Bank of America cuts Persimmon price target on build cost pressure

Bank of America cut Persimmon’s price target by 80p to 1,220p from 1,300p, citing rising construction costs that it expects to squeeze profitability in 2027. The broker kept its buy rating, so the note is negative on near-term fundamentals but not a full-thesis downgrade.

Analysis

Bank of America cut Persimmon’s price target by 80p to 1,220p from 1,300p, citing rising construction costs that it expects to squeeze profitability in 2027. The broker kept its buy rating, so the note is negative on near-term fundamentals but not a full-thesis downgrade.