Mj Gleeson Share Discussion Threads

[disc0dave45] 15/9/2022 14:22

I see the WealthOracle paid promoters are here with their auto generated analysis which is completely worthless IMO.Another one filtered.

[disc0dave45] 15/9/2022 13:47

Any reason why you think they may fall post the budget?If Truss sticks to her word and doesn't plan to increase the corp tax rate by 6% then market generally should react positively IMO.

[roguetraderuk] 15/9/2022 13:45

housebuilders may have bottom st into the mini budget late next week. so they might rally into it and then fall off as the budget arrives.

[kalai1] 15/9/2022 13:41

MJ Gleeson plc posted FY results for the year ended 30th June 2022. The numbers reflect strong underlying demand for high quality, affordable housing, the Group achieved its medium-term strategic objective of delivering 2,000 homes pa. Gleeson Homes sold 2000 units, a 10.4% increase on FY21, with average selling price up 14.7%. Group revenues were up 29.4% to £373.4m, PBT was up 33.1% to £55.5m and EPS was up 34.2% to 78.1p. Valuation is attractive with forward PE ratio at 6.4x, the business is also reasonably high quality. Main clouds for the investment case are the weakening macro environment and lack of share price momentum. GLE is a solid, profitable homebuilder at an attractive valuation and is certainly worth monitoring, but there is no immediate rush to buy...

...from WealthOracle

hxxps://wealthoracle.co.uk/detailed-result-full/GLE/555

[lafiamma] 14/9/2022 20:11

Note the strange late end of day trade (some 5% above market price yet for only about £5,000 worth of shares) may skew the share price reaction tomorrow (i.e. if it opens down 1% on good results it's more like an up 4% move!)

[m_kerr] 09/9/2022 11:43

demand for property remains high relative to supply. despite the media narrative that brexit meant pulling up the drawbridge, net migration has remained very high, necessitating the need to build at least 4 million new properties.

at current building rates and rates of migration we'll always be playing catch up, which creates an opportunity for developers like gleeson. there will be downturns, but overall they should generate a lot of cash over time, from an ungeared, asset backed balance sheet.

[gamwah] 09/9/2022 07:40

Does look like a good time to buy.Quick look I can see:Positives are 38+ cash, PBT 50.4 fcast, mcap 256Negatives- current market concerns mortgage rates, inflation.

[m_kerr] 08/9/2022 20:12

very odd - shares been market down sharply, yet the news flow coming from the company has been consistently positive. substantial net cash position of £34m, and now trading at tangible net assets. so the market is pricing in a downfall that has not happened and may not happen. no cladding risk either.

i see this as a very low risk entry into a long term profitable investment story. the decline has taken all the froth out of the valuation, leaving very little downside risk from here on in.

[gamwah] 08/9/2022 11:00

Looking to buy here before 15th results and ideas why it's dropped so much after such a positive update?

[jitters3] 28/7/2022 10:11

Some large volumes over the last two days any idea what's behind this

[c3479z] 11/7/2022 12:31

think they could be a lot more generous with the dividend which lags that of the volume housebuilders?

[siggs44] 11/7/2022 06:13

Wow very positive results.They will continue to have no problem selling their homes as cheaper than renting.Gleesons have no debt - amazing!

[brummy_git] 28/6/2022 13:05

Christopher Mills of Harwood Capital talks about Gleeson here (starts 46:45)

www.linkedin.com/posts/paul-hill-a5994116_vox-markets-fund-manager-interview-with-christopher-activity-6947490289783603200-5DnF?utm_source=linkedin_share&utm_medium=member_desktop_web

hxxps://www.voxmarkets.co.uk/articles/vox-markets-fund-manager-interview-with-christopher-mills-3caf5ae

[m_kerr] 10/4/2022 22:31

this will keep chugging on. they are a focused, niche provider of 'cheap' housing which is very much in vogue in investment circles. there's a deficit of 4 million houses in england alone (hint to our government - if you allow millions of people in, you need to build the housing and infrastrcture to cope), meaning decades of business ahead.

rate rises are on the way, of course, doesnt take a genius to see that, but the BoE will need to be careful how high rates are raised. the UK government has £2 trillion of debt, and corporate debt is very high, and rose further following the lockdowns / tough trading conditions.

[buywell3] 01/4/2022 06:54

IMO trying to keep this at 600p is not going to work

Beware

Charts will have their way

525p retest now looking likely so save your ammo is buywells opine

[bwm2] 01/4/2022 04:25

In my opinion, the drop since the solid Feb results is uncalled for so have added here yesterday but not showing yet.

In my view, this is a Sheffield gem like BOOT and Hendersons Relish

Anecdotally, had 14 viewings yesterday for a two bed flat in a very modest area. The rent was about 3x what the mortgage interest would be on a GLE house. They do have an USP and are delivering

[buywell3] 24/3/2022 03:31

All doing worse than the FTSE100



dyor

[buywell3] 23/3/2022 09:05

Interest Rates


Housebuilders nearly all dropping today as many other sectors rise

IMO fight this at your peril

Rising rates are coming --- again and again and again

The market is starting to price this in but imo are playing catchup with inflation heading to 8% plus and still rising

[coolen] 21/3/2022 22:36

Share price weak after non-exec retirement: connected or not ?

[buywell3] 20/3/2022 22:51

Heads Up and to show no bias

What happens in America and what is happening in America will result in what happens in the UK --- if you do your research you will corroborate this fact


The number of USA houses that were for sale has just risen by over 13% in feb year on year

ie Supply is now accelerating as the wise yanks want to cash in their brick piles

USA house/condo sales have dropped year on year for the last consecutive 7 months in a row

ie Demand is weakening

Ref New Builds or Houses under construction in the USA --- unsold numbers are now at 2008 levels and up 70% year on year --- this coupled with massive increased costs due to raw building materials causing stalls in many new build projects

Many USA builders could go bust if these remain unsold

Supply of new builds grows as existing sales of old/ used houses stalls

Inflation in the USA is now at 40 year highs

The FED plans to do another 6 rate rises in 2022

The 30yr fixed mortgage rate stands at circa 4.4% now and is thus on track to hit 6% by the end of this year

Inflation is not going away and the FED wants it at 2% --- next month it will likely hit 9% and still rising



The USA property market is now in top end bubble territory and soon to pop

The UK property market follows the USA with a lag of 12 months

dyor

[km18] 10/2/2022 13:36

MJ Gleeson issued its HY Report this morning and performance has been strong. FY guidance was revised higher, the business is on track to deliver 2000 homes this year. H1 revenue was up 21.7% to £173.5m, Profit before tax was up 21.7% to £24.7m, EPS was up 22.0% to 34.4p and the interim dividend was up 20% to 6p. The business continues to deliver solid top-line growth and profitability ratios are high for the sector. The balance sheet is also high quality. Valuation is average for the sector, with forward PE ratio around 10, but this should not be a constraint on share price upside. Near term the share price lacks some momentum, the share has been correcting with the sector for 8 months . But the cyclical company should deliver decent returns in the next few years irrespective. Not a bad smaller capitalisation house-builder for a small/mid-cap portfolio. BUY, but no rush....from WealthOracleAM

[jurgenklopp] 10/2/2022 07:38

Excellent update this morning.

Gleeson appears to be one of the most attractive plays in the sector.

[brummy_git] 03/2/2022 05:26

Paul Jourdan of Amati Global talks briefly about MJ Gleeson & UK housebuilding here (starts 39:55)

www.youtube.com/watch?v=0nJJIpsI9Uo

[tomps2] 26/11/2021 08:52

Alexandra Jackson Interview with PIWORLD

Alexandra Jackson mentions MJ Gleeson #GLE at 12m05s in the latest PIWORLD interview

Watch the video here:

Or listen to the podcast here: