Persimmon PLC PSN

Morningstar Rating
GBX1,248.00 −67.00 (5.10%)
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Company Report

Persimmon Is Well Positioned Among UK Homebuilders Given Highest Exposure to First-Time Buyers

Persimmon is one of the UK’s largest homebuilders by revenue and dwelling completions, marketing homes under its three brands: Persimmon Homes, Charles Church, and Westbury Partnerships. Persimmon distinguishes itself from peers by operating in the lower-priced segment of the new-build market, targeting first-time buyers; Persimmon Homes' average selling price was 20% below the UK new-build national average in 2024. Charles Church is Persimmon’s premium brand, selling homes at average selling prices 50% above Persimmon Homes’. Westbury Partnerships develops affordable social housing that is sold to housing associations.

Price vs Fair Value

PSN is trading at a LOCK|d##? premium.
Price
GBX1,248.00
Fair Value
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Uncertainty
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1-Star Price
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5-Star Price
?fC
Economic Moat
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Capital Allocation
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Bulls Say, Bears Say

Bulls

Persimmon’s focus on low-value housing and first-time buyers makes it best placed to capitalize on a government that is targeting increasing homeownership rates.

Bears

Prior goldilocks-cycle-inflated homebuilder margins and ROICs; any recovery is likely to be gradual and not as profitable.

Trading Information

Previous Close Price
GBX1,315.00
Day Range
GBX1,247.50–1,299.00
52-Week Range
GBX947.40–1,552.00
Bid/Ask
GBX1,200.00 / GBX2,030.00
Shares Outstanding
321.17M
Market Cap
GBX400.77B
Volume/Avg
2M / 2M

Key Statistics

Price/Earnings (Normalized)
12.44
Price/Sales
1.02
Dividend Yield (Trailing)
4.81%
Dividend Yield (Forward)
4.81%
Dividend Payment Schedule
Jul, Nov
Total Yield
4.84%

Company Profile

Persimmon is one of the UK’s largest residential property developers by revenue and dwelling completions, marketing homes under its three brands: Persimmon Homes, Charles Church, and Westbury Partnerships. Persimmon distinguishes itself from peers by operating in the lower-priced segment of the new-build market; Persimmon Homes' average selling price in 2024 was 20% below the UK new-build national average. Like peers, Persimmon has traditionally operated in the land development, construction, and sales and marketing segments of the residential property development value chain. However, unlike peers, in recent years, Persimmon has begun manufacturing its own bricks, tiles, and timber frames, aiming to secure the supply and quality of key materials and manage build cost inflation.
Sector
Consumer Cyclical
Industry
Residential Construction
Stock Style Box
Mid Value
Total Number of Employees
4,574

Competitors

Valuation

Metric
PSN
TW.
BKG
Price/Earnings (Normalized)
12.4411.2110.11
Price/Book Value
1.110.680.82
Price/Sales
1.020.741.29
Price/Cash Flow
11.0411.878.64
Price/Earnings
PSN
TW.
BKG

Financial Strength

Metric
PSN
TW.
BKG
Quick Ratio
0.340.440.70
Current Ratio
4.214.993.58
Interest Coverage
9.429.6016.15
Quick Ratio
PSN
TW.
BKG

Profitability

Metric
PSN
TW.
BKG
Return on Assets (Normalized)
6.21%4.22%4.76%
Return on Equity (Normalized)
9.14%6.16%8.71%
Return on Invested Capital (Normalized)
9.69%6.49%7.11%
Return on Assets
PSN
TW.
BKG

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