Financial Trading Blog
Stock of the day 04/12/2014 – The Berkeley Group Holdings PLC
Based on its recent performance, there have been rumours The Berkeley Groups Holdings could become the fourth house-building company to join the FTSE100, as it looks to upgrade itself from the slightly less elite FTSE250. After peaking in February at 2809.5, share prices stabilised for much of the year between 2200 and 2400. The mid-October slump felt across the FTSE didn’t leave The Berkeley Group Holdings unscathed, causing a 2014 low of 2033.5.
However, the company quickly rallied to reach a second-half high of 2595.5 at the start of the week; then came George Osborne’s shock inclusion in his Autumn Statement. Shares in the company suffered a blow after the announcement of the stamp duty charges reform, falling 3.17% to 2462.5. Investors were spooked by the changes that will result in higher tax for properties of a value higher than £1 million, a big worry for high-end developers like The Berkeley Group Holdings. The markets calmed on this issue by Thursday, seeing share prices right themselves somewhat as they traded much of the day around the 2500 mark.
However, with the interim results coming up, financial advisors have been reserved about the health of the stock. Currently analysts are shrugging their collective shoulders at the company’s stocks, with an ‘overweight’ rating from JP Morgan being joined by a ‘hold’ from Deutsche Bank and ‘neutral’ from Goldman Sachs and Citigroup. The only bright spot was a lone ‘buy’ from Numis.
As The Berkeley Group Holdings feel the pressure from George Osborne’s shock decision yesterday, it will be hoping that the widespread downgrading of its stock rating does not reflect an ominous earnings release tomorrow.
It's easy to open an account
- Fill in our simple online application form
- Fund your account
- Start trading the global markets instantly!
SEARCH FOR AN ARTICLE:
Enter a keyword and search for all relevant articlesMARKET ANALYSIS
RECENT POSTS
DISCLAIMER
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 64% of retail investors lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work and whether you can afford to take the high risk of losing your money. For professional clients, spread betting and CFD trading can also result in losses larger than your initial stake or deposit.
Spreadex Ltd is authorised and regulated by the Financial Conduct Authority, provides an execution only service and does not provide advice in any way. Nothing within this update should be deemed to constitute the provision of investment advice, recommendations, any other professional advice in any way, or a record of our trading prices. This update does not constitute or form part of an offer of, or solicitation for a transaction in any financial instrument, nor shall it or the fact of its distribution form the basis of, or be relied on in connection with, any contract therefore. Any persons placing trades based on their interpretation of the comments or information within this update does so entirely at their own risk.
No representation, warranty, or undertaking, express or limited, is given as to the accuracy or completeness of the information or opinions contained within this update by Spreadex Ltd or any of its employees and no liability is accepted by such persons for the accuracy or completeness of any such information or opinions. As such, no reliance may be placed for any purpose on the information and opinions contained within this update.
The information contained within this update is the intellectual property of Spreadex Ltd and is protected by UK and International copyright laws. All rights reserved. Users may however freely download, distribute and reproduce extracts of the contents, subject always to accrediting Spreadex Ltd as the source and providing a hyperlink to www.machibet77.com.
