25% in the past 12 months and consensus remaining 100% overweight, we seek to assess whether the decline is justified, or more simply a result of wider sector concerns. In our view, significant acquisitions, H1 WCap outflows, heavy historical use of exceptionals, meaningful on- and off-balance-sheet leverage, increasing utilisation of JVs and a forthcoming divisional restructure inevitably raise some concerns, particularly in light of recent issues in the sector.While we appreciate a number of Kier’s attractions – with a strong position within the Highways market, which should see increased spend in the forecast period on assumption of control of the Smart Motorways JV and the expected returns that should be generated from the investments made into residential and commercial property development over the past three years – we believe the shares are not as ‘cheap’ or cash-generative as at first glance, with significant adjustments required to appreciate the full leverage position. We see few potential catalysts to drive a substantial re-rating given the greater level of risk now in the model and, as a result, initiate at Underweight with a 995p price target based on our SOTP valuation, which we view as the most logical way to approach the hybrid business model.

and:

Within this note we highlight a number of areas that raise some uncertainty on the sustainability and cash generation of underlying earnings within the group’s Contracting businesses – namely adjusted cash conversion, which we see as lower than reported in presentations, significant provisions created on acquisition, relatively soft organic earnings progression once adjusting for M&A and a mixed outlook for the sustainability of high payables balances in construction.

and:

With a growing share of earnings from leveraged joint ventures in Property and Resi, visibility is increasingly challenging and earnings sensitivity increasing.


67 pages apparently.

[cwa1] 07/6/2018 11:18

No idea what the detail of the Barc note is but probably not worth getting excited about whatever it is!

[welsheagle] 07/6/2018 11:13

Are Kier involved in the Heathrow runway scheme.

[mfhmfh] 07/6/2018 11:04

Numis today reiterate buy stance and 1,510p target price.


Peel Hunt today reiterate buy stance and 1,600p target price.

[sandeep67] 07/6/2018 10:39

No idea but bought 2000 shares as back to 1050 soon

[ali47fish] 07/6/2018 09:26

what is barclays' rationale for the downgrade?

[cwa1] 07/6/2018 09:25

Reaction to BARC without doubt IMVHO.

[big7ime] 07/6/2018 09:14

Initial reaction to the news or Barclays downgrade? If the latter, will quickly bounce
Barc seems to mis time a lot!

[cwa1] 07/6/2018 09:12

Barclays have switched to "underweight" and have a PT of 955p in case anyone was wondering why the good news referred to above has caused a slump in the SP!

[speedsgh] 07/6/2018 07:33

Kier JV with Homes England and Cross Keys Homes -

Kier Residential launches joint venture with Homes England and Cross Keys Homes

Kier, a leading property, residential, construction and services group, today announces that, on 6 June 2018, it established a joint venture (the "JV") with Homes England ("Homes England") and CKH Developments Limited ("Cross Keys Homes") to develop c.5,400 homes across the country over the next ten years.

The JV will develop housing with a mix of tenures and will enable Kier to accelerate the development of its residential land bank through a capital efficient model. The establishment of the strategic partnership creates an opportunity for Kier to increase the scale of its mixed tenure house building activities by c.500 units per annum by 2020.

The economic ownership of the JV is Kier - 69%, Homes England - 26% and Cross Keys Homes - 5%, with Kier holding 50% of the voting rights. Kier will receive £27m in respect of its initial contribution of four development sites, which will be financed by a loan to the JV from Homes England. The JV partners will contribute £47m of equity funding in proportion to their economic ownership. The terms are currently being agreed with third party lenders to provide up to £80m of additional investment for the future development of new schemes by the JV.

Commenting on the announcement Haydn Mursell, Chief Executive of Kier, said: "This joint venture is an important milestone, bringing Homes England, Cross Keys Homes and Kier together in a new strategic partnership which will help address the national housing deficit. As joint venture partners, we have a shared ambition to work collaboratively to build more affordable homes across the country."

Nick Walkley, Chief Executive for Homes England, commented: "At Homes England, we're using our finance, land and expertise to build more homes in areas of greatest need. Our innovative deal with Kier and Cross Keys Homes shows how we intend to form new commercial partnerships to increase housing supply, address affordability issues and generate value for the public purse."

[mfhmfh] 09/5/2018 17:41

hoping for share price to break above 1,100p and rise steadily from there.

[julest1887] 03/5/2018 08:45

Kier tops contracts league again

httpx://www.theconstructionindex.co.uk/news/view/kier-tops-contracts-league-again-1

[mfhmfh] 30/4/2018 10:28

Peel Hunt today reiterates buy recommendation and 1,600p target price

[marksp2011] 28/3/2018 07:44

So he should clear the debt in 10-15 years :)

[kangaroo joe] 27/3/2018 15:05

In Construction News CEO Haydn Mursell explains he is pleased with level of net debt as it is supported by over £500M of assets and should fall over time. Expects to knock £20-30m off it a year. They declined to complete one of Carillion's hospital projects as was not profitable - Skanska have taken it on. No more acquisitions, but he says you can 'never say never'. So if he gets bored we're stuffed!

[cwa1] 22/3/2018 08:08

XD today and payable 18/5.