Bank of America Lowers Taylor Wimpey (LON:TW) Price Target to GBX 90

Key Points

• Bank of America cut its price target on Taylor Wimpey to GBX 90 (from GBX 110) and kept a "neutral" rating, implying roughly a 3.88% upside from the current share price.
• Other brokers have also trimmed targets (recent range roughly GBX 120–150) and MarketBeat's consensus target is GBX 121, with analysts split between five Buy and five Hold ratings (average: "Moderate Buy").
• Insiders bought a total of 230,501 shares at about GBX 86 on March 25, and the board announced a share buyback plan, signalling insider/management confidence while the stock trades below its ~GBX 104 50‑ and 200‑day moving averages.

Taylor Wimpey (LON:TW - Get Free Report) had its target price cut by research analysts at Bank of America from GBX 110 to GBX 90 in a report released on Monday,London Stock Exchange reports. The firm currently has a "neutral" rating on the homebuilder's stock. Bank of America's price objective suggests a potential upside of 3.88% from the stock's current price.

Several other brokerages also recently weighed in on TW. Citigroup decreased their price target on Taylor Wimpey from GBX 143 to GBX 137 and set a "buy" rating for the company in a report on Friday, January 16th. Jefferies Financial Group dropped their price objective on shares of Taylor Wimpey from GBX 140 to GBX 132 and set a "buy" rating on the stock in a research note on Monday, January 19th. JPMorgan Chase & Co. cut their price objective on shares of Taylor Wimpey from GBX 140 to GBX 120 and set a "neutral" rating for the company in a research report on Thursday, December 4th. Berenberg Bank reduced their target price on shares of Taylor Wimpey from GBX 128 to GBX 120 and set a "buy" rating for the company in a research note on Tuesday, March 10th. Finally, Royal Bank Of Canada reaffirmed an "outperform" rating and issued a GBX 150 target price on shares of Taylor Wimpey in a report on Friday, January 16th. Five analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the stock. According to data from MarketBeat, Taylor Wimpey presently has an average rating of "Moderate Buy" and a consensus target price of GBX 121.

Taylor Wimpey Stock Down 1.7%

Shares of TW stock opened at GBX 86.64 on Monday. The firm has a 50-day moving average of GBX 104.88 and a 200-day moving average of GBX 103.86. The company has a debt-to-equity ratio of 2.96, a current ratio of 4.96 and a quick ratio of 0.71. The firm has a market cap of £3.11 billion, a PE ratio of 12.64, a PEG ratio of 2.04 and a beta of 1.35.

Taylor Wimpey (LON:TW - Get Free Report) last posted its quarterly earnings data on Thursday, March 5th. The homebuilder reported GBX 8 earnings per share for the quarter. Taylor Wimpey had a return on equity of 2.40% and a net margin of 2.61%. Analysts expect that Taylor Wimpey will post 9.8339265 earnings per share for the current fiscal year.

Taylor Wimpey announced that its board has initiated a share buyback plan on Thursday, March 5th that authorizes the company to buyback 0 shares. This buyback authorization authorizes the homebuilder to repurchase shares of its stock through open market purchases. Stock buyback plans are generally an indication that the company's management believes its shares are undervalued.

Insider Activity at Taylor Wimpey

In other news, insider Chris Carney purchased 90,361 shares of the stock in a transaction that occurred on Wednesday, March 25th. The shares were acquired at an average price of GBX 86 per share, for a total transaction of £77,710.46. Also, insider Jennie Daly acquired 139,270 shares of the company's stock in a transaction that occurred on Wednesday, March 25th. The stock was purchased at an average cost of GBX 86 per share, with a total value of £119,772.20. Insiders have bought a total of 230,501 shares of company stock worth $19,838,458 in the last three months. Corporate insiders own 0.87% of the company's stock.

About Taylor Wimpey

Taylor Wimpey plc operates as a homebuilder in the United Kingdom and Spain. It builds and delivers various homes and communities. Taylor Wimpey plc was incorporated in 1935 and is based in High Wycombe, the United Kingdom.

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