|Bid||489.10 x 0|
|Ask||490.30 x 0|
|Day's range||477.50 - 500.69|
|52-week range||373.10 - 710.60|
|Beta (5Y monthly)||0.48|
|PE ratio (TTM)||24.99|
|Earnings date||28 Feb 2020|
|Forward dividend & yield||N/A (N/A)|
|Ex-dividend date||30 Apr 2020|
|1y target est||466.31|
Jabran Khan advises against these two stocks during this current crash. The post 2 FTSE 100 stocks I would avoid during the market crash appeared first on The Motley Fool UK.
The 'Boris bounce' lifted the UK property market in February, but lending is now expected to drop as the coronavirus hits sales.
(Bloomberg Opinion) -- The U.K. housing market — that obsession of middle-class Brits — has been placed in suspended animation. Buyers and renters have been told to delay moving home to limit the spread of coronavirus. While a few transactions are still going through, a functioning market depends on prospective buyers and surveyors being able to view people’s homes. Mobility restrictions and distancing measures make that all but impossible.Set against the loss of life caused by the virus, the anticipated collapse in housing transactions for at least the next few months is a price worth paying. Still, the knock-on effect will be severe across the sector, from the mortgage lenders obliged to offer struggling customers three-month payment holidays to the home-builders like Persimmon Plc and Taylor Wimpey Plc who’ve closed construction sites. For estate agents, struggling even before the pandemic, the standstill will be particularly painful.Boris Johnson’s government is trying to cushion the blow by suspending property taxes for businesses and paying employee wages (yes, even for real estate agents). But smaller outfits, those with weak balance sheets or those that were mismanaged before coronavirus struck, face a very difficult year. In the 2008-2009 downturn thousands of estate agents left the industry.It won’t be just those forced to shutter high street branches that face a bleak period though; while employees of digital property portals such as Rightmove Plc and Zoopla can more easily work from home, they’re being drawn into a brutal price war.With the busy spring and summer selling season poised to start, the timing of the lockdown could hardly be worse. The U.K. property market has already endured a few tepid years of because Brexit worries, stamp duty changes and high house prices that make it harder for people to purchase a home. Now the much ballyhooed “Boris bounce” after his recent election win has been extinguished and 2020 looks like being a write-off, forcing estate agents to slash costs.Countrywide Plc, the country’s biggest estate agent, was already ailing, having piled on debt to fund expansion. Shareholders recapitalized the business in 2018 via a massively discounted rights issue. Its debt covenants were also amended. Now, a takeover by rival LSL Property Services Plc has been called off; an agreed 38 million pound sale of its commercial property arm also failed to complete. Including lease obligations it still has about 194 million pounds of net debt, or almost 6 times ebitda. That’s uncomfortably high.London-focused Foxtons Group Plc is also loss-making but it has no bank or bond debt and held 15.5 million pounds of cash at the end of December. It has since drawn down a 5 million pounds credit line. However, renting office space and the ubiquitous Minis that its agents drive around consumes about 12 million pounds annually, so it too must slash costs. Besides rent, another big outlay for agents is the cost of advertising properties for sale with online portals. On average market leader Rightmove Plc charges agents more than 1,000 pounds a month for each advertiser. Coronavirus has sparked a full-blown rebellion against such fees. Rightmove’s initial offer to defer part of those payments for six months was poorly received, forcing it to backtrack and offer a 75% discount for the next four months instead. This will cost about 70 million pounds, or about one-fifth of estimated revenues. But that’s not the end of it: Rival Zoopla, which was acquired by private equity firm SilverLake in 2018 for $3 billion, is offering agents nine months free if they quit Rightmove. On Friday Rightmove suspended its dividend and scrapped its financial guidance.Loss-making platform Purplebricks Group Plc says it plans to conduct viewings and valuations via Zoom, Facetime and Whatsapp. But its fixed-fee model (customers must pay even if their home doesn’t sell) could come under more pressure. The company is already reeling from a failed U.S. and Australian expansion. German media giant Axel Springer SE doubled its stake last year and now owns 26% of the group, but the shares have since lost about two-thirds of their value. It’s not all bad. The collapse in travel bookings has prompted people who usually let their homes on Airbnb in tourist hotpots like London and Edinburgh to advertise long term rentals instead. Eventually the wider property market should rebound, driven in part by the desire of those who are presently housebound deciding they really do need a bigger home or more green space.Yet the pace of that rebound, and the outlook for prices, will depend on whether government succeeds in preventing the temporary shock of coronavirus wreaking permanent economic damage. As elsewhere, unemployed Britons will be less inclined to purchase a home, and banks could tighten lending standards. Estate agents that survive the current drought will have to work even harder for their fees.This column does not necessarily reflect the opinion of Bloomberg LP and its owners.Chris Bryant is a Bloomberg Opinion columnist covering industrial companies. He previously worked for the Financial Times.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
These three FTSE 100 dividend stocks have smashed the market over the last 10 years. Roland Head thinks they could be perfect for a Stocks and Shares ISA.The post 3 quality FTSE 100 stocks I'd buy for my ISA in this market crash appeared first on The Motley Fool UK.
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To the annoyance of some shareholders, Rightmove (LON:RMV) shares are down a considerable 42% in the last month. Even...
Rightmove will take a hit of up to £75m as it slashed fees for estate agents hit by a 'significant' drop-off in buying and selling.
Rightmove said it was discounting customers' invoices by 75% for the next four months, leading to a hit of 65 million pounds-75 million pounds to its revenue this year. The impact from the coronavirus comes just as the British housing market, which had been subdued for the past four years due to Brexit-related uncertainty, was beginning to show signs of recovery. "A spike in the number of property transactions falling through has clearly got Rightmove worried and it's taken the decision to sacrifice profits in the short term to help customers keep their heads above water," Hargreaves Lansdown analyst Nicholas Hyett said.
UK property website Rightmove said on Friday a recent slowdown in property sales due to the coronavirus outbreak and the renters' protections announcement from the government may increase the pressure on estate and lettings agents. "The speed of the slowdown in the UK housing market has been significant," the company said.
Given the current volatility investors face, it is more important than ever to identify high quality stocks over speculative ones with weak fundamentals. This8230;
(Bloomberg) -- Asking prices for U.K. homes rose to a record in March as the market appeared undented by the coronavirus outbreak that’s threatening economies across the globe.Values increased 1% on the month to an average 312,625 pounds ($390,000), Rightmove said in a report Monday. In London, they gained 1.6% from a month earlier to 638,826 pounds. Both gauges posted their the biggest annual jump since 2016.The number of sales also jumped, and Rightmove said it had seen “no sign” so far of any drop in buyer interest or activity, as Britons seek to take advantage of what had been seen as a period of relative stability following the political turmoil caused by Brexit.The Bank of England’s emergency 50 basis point interest rate cut last week could support demand if it feeds through to lower mortgage rates, it said.“The market has been waiting for several years for a window of certainty, and 2020 seemed set to be the year when many would look to make a move,” said Rightmove Director Miles Shipside, “However, the current fast pace of the housing market could now be temporarily affected by the spread of the Covid-19 coronavirus.”A separate report by Acadata showed house prices rose by 0.5% in February.To contact the reporter on this story: Lucy Meakin in London at email@example.comTo contact the editors responsible for this story: Paul Gordon at firstname.lastname@example.org, David Goodman, Jana RandowFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Rightmove figures show house prices soaring, and one property expert said cancelled holidays may encourage more Brits to move instead.
The recent FTSE 100 (INDEXFTSE: UKX) crash is providing amazing buying opportunities, writes Edward Sheldon. The post Two high-quality FTSE 100 stocks I’d buy as coronavirus uncertainty crushes the market appeared first on The Motley Fool UK.