|Bid||636.40 x 0|
|Ask||636.60 x 0|
|Day's Range||628.40 - 643.80|
|52 Week Range||351.80 - 721.20|
|Beta (5Y Monthly)||1.80|
|PE Ratio (TTM)||17.40|
|Forward Dividend & Yield||0.12 (1.89%)|
|Ex-Dividend Date||Feb. 25, 2021|
|1y Target Est||N/A|
House price growth of 10pc over the past year has fuelled concerns of a bubble. After all, it is the fastest pace of growth since shortly before the last housing market crash in 2007. However, in Questor’s view there are numerous catalysts that could maintain the upward trajectory of house prices over the long run. They could benefit housebuilders such as Redrow. Notably, government policies should provide support to the housing market. The updated Help to Buy scheme and recently launched mortgage guarantee scheme mean that first-time buyers require only a 5pc deposit. As a result the schemes will help prospective buyers to overcome what has become a significant hurdle to purchasing their first home. Their task will be further aided by today’s extremely low interest rates. The cost of mortgages has been reduced to such an extent that repayments make up around a third of the average UK salary despite house prices reaching record levels in recent months. This figure is similar to the 25-year average and suggests that mortgage repayments are currently affordable for many would-be homebuyers.
When we invest, we're generally looking for stocks that outperform the market average. And in our experience, buying...
Redrow plc ( LON:RDW ), might not be a large cap stock, but it saw a significant share price rise of over 20% in the...