Broker snap: Panmure keeps hold on Berkeley

5th Sep 2011 12:39

While Berkeley Group presented a strong interim management statement on Monday, showing that trading since May has been ahead of expectations, Panmure Gordon keeps its hold rating on the London- and south east-focused house builder, saying that its current premium rating "looks about fair"."The group now expects to reach five-year profitability targets around two years earlier. Berkeley is a quality company, operating with the right product in the right locations," Panmure said.The firm said market conditions in the four months ended 31st August 2011 have enabled further growth in forward sales which are currently in excess of £850m. Due to the current trading performance, sales positions and the group's confidence in the full-year outlook, the broker has upped its profit assumptions.The target price stays at 1,200p.Shares were 4.92% higher at 1,237p by 12:39.BC