Persimmon (LON:PSN) Shares Up 4.8% - Time to Buy?

Key Points

• Persimmon Plc shares rose by 4.8% during mid-day trading, reaching a high of GBX 1,259.50 ($16.83), despite a 21% decline in trading volume compared to average sessions.
• Wall Street analysts have mixed views, with Citigroup and Jefferies issuing buy ratings but reducing their price targets, leading to an overall rating of "Moderate Buy" with an average target price of GBX 1,503.
• Insider transactions revealed that Andrew Duxbury sold 7,132 shares at an average price of GBX 1,133, reflecting ongoing insider activity which currently holds 2.63% of the stock.

Persimmon Plc (LON:PSN - Get Free Report) shot up 4.8% during mid-day trading on Wednesday . The stock traded as high as GBX 1,259.50 ($16.83) and last traded at GBX 1,235.52 ($16.51). 3,521,186 shares were traded during mid-day trading, a decline of 21% from the average session volume of 4,458,733 shares. The stock had previously closed at GBX 1,179 ($15.75).

Wall Street Analysts Forecast Growth

Several equities analysts recently issued reports on PSN shares. Citigroup reduced their price objective on shares of Persimmon from GBX 1,573 to GBX 1,530 and set a "buy" rating on the stock in a research note on Thursday, August 14th. Berenberg Bank reissued a "hold" rating and set a GBX 1,300 price objective on shares of Persimmon in a research note on Tuesday, September 9th. Jefferies Financial Group reduced their price objective on shares of Persimmon from GBX 1,801 to GBX 1,790 and set a "buy" rating on the stock in a research note on Tuesday, October 7th. Finally, Royal Bank Of Canada restated a "sector perform" rating and issued a GBX 1,375 price target on shares of Persimmon in a report on Wednesday, August 13th. Three analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat.com, Persimmon has an average rating of "Moderate Buy" and an average target price of GBX 1,503.

Persimmon Stock Performance

The company has a quick ratio of 1.04, a current ratio of 4.09 and a debt-to-equity ratio of 4.91. The company has a market cap of £3.96 billion, a PE ratio of 15.58, a P/E/G ratio of 0.83 and a beta of 1.37. The stock's 50 day simple moving average is GBX 1,121.10 and its two-hundred day simple moving average is GBX 1,209.80.

Persimmon (LON:PSN - Get Free Report) last posted its quarterly earnings data on Wednesday, August 13th. The company reported GBX 36.80 EPS for the quarter. Persimmon had a net margin of 8.84% and a return on equity of 7.51%. As a group, research analysts anticipate that Persimmon Plc will post 98.2810615 earnings per share for the current year.

Insiders Place Their Bets

In other Persimmon news, insider Andrew Duxbury sold 7,132 shares of the firm's stock in a transaction dated Monday, September 29th. The shares were sold at an average price of GBX 1,133, for a total transaction of £80,805.56. 2.63% of the stock is currently owned by corporate insiders.

Persimmon Company Profile

Persimmon Plc, together with its subsidiaries, operates as a house builder in the United Kingdom. The company offers family housing under the Persimmon Homes brand name; housing under the Charles Church brand name; and social housing under the Westbury Partnerships brand name. It also provides broadband services under the FibreNest brand; and timber frame, insulated wall panels, and roof cassettes under the brand Space4.

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