- Berkeley Group Holdings (The)
- 11 December 2025 10:18:32
Source: Sharecast
RBC Capital said Berkeley was "like a swan", noting that "the serene, smooth and graceful performance we see masks the hard work going on below the surface", as the firm manages "blustery market winds and the ebbs and flows of planning regulations".
"In challenging times there are few surprises for Berkeley's shareholders," said RBC.
The Canadian bank stated Berkeley believes that the housing market tide was in the process of turning, but that we have not yet reached the inflexion point, and despite the long-term attractions, the feel good factor has "yet to take to the London stage".
While RBC Capital reiterated its 'underperform' rating on the stock, it remains "equally impressed" by Berkeley's ability to deliver whatever the weather.
"We have done some necessary housekeeping to our estimates to reflect the growth in net asset value per share and the guidance both within today's results statement and our interpretation of the additional colour provided during the analyst meeting. We have also tweaked down our valuation multiple from 1.1x to 1.0x to reflect the absence of the necessary feel good factor and the fact that, although changes to planning and regulation are in the pipes, those pipes appear to be blocked in places rather than free flowing," concluded RBC.
Reporting by Iain Gilbert at Sharecast.com