PersimmonPSMMF 75 5-Year Yield-on-Cost % is 1.61 as of Jul. 03, 2026, which is 9% below its 10-year median of 1.77. GuruFocus rates PSMMF with a GF Score™ of 75/100 and a GF Value™ of $21.60. The stock has 3 warning signs investors should review. Among 53 Homebuilding & Construction companies, Persimmon ranks worse than 81.13% on this metric.
Persimmon's yield on cost for the quarter that ended in Dec. 2025 was 1.61.
The historical rank and industry rank for Persimmon's 5-Year Yield-on-Cost % or its related term are showing as below:
PSMMF'
s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 1.06 Med: 1.77 Max: 7.48
Current: 1.61
During the past 13 years, Persimmon's highest Yield on Cost was 7.48. The lowest was 1.06. And the median was 1.77.
PSMMF's 5-Year Yield-on-Cost % is ranked worse than 81.13% of 53
companies
in the Homebuilding & Construction industry
Industry Median: 4.04
vs PSMMF: 1.61
Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.
Persimmon 5-Year Yield-on-Cost % Related Terms
PSMMF vs DHI, PHM, LEN: 5-Year Yield-on-Cost % Comparison
For the Residential Construction subindustry, Persimmon's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % 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 5-Year Yield-on-Cost % vs Homebuilding & Construction Industry
For the Homebuilding & Construction industry and Consumer Cyclical sector, Persimmon's 5-Year Yield-on-Cost % distribution charts can be found below:
* The bar in red indicates where Persimmon's 5-Year Yield-on-Cost % falls into.
Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.
Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.
Therefore, Yield-on-Cost of Persimmon is calculated as
Persimmon (PSMMF) has a 5-Year Yield-on-Cost % of 1.61 as of Jul. 03, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Persimmon and its competitors. This is near median its historical median of 1.77. Over the past decade, Persimmon's 5-Year Yield-on-Cost % has ranged from 1.06 to 7.48. According to the industry distribution chart, Persimmon ranks #43 out of 53 companies in the Homebuilding & Construction industry, placing it in the top 81.1%.
Is Persimmon's 5-Year Yield-on-Cost % too high?
Persimmon's current 5-Year Yield-on-Cost % of 1.61 is near median its 10-year median of 1.77. Over the past 10 years, this metric has ranged from a low of 1.06 to a high of 7.48. The Homebuilding & Construction industry median 5-Year Yield-on-Cost % is 4.04. Persimmon's value of 1.61 is 60.1% below this industry median. Based on the distribution chart, Persimmon ranks #43 out of 53 companies in the Homebuilding & Construction industry, which is in the bottom quartile relative to peers. Overall, Persimmon has a GF Score™ of 75/100, reflecting its overall financial health beyond just this single metric.
How does Persimmon's 5-Year Yield-on-Cost % compare to DHI and PHM?
According to the Homebuilding & Construction industry distribution chart, Persimmon ranks #43 out of 53 companies for 5-Year Yield-on-Cost %. This places Persimmon in the lower half of its industry. The industry median 5-Year Yield-on-Cost % is 4.04. Persimmon's value of 1.61 is 60.1% below this benchmark. Historically, Persimmon's own 5-Year Yield-on-Cost % has ranged from 1.06 to 7.48 over the past decade. While the company's 10-year median is 1.77 vs. the industry median of 4.04, Persimmon has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year Yield-on-Cost % for a Homebuilding & Construction company?
The median 5-Year Yield-on-Cost % among Homebuilding & Construction companies is 4.04, based on 53 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Persimmon's current 5-Year Yield-on-Cost % of 1.61 is 60.1% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Persimmon and its competitors. For the Homebuilding & Construction industry, the median 5-Year Yield-on-Cost % is 4.04 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Persimmon's current 5-Year Yield-on-Cost % is 1.61, which is near median its own 10-year median of 1.77. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Persimmon stock overvalued right now?
Persimmon (PSMMF) has a current 5-Year Yield-on-Cost % of 1.61. The stock's GF Value™ is $21.60, compared to a current price of $15.26 — trading 29.3% below its estimated fair value. The current 5-Year Yield-on-Cost % is 1.61, which is near median its 10-year median of 1.77 and 60.1% below the Homebuilding & Construction industry median of 4.04. Persimmon's overall GF Score™ is 75/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For Persimmon (PSMMF), the current 5-Year Yield-on-Cost % is 1.61 as of Jul. 03, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Persimmon (PSMMF) Overvalued in 2026?
Based on GuruFocus' analysis, Persimmon stock appears to be undervalued.
The current stock price of $15.26 is trading 29.3% below its estimated GF Value™ of $21.60.
Key valuation signals for PSMMF:
5-Year Yield-on-Cost %: 1.61 (near median its 10-year median of 1.77)
GF Value™: $21.60 vs. price of $15.26 (29.3% below fair value)
Industry Position: 60.1% below the Homebuilding & Construction median (#43 of 53)
No single metric tells the full story. See the PSMMF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Persimmon is one of the UK's largest residential property developers by revenue and dwelling completions, marketing homes under its three brands: Persimmon Homes, Charles Church, and Westbury Partnerships. Persimmon distinguishes itself from peers by operating in the lower-priced segment of the new-build market; Persimmon Homes' average selling price in 2024 was 20% below the UK new-build national average. Like peers, Persimmon has traditionally operated in the land development, construction, and sales and marketing segments of the residential property development value chain. However, unlike peers, in recent years, Persimmon has begun manufacturing its own bricks, tiles, and timber frames, aiming to secure the supply and quality of key materials and manage build cost inflation.
75GF Score
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5-Year Yield-on-Cost % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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