Crest Nicholson (LON:CRST) Downgraded by Royal Bank Of Canada to Outperform

Key Points

• Royal Bank of Canada cut its price target to GBX 95 (from GBX 155) and moved the stock to an Outperform, while broker sentiment is mixed—three Buy and three Hold—leaving a MarketBeat consensus of Moderate Buy with an average target of GBX 136.67.
• Management has cut profit guidance and is seeking covenant relief after slower land sales and completions, and the stock fell about a third on the profit warning, underlining near‑term liquidity and financing risk.
• Crest Nicholson shares opened at GBX 70.80 (52‑week range GBX 59.70–198.50) with a market cap of £181.8m and a P/E of 78.7, indicating the stock is trading well below prior highs amid elevated valuation multiples.

Crest Nicholson (LON:CRST - Get Free Report) was downgraded by stock analysts at Royal Bank Of Canada to an "outperform" rating in a research note issued to investors on Wednesday,London Stock Exchange reports. They presently have a GBX 95 price target on the stock, down from their prior price target of GBX 155. Royal Bank Of Canada's price target would indicate a potential upside of 34.18% from the company's current price.

Several other equities research analysts have also issued reports on the stock. Berenberg Bank decreased their price target on shares of Crest Nicholson from GBX 160 to GBX 86 and set a "hold" rating on the stock in a report on Wednesday. Jefferies Financial Group restated a "buy" rating and set a GBX 164 price objective on shares of Crest Nicholson in a research report on Tuesday. Finally, Stifel Nicolaus reaffirmed a "hold" rating and issued a GBX 125 price objective on shares of Crest Nicholson in a research note on Tuesday. Three equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average price target of GBX 136.67.

Crest Nicholson Stock Up 1.1%

Shares of LON CRST opened at GBX 70.80 on Wednesday. Crest Nicholson has a 52 week low of GBX 59.70 and a 52 week high of GBX 198.50. The stock's fifty day moving average is GBX 124.92 and its 200 day moving average is GBX 140.33. The company has a debt-to-equity ratio of 24.15, a quick ratio of 0.72 and a current ratio of 2.63. The stock has a market capitalization of £181.76 million, a P/E ratio of 78.67, a PEG ratio of 0.51 and a beta of 1.58.

Crest Nicholson (LON:CRST - Get Free Report) last announced its quarterly earnings data on Thursday, January 29th. The company reported GBX 7.80 earnings per share (EPS) for the quarter. Crest Nicholson had a net margin of 0.36% and a return on equity of 0.30%. Sell-side analysts forecast that Crest Nicholson will post 9.0980939 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Crest Nicholson news, insider Martyn Clark sold 46,077 shares of the firm's stock in a transaction that occurred on Monday, March 2nd. The shares were sold at an average price of GBX 151, for a total transaction of £69,576.27. Also, insider Gillian Kent purchased 9,538 shares of the company's stock in a transaction dated Monday, March 23rd. The stock was purchased at an average price of GBX 104 per share, for a total transaction of £9,919.52. Insiders have acquired a total of 10,312 shares of company stock valued at $1,091,598 in the last three months. Insiders own 4.49% of the company's stock.

Trending Headlines about Crest Nicholson

Here are the key news stories impacting Crest Nicholson this week:

• Positive Sentiment: Jefferies reaffirmed a "buy" rating with a GBX 164 price target, showing at least one broker still expects recovery if trading stabilises. Jefferies reaffirms buy
• Neutral Sentiment: Stifel Nicolaus reiterated a "hold" rating with a GBX 125 target, reflecting a more cautious stance that leaves valuation upside limited until clarity on covenants and trading returns. Stifel hold rating
• Negative Sentiment: Management cut profit guidance and is seeking covenant relief after macro headwinds slowed land sales and hit completions — this directly raises short‑term liquidity and financing risk and is the principal reason for the share weakness. Crest cuts profit outlook, seeks covenant relief
• Negative Sentiment: Market reaction has been severe: Reuters reports shares fell about a third after the profit warning and guidance cut, underscoring how the covenant request and guidance downgrade changed investor sentiment. Shares fall by a third
• Negative Sentiment: Berenberg sharply reduced its price target from GBX 160 to GBX 86 and moved to a "hold", signalling that some brokers now see significantly lower near‑term valuation pending proof of covenant relief and recovery in sales/completions. Berenberg cuts target

About Crest Nicholson

Crest Nicholson Holdings plc engages in building residential homes in the United Kingdom. It develops and sells apartments, houses, and commercial properties. The company was founded in 1963 and is headquartered in Addlestone, the United Kingdom.

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