Oh dear, two large companies combine and, like an intergalactic "event" only negative matter remains....a case of 1 + 1 = 0.2

Let me say - sp a year ago was 10x today's - so this business has earned its place in the 90% club....and maybe more to come, as they will need to go overseas for cash, if the UK is dry.

I doubt there is a UK Builder with enough dosh to bail-out this dullard. They all thought they could expand until the UK burst with immigrants - yet they consistently went for pricier properties and projects where ( even now), there is some doubt whether there are enough jobs to support new-build developments.

EDIT ( Nov 2015 ) - Seven years on and we're at 183p - so anyone that bought at the all-time Low has done very well - but the Market was fearful and that meant few were Buying. 2009/2010 averaged about 40p - that was a good time if you had the LT cash.
With the rise and yield-multiplier effect, this is looking like Buying it was "probably" inspired.... but it has not regained that earlier Value - which will surely take a lot longer.

Yep going nicely now Jimmy.

Toscafund's Hughes backs housebuilders, resources
08 Jan 2010 - 16:40

(Repeats to additional subscriber service)

* Favours online gaming, resources, housebuilders

* Wary of consumer discretionary, commercial property

* Funds up more than 100 pct in 2008


By Laurence Fletcher

LONDON, Jan 8 (Reuters) - Hedge fund firm Toscafund's high-profile founder Martin Hughes is backing online gaming, housebuilders and resource stocks for 2010 but is wary of commercial property and has moved out of retailers.

Hughes, whose funds were hard hit during the market fall of 2008, saw the firm's Mid Cap and Opportunity funds return more than 100 percent last year, helped by a bet that the price of new houses in the UK would not collapse, and says he remains positive on this sector.

"Looking forward, we expect good gains in 2010," said Hughes, who was ranked joint 322nd in last year's Sunday Times Rich List with an estimated wealth of 175 million pounds ($279.1 million), in a rare interview.

"We feel we're going to make a lot of money out of housebuilders as they're undervalued. Media hysteria has house prices falling this year, but they're going up."

His top bets in his Mid Cap fund last year were Redrow and Taylor Wimpey , which more than doubled and rose fivefold respectively from trough to peak.

He also favours resource stocks, particularly those involved in oil in Africa, gold miners and basic resources.

"Resource stocks are attractive... There may or may not be a bubble in gold (the metal), but if you go back three years gold shares have hardly moved. We expect very favourable announcements."

He said he recently bought into Fijian gold company Vatukoula .

"Based on management expectations it's on a PER (price/earnings ratio) of just over 1.5 (times), so we expect it to rise 10-fold over the next 12 months."

He also favours online gaming stocks but has switched out of consumer discretionary.

"We're happy with the online gaming market, which has seen important regulation, particularly in the U.S.

"We did well out of consumer discretionary in 2009 and we won't be investing there now. We're avoiding stores and shops and commercial property

Sounds good GF ,,also favours oil in Africa ,,that spells Afren to me ,glad i'm in both ,,,,,,bit of caution required here as i dont think house prices will rise this year ,its wether they are selling or not thats the big question ,,,banks have to lend...

Keep on buying TW. at 44p.

TW. - TAYLOR WIMPEY monday 18/01/2010



Fundies Backup..

BROKER CALL: Credit Suisse remains bullish on UK housebuilders
12 January, 2010 07:34:30 AM

Broker tells us: 'We cite an average 58% upside potential to our target prices. We now expect flat house prices in 2010 (previously down 5%) and thus do not anticipate any further impairments across the sector (we believe prices need to fall 14% from current levels for further impairments). We see the sector valuation, at 1.0x NAV, as attractive.' Credit Suisse retains its outperform ratings on Barratt (TP: 257p), Bellway (TP: 1256p from 1200p), Bovis (TP: 774p from 750p), Persimmon (TP: 642p from 606p), Redrow (TP: 215p) and Taylor Wimpey (TP: 65p). Maintains its neutral rating on Berkeley (TP: 920p from 903p).

and

today... Taylor Wimpey Consumer, Cyclical Buy 53 42.91 23.5% ABN Amro

SP target 53p 23.5% upside.

House builders can rise even if house prices stall in 2010

http://www.citywire.co.uk/personal/-/news/markets-companies-and-funds/content.aspx?ID=376104

Housebuilders get a welcome boost from Credit Suisse

http://www.thisislondon.co.uk/standard-business/article-23794076-housebuilders-get-a-welcome-boost-from-credit-suisse.do

Another broker backing TW. today....

13-Jan-10 Taylor Wimpey TW. CSFB Outperform 42.26p 65.00p - Reiteration

BlackRock long/short equities star Mark Lyttleton has issued a bullish market outlook, saying the UK will avoid a double-dip recession.

He has also boosted housing giant Taylor Wimpey and added to his holding in defensive tobacco giant BAT.

http://www.ftadviser.com/InvestmentAdviser/Investments/Region/UK/News/article/20100113/0e8aad64-0047-11df-a148-00144f2af8e8/IA-p13-180110-Lyttleton.jsp

His fund greatly underperformed last year, and given he has gone long from previously being short I wouldn't expect him to be anything but bullish.
2517

Fact is ,how long have you got ? for me a year or two and i'll have a nice return ,better than cash in the bank.

Good luck jimmy b and other holders, but I just don't see where the demand will come from this year to move the sp, of course there may be gains to be had trading housebuilders, but with everything in their favour atm, and the TW. sp making heavy weather of it, I prefer to wait for the inevitable pullback. Imo 27p is attainable on TW.
2517

George ,everyone is talking about house prices ,i think its if the banks lend and they sell thats more important than if prices go up , so you may be right when you say "where the demand will come from" . I'm not expecting to make a killing in the next few weeks.

RNS Shroders shareholding increased to 6%.

Internal e-mail pased around TW. lifted from ample site....

Dear All,

You may be aware of the recent announcement from the Homes and Communities Agency concerning the Delivery Partner Panels for England that they have recently tendered. There are three panels North, Midlands and South and I am pleased to confirm that Taylor Wimpey UK Ltd has been appointed to all three panels. This is a great achievement, as the Government were looking for new entrants mainly contractors to come into the industry and only two developers Barratt and ourselves were appointed to all three panels.

The purpose of the panels is to streamline development of publicly owned land panel members will be made available to Local Authorities, Regional Development Agencies and other public bodies for the development of new housing through the Local Authority New Build and Public Land Initiative Programmes, as well as for HCA/Government land.

Being a member of all three panels will allow us to access publicly owned land that will not be on the open market we will still need to tender each project, however the schemes will only be available to those appointed to the panels and margins and some rates have been pre-agreed.

There was considerable work undertaken by many people within the organisation to put us in a position to be appointed.

We are now in a good position to tap into a source of land which I hope will benefit many parts of the business. Further details of how the panels will operate will be issued in the near future.

I attach a link to the official announcement for your information.

http://www.homesandcommunities.co.uk/one-stop-shop.htm

This may well be good news but I doubt it will be enough to stop the sp (41.64p) falling further (including other housebuilders). Despite all the so called experts/analysts buy recommendations for TW. the sp has failed to reach the April and August levels. I still remain in the bearish camp for TW. and housebuiders generally.
2517

very SOLID statement.....

Taylor Wimpey sees continuing stabilisation
Mon 18 Jan 2010

LONDON (SHARECAST) - Housebuilder Taylor Wimpey said market conditions in both the UK and North America during 2009 were better than those experienced during the previous year, although they still remained challenging.

The group expects to report full year results for the year ended 31 December in line with forecasts.

Year end net debt was about 750m, in line with the groups recently upgraded guidance and substantially below the 1,529m at 31 December 2008.

Our UK business has maintained its encouraging performance since our Interim Management Statement in November and we enter 2010 with a very strong order book position, up 28% by volume compared to the end of 2008, said the group.

In North America, we are encouraged by the prolonged period of stability we have experienced since early 2009, it added.

However, market conditions are likely to remain challenging in Spain during 2010.

Sector peers Bovis, Barratt Developments and Persimmon have all recently released relatively upbeat trading statements, though all remain cautious on prospects for 2010.

Full Trading Statement

BRIEF-Taylor Wimpey says reduces debt to 750 mln stg
18 Jan 2010 - 07:09

LONDON, Jan 18 (Reuters) - Taylor Wimpey Plc : * Expects to report full year results in line with its expectations * Completed a total of 10,186 homes in 2009 (FY 2008: 13,394) * Enter 2010 with a very strong order book position. * Increased our private order book by 62% to 3,048 homes * Our year end net debt was c.750 million * We do not anticipate making any further material adjustments to land values

((London Equities Newsroom; +44 20 7542 7717))

Solid statement but sp going down. Why is this???

Hylo - read here.