Persimmon Plc, together with its subsidiaries, operates as a house builder in the United Kingdom. More Details
Flawless balance sheet and fair value.
Share Price & News
How has Persimmon's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: PSN is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: PSN's weekly volatility (4%) has been stable over the past year.
7 Day Return
GB Consumer Durables
1 Year Return
GB Consumer Durables
Return vs Industry: PSN underperformed the UK Consumer Durables industry which returned 37% over the past year.
Return vs Market: PSN underperformed the UK Market which returned 22.4% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Persimmon's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 days ago | Simply Wall StWhy Persimmon Plc (LON:PSN) Could Be Worth Watching
2 weeks ago | Simply Wall StDon't Buy Persimmon Plc (LON:PSN) For Its Next Dividend Without Doing These Checks
2 weeks ago | Simply Wall StPersimmon (LON:PSN) Has Gifted Shareholders With A Fantastic 168% Total Return On Their Investment
Is Persimmon undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: PSN (£29.04) is trading below our estimate of fair value (£29.09)
Significantly Below Fair Value: PSN is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: PSN is good value based on its PE Ratio (14.5x) compared to the UK Consumer Durables industry average (28.4x).
PE vs Market: PSN is good value based on its PE Ratio (14.5x) compared to the UK market (23.6x).
Price to Earnings Growth Ratio
PEG Ratio: PSN is poor value based on its PEG Ratio (2.3x)
Price to Book Ratio
PB vs Industry: PSN is overvalued based on its PB Ratio (2.6x) compared to the GB Consumer Durables industry average (1.5x).
How is Persimmon forecast to perform in the next 1 to 3 years based on estimates from 19 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PSN's forecast earnings growth (6.4% per year) is above the savings rate (0.9%).
Earnings vs Market: PSN's earnings (6.4% per year) are forecast to grow slower than the UK market (14.8% per year).
High Growth Earnings: PSN's earnings are forecast to grow, but not significantly.
Revenue vs Market: PSN's revenue (5.8% per year) is forecast to grow faster than the UK market (4.7% per year).
High Growth Revenue: PSN's revenue (5.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: PSN's Return on Equity is forecast to be high in 3 years time (22.5%)
How has Persimmon performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PSN has high quality earnings.
Growing Profit Margin: PSN's current net profit margins (19.2%) are lower than last year (23.3%).
Past Earnings Growth Analysis
Earnings Trend: PSN's earnings have grown by 5.6% per year over the past 5 years.
Accelerating Growth: PSN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: PSN had negative earnings growth (-24.7%) over the past year, making it difficult to compare to the Consumer Durables industry average (-48%).
Return on Equity
High ROE: PSN's Return on Equity (18.1%) is considered low.
How is Persimmon's financial position?
Financial Position Analysis
Short Term Liabilities: PSN's short term assets (£4.2B) exceed its short term liabilities (£874.7M).
Long Term Liabilities: PSN's short term assets (£4.2B) exceed its long term liabilities (£230.0M).
Debt to Equity History and Analysis
Debt Level: PSN is debt free.
Reducing Debt: PSN has not had any debt for past 5 years.
Debt Coverage: PSN has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: PSN has no debt, therefore coverage of interest payments is not a concern.
What is Persimmon current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: PSN's dividend (8.09%) is higher than the bottom 25% of dividend payers in the UK market (1.31%).
High Dividend: PSN's dividend (8.09%) is in the top 25% of dividend payers in the UK market (4%)
Stability and Growth of Payments
Stable Dividend: PSN's dividend payments have been volatile in the past 10 years.
Growing Dividend: PSN's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (117.4%), PSN's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: PSN's dividends in 3 years are not forecast to be well covered by earnings (93.3% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Dean Finch (54 yo)
Mr. Dean Finch, B.Sc, MBA, ACA, has been an Independent Non-Executive Director of Diploma PLC since May 21, 2021. Mr. Finch has been Group Chief Executive Officer and Executive Director of Persimmon Plc si...
CEO Compensation Analysis
Compensation vs Market: Dean's total compensation ($USD1.06M) is below average for companies of similar size in the UK market ($USD3.63M).
Compensation vs Earnings: Insufficient data to compare Dean's compensation with company performance.
Experienced Management: PSN's management team is seasoned and experienced (15.2 years average tenure).
Experienced Board: PSN's board of directors are considered experienced (3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Persimmon Plc's company bio, employee growth, exchange listings and data sources
- Name: Persimmon Plc
- Ticker: PSN
- Exchange: LSE
- Founded: 1972
- Industry: Homebuilding
- Sector: Consumer Durables
- Market Cap: UK£9.264b
- Shares outstanding: 318.99m
- Website: https://www.persimmonhomes.com
Number of Employees
- Persimmon Plc
- Persimmon House
- North Yorkshire
- YO19 4FE
- United Kingdom
Persimmon Plc, together with its subsidiaries, operates as a house builder in the United Kingdom. The company offers family housing under the Persimmon Homes brand name; executive housing under the Charles...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/07/31 18:13|
|End of Day Share Price||2021/07/30 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.