MARKET TALK: Bovis Homes 1H Solid - KBC

9th Jul 2010 07:58

0658 GMT [Dow Jones] Bovis Homes's (BVS.LN) 1H performance is solid but not dramatic, says KBC Peel Hunt. Says land spending is higher than the brokerage expected, which could lead to more rapid volume expansion across the next three years. "More aggressive land acquisition is the smart move - we believe it is right to buy land now even if prices are likely to slip back. It provides assurance and visibility into how margins can recover." Adds that the shares remain expensive. Keeps the stock at sell, with 365p price target. Shares closed Thursday at 349p. ([email protected]) Contact us in London. +44-20-7842-9464 [email protected] (END) Dow Jones Newswires July 09, 2010 02:58 ET (06:58 GMT)