LONDON (ShareCast) - (Sharecast News) - Analysts at Canaccord Genuity lowered their target price on homebuilder Berkeley Group from 5,400.0p to 5,200.0p on Friday, highlighting recent share price underperformance.
Canaccord stated that given Berkeley's "stellar track record of outperformance" through the pandemic, it was worth noting that its share price had "severely underperformed" the wider sector by more than 30% over the last six months.

In its analysts' view, Berkeley's recent update was "quite reassuring", with the group continuing to trade "robustly", with strong forward sales as it remains on track for the full-year.

"We believe the group is in a good position to bring its numerous sites into production, as planned, to support significant volume and profit delivery over the medium term, likely to be delivered in the context of relatively little new build being undertaken in London," said Canaccord.

"The over circa 30% underperformance of the shares over the last six months relative to the sector strikes us as a good opportunity for longer-term investors to invest in a strongly positioned house-builder with an effective strategy and strong track record of outperformance over the cycle"

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