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Aug 2 2022, 07:35 IST/BST
Construction and Housebuilding
Becoming more cautious on 2023 but reasonable downside is priced in
- Sectors : Construction and Housebuilding
- Companies : Persimmon plc | Redrow plc | Barratt Developments plc | Berkeley Group | Bellway plc | Taylor Wimpey plc | Vistry Group
Ratings
Ratings and price correct at time of issue
| Company | Rating | Date | Previous Rating | Date | Closing Price |
|---|---|---|---|---|---|
| Barratt Developments plc | OUTPERFORM | 25/06/20 | Neutral | 24/03/14 | 506p |
| Bellway plc | OUTPERFORM | 24/03/14 | Neutral | 10/09/13 | 2464p |
| Berkeley Group | UNDERPERFORM | 10/09/13 | Under Review | 21/05/13 | 4298p |
| Persimmon plc | NEUTRAL | 17/08/20 | Underperform | 10/09/13 | 1904p |
| Redrow plc | NEUTRAL | 10/09/13 | Under Review | 21/05/13 | 578p |
| Taylor Wimpey plc | OUTPERFORM | 10/09/13 | Under Review | 21/05/13 | 128p |
| Vistry Group | OUTPERFORM | 10/09/13 | Under Review | 21/05/13 | 918p |
DAVY VIEW
We are making material downgrades to our forecasts across the UK homebuilder sector, starting in calendar 2023. The end of Help to Buy and increasingly squeezed affordability are likely to combine with a bleak UK macro outlook to materially cool the new homes market in the next 12 months. We are cautious on the sector but with a preference for Taylor Wimpey and Vistry Group.
