Persimmon Share Discussion Threads

[cockneyrebel] 15/8/2012 21:09

:-)

CR

[badtime] 15/8/2012 21:01

Took some at 630 the other day...thanks for the updates CR

[barlick] 15/8/2012 17:19

Another good day - seems the message is getting through!

[cockneyrebel] 15/8/2012 12:52

Yes, big fat reverse head and shoulders here imo - sector set to take of in my opinion.

CR

[barlick] 14/8/2012 18:10

CR Happy with my little punt on PSN & think there is more to come, irrespective of the divi!!

Will sit on my hands & wait methinks!

Love investing in quality in a sector under pressure.

[cockneyrebel] 14/8/2012 11:05

Bank of America Merill Lynch resume coverage on PSN today with a Buy and 742p target.


Results on Tues.

CR

[cockneyrebel] 14/8/2012 08:34

Through resistance today

CR

[jonwig] 14/8/2012 07:31

FT: Ministers are preparing to unveil a new package of measures to stimulate the flagging house-building sector next month, in an attempt to help drag Britain out of recession.

The plan has been drawn up by Oliver Letwin, the prime minister's head of policy, along with Grant Shapps, housing minister, and Danny Alexander, chief secretary to the Treasury.

It comes amid an unprecedented drive to stimulate housebuilding...

[cockneyrebel] 13/8/2012 08:18

6 trading days to the results - BWY and BKG already breaking out to multi year highs.

CR

[barlick] 10/8/2012 18:57

To my mind PSN is the true quality in the sector & will retain my money for the forseeable future.

[cockneyrebel] 10/8/2012 17:16

Well BWY broke out today to join BKG.

Very positive imo.

CR

[barlick] 10/8/2012 17:13

Looking good for this solid well run company. Feel sentiment is still low & will improve & then BINGO!!!

[fozzie] 09/8/2012 09:45

I absolutely agree with you CR. I just want to understand the mechanics of how it will work. I have a pal who has 290k to invest following the sale of a house and PSN and BKG both look good 'homes' for his money.

[cockneyrebel] 08/8/2012 21:21

fozzie:

"What will happen to the share price as the divi is payed out over the next 9 years? will it drop by the same amount each time the divi is paid out? I have a few in a trading position but it does look a no brainer on a 9 year hold, it surely cannot be that simple."

If they pay back 620p in divis over 9 years and the share price falls by the value of that divi each time then in 9 years time th shares would be 20p :-)

Would the shares of this co be 20p then? If it had no significant debt and it had grown earings on average by say 7% p.a? If they grow earnings by an avearge of 7% p.a the 40p eps this year will be 74p in 9 years time. I think a PE of 10 then would be very reasonable so 740p a share?

Just an illustration but I think 7% compound earnings growth is modest - in a recovery and if housing gets back to more sensible levels in a few year I think the compound growth rat ecould be way higher imo.

Just my opinion, but it's why I'm very keen on PSN and BKG.

CR

[badtime] 08/8/2012 20:27

Isent it just an objective at this stage...surely each year an AGM will b needed to ratify each payment subject to certain conditions

[jonwig] 08/8/2012 16:25

Won't the qualifying dates be subject to shareholder approval at relevant AGMs?
The capital return wasn't a resolution at the last AGM, so maybe needs approval each time.

[fozzie] 08/8/2012 16:18

I cant find too much in the way of detail on this. The divi dates and payments are out there but no qualifying or eligibility notices. I will email the company.

[jonwig] 08/8/2012 11:52

fozzie - there will be an xd date before each dividend, with the normal initial drop. What happens apart from that I've no idea.

It's worth noting that a favourite recommendation of commentators is to boost the economy via housebuilding: apparently it has a very big multiplier effect.
(Obviously - new homes = new household durables, wages to spend and pay income tax, council tax to collect and spend ...)

So a no-brainer, maybe, as you say!

[fozzie] 08/8/2012 11:11

What will happen to the share price as the divi is payed out over the next 9 years? will it drop by the same amount each time the divi is paid out? I have a few in a trading position but it does look a no brainer on a 9 year hold, it surely cannot be that simple.

[cockneyrebel] 02/8/2012 16:21

BWY trading update Tuesday - too much bad news in the price of builders imo.

CR

[cockneyrebel] 02/8/2012 12:52

I think they've left the potentialty pay a standard divi on top of any cash return imo.

Anyway - lets see how these go on the update in a couple of weeks.

CR

[jonwig] 01/8/2012 13:48

Yes - that's what I was told at the AGM. (Though I wouldn't bet on *much* more!)

[cockneyrebel] 01/8/2012 13:24

By the way, if you watch the final results presentation, those divi payments are a minimum - it could be more they say.

CR

[cockneyrebel] 01/8/2012 10:55

Sorry, 2021 not 2019. I'm a couple of years ahead of myself - no excuse because BKG is paying £13 back by 2021 too so I should have remembered the year! :-)

Anyway - circa 12% divi in 2013 ain't bad for starters :-) BKG should do similar percentage.

GAW paing 8%, TALK paying 6%, GFRD 5%, KCOM 5%+ and 4%+ from MNZS and all with good growth - when was there a market as cheap as this?

CR