Bloomberg Anywhere Remote Login Bloomberg Terminal Demo Request


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

Persimmon Gains After Goldman Predicts 70% Jump: London Mover

Persimmon Plc rose the most in almost two months after Goldman Sachs Group Inc. said the stock may increase by 70 percent within six months as it benefits from a housing recovery outside London.

The U.K.’s largest homebuilder by market value climbed 5 percent to 1,131 pence in London trading, the biggest increase since Aug. 16. Goldman raised its price estimate for the stock by 2 percent to 1,854 pence, it said in a note today. Goldman based the estimate on a starting price of 1,089 pence.

“Persimmon’s exposure outside of London could ultimately see the most recovery in terms of housing transactions,” analysts including Eshan Toorabally wrote in the report. “The circa 10 percent fall in the share price over the last three months offers an attractive opportunity to invest in a company which we expect to see significant earnings growth over the next three years.”

Though investors are increasingly betting that the Bank of England may increase rates earlier than previously expected, such hikes haven’t historically led to “significant weakness in housing fundamentals” or stock price performance for home building-related equities, Goldman said.

Of 17 analysts who follow Persimmon and share their ratings with Bloomberg, eight recommend buying the stock, three suggest selling and six advise holding. The average 12-month price target is 1,247 pence, based on 10 estimates, implying a potential gain of 11.3 percent.

Goldman added Taylor Wimpey Plc to its “conviction buy list” today. The High Wycombe, England-based homebuilder’s share price rose 5.2 percent to 103.8 pence today. Goldman also upgraded Bovis Homes Group Plc and Barratt Developments Plc to buy from neutral.

Persimmon has climbed 51 percent this year, the fourth-best performance among stocks in the Bloomberg U.K. Homebuilders Index, which has added 40 percent.

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.