Berkeley Group Holdings (The) (BKG)

Sector:

Household Goods

Index:

FTSE 100

4,758.00p
   
  • Change Today:
    -4.00p
  • 52 Week High: 4,940.00
  • 52 Week Low: 3,773.00
  • Currency: UK Pounds
  • Shares Issued: 106.10m
  • Volume: 157,779
  • Market Cap: £5,048m
  • RiskGrade: 234

JPMorgan upgrades Berkeley, says concerns are 'overplayed'

By Michele Maatouk

Date: Monday 10 May 2021

LONDON (ShareCast) - (Sharecast News) - JPMorgan Cazenove upgraded Berkeley Group on Monday to 'overweight' from 'neutral' and lifted the price target to 5,400p from 5,100p as it argued that concerns are "overplayed".
The bank noted that Berkeley has underperformed the sector by 21% year-to-date and is now trading at a slight discount to the sector, versus an average premium of about 50% over the last 15 years.

"We view the concerns on the group's MT earnings profile as overdone, and believe that the group's strong attributes (longest duration landbank, strong returns and surplus cash) will come to the fore at the FY results on June 23," JPM said.

The bank said softer reservations over the last 12 months have raised de-urbanisation concerns and while there is likely to be some potential impact, the company has noted robust demand levels where stock was available.

"In our view, the group's reservations profile should see improvement as commentary from RICS survey and peers hints at a return of optimism," it said. "Furthermore, the migration from HK is likely to be meaningful and a sensitivity analysis suggests circa 4% profit before tax uplift per annum."

JPM said that while 2021/22 earnings are likely to end up a bit softer "versus what were lofty expectations", the performance is still much better than the peer group and ahead of the bottom end of guidance.

At 0950 BST, the shares were up 2.3% at 4,857p.

Email this article to a friend

or share it with one of these popular networks:


Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

BKG Market Data

Currency UK Pounds
Share Price 4,758.00p
Change Today -4.00p
% Change -0.08 %
52 Week High 4,940.00
52 Week Low 3,773.00
Volume 157,779
Shares Issued 106.10m
Market Cap £5,048m
RiskGrade 234

BKG Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
57.14% below the market average57.14% below the market average57.14% below the market average57.14% below the market average57.14% below the market average
66.67% below the sector average66.67% below the sector average66.67% below the sector average66.67% below the sector average66.67% below the sector average
Price Trend
77.37% above the market average77.37% above the market average77.37% above the market average77.37% above the market average77.37% above the market average
28.00% above the sector average28.00% above the sector average28.00% above the sector average28.00% above the sector average28.00% above the sector average
Income
16.77% above the market average16.77% above the market average16.77% above the market average16.77% above the market average16.77% above the market average
26.32% below the sector average26.32% below the sector average26.32% below the sector average26.32% below the sector average26.32% below the sector average
Growth
36.78% below the market average36.78% below the market average36.78% below the market average36.78% below the market average36.78% below the market average
15.38% below the sector average15.38% below the sector average15.38% below the sector average15.38% below the sector average15.38% below the sector average

What The Brokers Say

Strong Buy 2
Buy 2
Neutral 6
Sell 4
Strong Sell 0
Total 14
neutral
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

BKG Dividends

  Latest Previous
  Interim Final
Ex-Div 07-Mar-24 17-Aug-23
Paid 28-Mar-24 08-Sep-23
Amount 33.00p 59.30p

Trades for 28-Mar-2024

Time Volume / Share Price
16:35 124,637 @ 4,758.00p
16:35 43 @ 4,758.00p
16:35 385 @ 4,758.00p
16:35 162 @ 4,758.00p
16:35 459 @ 4,758.00p

BKG Key Personnel

CEO Robert C G Perrins
Finance Director Richard Stearn

Top of Page