🏠 Persimmon plc: UK Housebuilding Specialist
Persimmon is one of the UK’s largest residential developers, known for building affordable homes across England, Wales, and Scotland. It’s a constituent of the FTSE 100, with a strong land bank and in-house materials supply chain that helps control costs.
📈 Share Price & Market Performance
- Current Share Price: 1,128.50p
- 52-Week Range: 1,047.00p – 1,721.80p
- Market Capitalisation: £3.53 billion
- Recent Movement: –2.6% after half-year results
The share price has softened slightly despite upbeat results, due to cautious margin guidance for 2026.
💰 Valuation Metrics
| Metric | Value | Commentary |
|---|---|---|
| P/E Ratio | ~13.5 | Reasonably priced for a cyclical housebuilder |
| PEG Ratio | ~1.05 | Suggests valuation is fairly aligned with growth expectations |
💸 Dividend Profile
- Dividend Yield: ~5.3%
- Interim Dividend: 20p (unchanged YoY)
- Cash Position: £109 million net cash
- Free Cash Flow: –£132 million (H1 outflow)
Persimmon maintains a generous dividend, supported by a strong balance sheet and disciplined land strategy.
📊 Financial Highlights (H1 2025)
- Revenue: £1.5 billion (+14% YoY)
- Underlying Pre-Tax Profit: £165 million (+11% YoY)
- Completions: +4% to ~11,000 homes
- Average Selling Price: +8%
- Order Book: £1.3 billion (+11%)
Forecasts for FY 2025 point to £432 million in pre-tax profit, with completions expected to rise to 12,000 units in 2026.
Persimmon offers a blend of income, scale, and operational efficiency, though margin pressures and planning delays remain headwinds. Its in-house materials business helps offset inflation, saving ~£5,500 per plot.
