Market's view on Persimmon

Published on April 2024

  • A stock watcher pointed out the contradiction in previous statements by another watcher about a company’s trading update (TU), indicating a lack of credibility.
  • Mixed reactions were observed regarding the recent trading updates from housebuilders, with some watchers maintaining a bearish stance due to unchanged market dynamics.
  • Positive outlooks were expressed by some, citing significant order rises and stable market conditions, predicting a target share price increase by the end of the year assuming favourable conditions persist.
  • Concerns were raised about rising mortgage rates impacting new buyers and those coming off low-fixed-rate mortgages, with expectations of high base rates persisting longer.
  • Discussions were held on the topic of ‘fake freeholds’ in new builds, highlighting the issues with escalating management fees and the misleading representation of property titles as absolute freeholds.
  • The broader impact of the 2008 financial crisis and subsequent economic challenges on UK health and housing affordability were discussed, suggesting a deep-rooted issue affecting various aspects of society.
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