Persimmon Share Discussion Threads

[l0ngterm] 01/3/2023 14:04

6 months for defaults etc to land maybe.

[watfordhornet] 01/3/2023 14:02

Silk - this was known b4 the results. H2B was not suddenly new news this morningWhy do you think the share price has sunk so low over the last few years?

[sikhthetech] 01/3/2023 13:24

Around 20% of PSN's reservations used Help to buy yet they say sales to fall 40%. That's a huge drop in sales.

There's no replacement for H2B. So sales should remain lower. The loss of H2B is a red flag.



Persimmon warns new home sales may fall 40% on current trends
Market slowed sharply last year after lenders raised rates in response to disastrous UK mini-budget

https://www.ft.com/content/2f60650d-94ac-4936-805e-5202cf0266fd

[jo2362] 01/3/2023 13:18

This downturn has 6 months left at the most!

[jo2362] 01/3/2023 13:16

Pathetic, the same old comments as with Tesla, Netflix, Meta, the list goes on!!! Anyone not buying at these prices are simply deluded or inexperienced when it comes to stock picking!

[tlobs2] 01/3/2023 13:13

Brucie5, some will still prefer modest interest on their cash savings. LOL

A great one here for inside a SIPP where the dividends will be welcome, and the short term ups and downs of the share price are of little interest to the shareholder.

[twirl] 01/3/2023 13:12

alternative statement "By combining low cost building standards and massively over priced homes in a climate of unsustainably low interest rates we have drawn home owners into a personal financial nightmare creating a perfect storm with the cost of living crisis. Consequently we have created a share price bubble such that it will take a decade for our share price to return to the dizzy heights of £30."

[deme1] 01/3/2023 13:03

Was expecting this to fall below the recent lows with that update.

[brucie5] 01/3/2023 12:42

So about a 9% dividend at current price..?

[sunshine today] 01/3/2023 12:22

The BOE have one job

Confidence

They mess it up constantly

Remit 2%

Missed by a cool 500%

[melegramforttongo] 01/3/2023 12:21

Skeppy you struggling on this mate ?

Don’t tell me , you have been long from much much higher …

Good old skeppy never fails to fail

🤭

[claret dragon] 01/3/2023 12:18

BOE March 23rd next IR decision.

I expect the HB stocks to sell off gradually until that date.

See what happens if the base rate goes up again.

[adamb1978] 01/3/2023 12:13

Tlobs

Suggest just filtering Sikh

[fuji99] 01/3/2023 12:11

The whole sector is in difficult times. "House prices see biggest annual fall in over 10 years":"hTTps://www.bbc.co.uk/news/business-64807971"

[tlobs2] 01/3/2023 12:07

Oh dear, looks like he is geting angry again .... LOL

sikhthetit1 Mar '23 - 11:52 - 4097 of 4100 (Filtered)

sikhthetit1 Mar '23 - 11:53 - 4098 of 4100 (Filtered)

sikhthetit1 Mar '23 - 11:57 - 4099 of 4100 (Filtered)

sikhthetit1 Mar '23 - 12:01 - 4100 of 4100 (Filtered)

[adg] 01/3/2023 12:05

And you think that’s a big deal?

[sikhthetech] 01/3/2023 12:01

In other news...

Nationwide, the largest Building Society says house prices fell at their fastest annual rate since 2012... a decade!!

According to Nationwide's figures, house prices are down 3.7% since August, so in only 6 months!!


UK house prices fall at fastest annual rate since 2012
Year-on-year February 1.1% decline comes as average price of property drops to £257,406, says Nationwide

"The slide led to the average price of a property falling to £257,406, almost £900 lower than a month earlier. UK house prices are now 3.7% lower than they were at the peak reached in August 2022."


https://www.theguardian.com/business/2023/mar/01/uk-house-prices-fall-at-fastest-annual-rate-since-2012

[sikhthetech] 01/3/2023 11:57

For anyone who thinks they have turned the corner, I suggest you re-read the update properly...


They have stated that they expect the business to grow from 2024 ONWARDS, the fy results of which won't be known for 2 YEARS.


"By combining operational excellence and commercial excellence along with disciplined investment we will grow the business from 2024 onwards. "

[sikhthetech] 01/3/2023 11:53

Mortgage rates have already more than doubled. Interest rates many times higher.


There are hundreds of thousands coming off fixed rate deals who will have to pay significantly higher interest. That's on top of the tax rises and energy price and other utility bill rises.

[sikhthetech] 01/3/2023 11:52

as expected, the results were dire..


The end of Help to Buy will have an big impact, especially as they had 20% of their reservations using the scheme.

Taxes, Energy prices and other utility bills going up next month.

Budget in a fortnight.



sikhthetech - 24 Feb 2023 - 14:45:02 - 4044 of 4095 PERSIMMON PLC
The next set of results should give an indication of outlook without Help to Buy scheme, which provided a 20%(40% in London) interest free loan for 5years.

1st March - PSN reporting fy results - Outlook important.

Budget in 3 weeks - will the Chancellor announce any scheme to replace H2B

Taxes, utility bills etc going up from April, further impacting affordability.


sikhthetech5 Feb '23 - 21:33 - 4023 of 4043 Edit
Help to Buy scheme, which allowed FTBs to get an interest free equity loan of 20%(40% in London) ended to new applications at end of Oct.

HBs originally had until end of Dec to complete but that was extended until March, next month. The fear was hundreds of FTBs would have been forced to cancel as the homes were not completed.

HBs made hundreds of millions from the scheme.

Then what? There's no scheme which gives FTBs 20% interest free loan.

PSN said around 20% of their reservations used the scheme, which is a huge chunk.

This is why HBs are likely to be busy right now. Homes being completed in a hurry to complete before 17th March, 6 weeks from now, otherwise hundreds of purchases would have fallen through. How many corners will be cut to complete the property?

[scepticalinvestor] 01/3/2023 11:51

Thats a bit of a mean way to talk abt your mum

[adamb1978] 01/3/2023 11:49

Andrew Bailey commented this morning that interest rates shouldnt be assumed to be going north from where they are - may or may not do - whereas market has another 75 bps factored in. Should be supportive for the sector

[sunshine today] 01/3/2023 11:47

The truth is some of us know when to buy, and have made 50, 100 times or more, on our initial investments in house builders.

You buy when they are on the floor.

Not at the top of the cycle.

Chasing falling yields is nuts.

Chasing falling profits is nuts,

[viscount1] 01/3/2023 11:41

Just bought a few on the basis that the UK government will have to bail out the housing market if there is a recession.

Also their balance sheet looks really impressive: lots of cash and no debt. I was surprised.