Persimmon (LSE:PSN) PB Ratio

: 1.23 (As of Today)

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The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. As of today (2024-04-23), Persimmon's share price is £13.175. Persimmon's Book Value per Share for the quarter that ended in Dec. 2023 was £10.70. Hence, Persimmon's PB Ratio of today is 1.23.

The historical rank and industry rank for Persimmon's PB Ratio or its related term are showing as below:

LSE:PSN' s PB Ratio Range Over the Past 10 Years
Min: 0.9 Med: 2.24 Max: 3.21
Current: 1.2

During the past 13 years, Persimmon's highest PB Ratio was 3.21. The lowest was 0.90. And the median was 2.24.

LSE:PSN's PB Ratio is ranked worse than
56.31% of 103 companies
in the Homebuilding & Construction industry
Industry Median: 1.1 vs LSE:PSN: 1.20

During the past 12 months, Persimmon's average Book Value Per Share Growth Rate was -0.60% per year. During the past 3 years, the average Book Value Per Share Growth Rate was -1.00% per year. During the past 5 years, the average Book Value Per Share Growth Rate was 1.40% per year. During the past 10 years, the average Book Value Per Share Growth Rate was 5.10% per year.

During the past 13 years, the highest 3-Year average Book Value Per Share Growth Rate of Persimmon was 63.60% per year. The lowest was -9.50% per year. And the median was 7.85% per year.

Back to Basics: PB Ratio

Persimmon PB Ratio Historical Data

The historical data trend for Persimmon's PB Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Persimmon Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

PB Ratio

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2.64

2.51

1.13

1.30

Persimmon Semi-Annual Data
	Jun14	Dec14	Jun15	Dec15	Jun16	Dec16	Jun17	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23	Dec23
PB Ratio	Get a 7-Day Free Trial															2.51	1.65	1.13	0.98	1.30

Competitive Comparison

For the Residential Construction subindustry, Persimmon's PB Ratio, along with its competitors' market caps and PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Persimmon PB Ratio Distribution

For the Homebuilding & Construction industry and Consumer Cyclical sector, Persimmon's PB Ratio distribution charts can be found below:

* The bar in red indicates where Persimmon's PB Ratio falls into.

Persimmon PB Ratio Calculation

The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. It is a ratio widely used to value stocks.

Persimmon's PB Ratio for today is calculated as follows:

PB Ratio	=	Share Price	/	Book Value per Share (Q: Dec. 2023)
	=	13.175	/	10.702
	=	1.23

It can also be calculated from the numbers for the whole company:

PB Ratio

Market Cap

(Total Stockholders Equity

Preferred Stock)

A closely related ratio is called Price-to-Tangible-Book. The difference between Price-to-Tangible-Book and PB Ratio is that book value other than intangibles are used in the calculation.

Persimmon (LSE:PSN) PB Ratio Explanation

Unlike valuation ratios relative to the earning power such as PE Ratio, PE Ratio without NRI, PS Ratio, Price-to-Operating-Cash-Flow , or Price-to-Free-Cash-Flow, the PB Ratio measures the valuation of the stock relative to the underlying asset of the company.

The PB Ratio works the best for the businesses that earn most of their profit from their assets, e.g. banks and insurance companies.

Be Aware

Some businesses have very light assets, such as software companies or insurance agencies. The PB Ratio does not work well for these companies. Some companies even have negative equity, so the PB Ratio cannot be applied to them.

Persimmon PB Ratio Related Terms

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Persimmon (LSE:PSN) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Homebuilding & Construction » Persimmon PLC (LSE:PSN) » Definitions » PB Ratio

Comparable Companies

Traded in Other Exchanges

PSMMY:USA PSNl:UK OHP:Germany

Address

Persimmon House, Fulford, York, GBR, YO19 4FE

Website

https://www.persimmonhomes.com/corporate

Persimmon is the U.K.'s second largest residential property developer by revenue and dwelling completions, marketing homes under its three brands: Persimmon Homes, Charles Church, and Westbury Partnerships. Persimmon largely caters to the lower-priced segment of the newbuild market, attracting more first-time homebuyers than any of its peer homebuilders. Aligning with the typical business model employed by U.K. homebuilders, Persimmon is a vertically integrated speculative homebuilder.