Persimmon
Market Cap
UK£8.7b
Last Updated
2021/01/22 01:51 UTC
Data Sources
Company Financials +
Executive Summary
Persimmon Plc, together with its subsidiaries, operates as a house builder in the United Kingdom. More Details
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet average dividend payer.
Similar Companies
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 +/- 6% a week.
Volatility Over Time: PSN's weekly volatility (6%) has been stable over the past year.
Market Performance
7 Day Return
1.5%
PSN
0.4%
GB Consumer Durables
-0.1%
GB Market
1 Year Return
-10.5%
PSN
-19.0%
GB Consumer Durables
-7.7%
GB Market
Return vs Industry: PSN exceeded the UK Consumer Durables industry which returned -19% over the past year.
Return vs Market: PSN underperformed the UK Market which returned -7.7% over the past year.
Shareholder returns
| PSN | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.5% | 0.4% | -0.1% |
| 30 Day | -3.5% | -1.4% | 4.1% |
| 90 Day | 5.2% | 17.9% | 14.7% |
| 1 Year | -6.8%-10.5% | -17.7%-19.0% | -4.0%-7.7% |
| 3 Year | 31.4%3.7% | 10.4%-4.4% | 4.2%-8.5% |
| 5 Year | 89.7%34.0% | 39.3%8.9% | 43.0%15.1% |
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 St
Insider Buying: The Persimmon Plc (LON:PSN) Group Chief Executive & Director Just Bought 28% More Shares1 week ago | Simply Wall St
Are Strong Financial Prospects The Force That Is Driving The Momentum In Persimmon Plc's LON:PSN) Stock?3 weeks ago | Simply Wall St
Did Persimmon Plc (LON:PSN) Insiders Sell Shares?Valuation
Is Persimmon undervalued compared to its fair value and its price relative to the market?
12.7%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: PSN (£27.29) is trading below our estimate of fair value (£31.25)
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 (12.9x) compared to the GB Consumer Durables industry average (18.8x).
PE vs Market: PSN is good value based on its PE Ratio (12.9x) compared to the UK market (23.1x).
Price to Earnings Growth Ratio
PEG Ratio: PSN is poor value based on its PEG Ratio (2.4x)
Price to Book Ratio
PB vs Industry: PSN is overvalued based on its PB Ratio (2.5x) compared to the GB Consumer Durables industry average (1.4x).
Next Steps
Future Growth
How is Persimmon forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?
5.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PSN's forecast earnings growth (5.5% per year) is above the savings rate (1%).
Earnings vs Market: PSN's earnings (5.5% per year) are forecast to grow slower than the UK market (25.5% per year).
High Growth Earnings: PSN's earnings are forecast to grow, but not significantly.
Revenue vs Market: PSN's revenue (5.1% per year) is forecast to grow slower than the UK market (6.6% per year).
High Growth Revenue: PSN's revenue (5.1% 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%)
Next Steps
Past Performance
How has Persimmon performed over the past 5 years?
10.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PSN has high quality earnings.
Growing Profit Margin: PSN's current net profit margins (21.9%) are lower than last year (24%).
Past Earnings Growth Analysis
Earnings Trend: PSN's earnings have grown by 10.8% 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 (-23.1%) over the past year, making it difficult to compare to the Consumer Durables industry average (-45.3%).
Return on Equity
High ROE: PSN's Return on Equity (19.6%) is considered low.
Next Steps
Financial Health
How is Persimmon's financial position?
Financial Position Analysis
Short Term Liabilities: PSN's short term assets (£4.2B) exceed its short term liabilities (£857.3M).
Long Term Liabilities: PSN's short term assets (£4.2B) exceed its long term liabilities (£218.5M).
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.
Balance Sheet
Next Steps
Dividend
What is Persimmon current dividend yield, its reliability and sustainability?
5.13%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: PSN's dividend (5.13%) is higher than the bottom 25% of dividend payers in the UK market (1.51%).
High Dividend: PSN's dividend (5.13%) is in the top 25% of dividend payers in the UK market (4.59%)
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 low payout ratio (18.9%), PSN's dividend payments are 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 (92.7% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
14.8yrs
Average management tenure
CEO
Dean Finch (53 yo)
0.33
Tenure
Mr. Dean Finch, B.Sc, MBA, ACA, has been Group Chief Executive Officer and Director of Persimmon Plc since September 28, 2020. He had been the Group Chief Executive Officer at National Express Group plc si...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Group Finance Director & Executive Director | 22yrs | UK£633.07k | 0.61% £ 52.7m | |
| Group Chief Executive & Director | 0.33yr | no data | 0.0027% £ 230.6k | |
| Founder & Life President | 14.75yrs | UK£94.97k | no data | |
| Company Secretary | no data | no data | no data | |
| Group Planning & Land Director | no data | no data | no data | |
| Regional Divisional Director for Yorkshire & South East | no data | no data | no data | |
| Group Regulatory Director | no data | no data | no data |
14.8yrs
Average Tenure
59yo
Average Age
Experienced Management: PSN's management team is seasoned and experienced (14.8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Group Finance Director & Executive Director | 22yrs | UK£633.07k | 0.61% £ 52.7m | |
| Group Chief Executive & Director | 0.33yr | no data | 0.0027% £ 230.6k | |
| Chairman of the Board | 2.58yrs | UK£300.00k | 0.0039% £ 342.8k | |
| Independent Non-Executive Director | 0.50yr | no data | no data | |
| Independent Non-Executive Director | 3.75yrs | UK£60.00k | no data | |
| Senior Independent Director | 3.08yrs | UK£75.00k | 0.00022% £ 19.1k | |
| Independent Non-Executive Director | no data | no data | no data | |
| Independent Non-Executive Director | 0.75yr | no data | no data | |
| Independent Non-Executive Director | 5.58yrs | UK£75.00k | 0.0012% £ 107.0k |
2.8yrs
Average Tenure
57yo
Average Age
Experienced Board: PSN's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: PSN insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Persimmon Plc's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Persimmon Plc
- Ticker: PSN
- Exchange: LSE
- Founded: 1972
- Industry: Homebuilding
- Sector: Consumer Durables
- Market Cap: UK£8.701b
- Shares outstanding: 318.85m
- Website: https://www.persimmonhomes.com
Number of Employees
Location
- Persimmon Plc
- Persimmon House
- Fulford
- York
- North Yorkshire
- YO19 4FE
- United Kingdom
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| PSMM.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Jan 1992 |
| PSN | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | GBP | Jan 1992 |
| OHP | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Jan 1992 |
| PSNL | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | GBP | Jan 1992 |
| PSMM.Y | OTCPK (Pink Sheets LLC) | UNSPONSORD ADR | US | USD | Oct 2008 |
Biography
Persimmon Plc, together with its subsidiaries, operates as a house builder in the United Kingdom. The company offers apartments and family homes under the Persimmon Homes brand name; executive housing unde...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/22 01:51 |
| End of Day Share Price | 2021/01/21 00:00 |
| Earnings | 2020/06/30 |
| Annual Earnings | 2019/12/31 |
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.