Want to see GB:BWY full AI Analyst Report?
Top Page
Bellway
(LSE:BWY)
Select Model
Select Model
Rating:69Neutral
Price Target:
2,282.00 p
â–²(3.73% Upside)
Action:Reiterated
Date:08/06/26
The score is driven primarily by solid financial performance (notably revenue recovery and a strong, low-leverage balance sheet) and supportive earnings-call signals around cash generation targets and shareholder returns. These positives are tempered by cash flow weakness in the financial statements, ongoing margin pressure and build-safety uncertainties discussed on the call, and a technical setup that is improving short term but still below the 200-day trend with stretched momentum indicators.
Positive Factors
Revenue and Volume Growth
Revenue recovery, higher completions and upgraded volume guidance indicate improving demand and execution. Sustained delivery growth can support operating profit and strengthen Bellway’s position across its UK housebuilding platform.
Negative Factors
Margin Compression
Lower margins show that Bellway is not yet fully passing through build-cost inflation and must use incentives to support sales. Persistent pricing pressure could constrain profit growth even if volumes recover across the housing cycle.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue and Volume Growth
Revenue recovery, higher completions and upgraded volume guidance indicate improving demand and execution. Sustained delivery growth can support operating profit and strengthen Bellway’s position across its UK housebuilding platform.
Read all positive factors
Bellway (BWY) vs. iShares MSCI United Kingdom ETF (EWC)
Market Cap
£2.22B
Dividend Yield3.63%
Average Volume (3M)342.82K
Price to Earnings (P/E)15.0
Beta (1Y)1.63
Revenue Growth13.29%
EPS Growth7.12%
CountryUK
Employees2,719
SectorConsumer Cyclical
Sector Strength84
IndustryResidential Construction
Share Statistics
EPS (TTM)1.32
Shares Outstanding112,347,810
10 Day Avg. Volume342,263
30 Day Avg. Volume342,823
Financial Highlights & Ratios
PEG Ratio0.85
Price to Book (P/B)0.83
Price to Sales (P/S)1.06
P/FCF Ratio22.03
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
£2,355.88Price Target Upside7.09% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering8
EPS Forecast (FY)1.66
Revenue Forecast (FY)£3.08B
Bellway Business Overview & Revenue Model
Company Description
Bellway p.l.c., through its various subsidiaries, operates as a residential property developer throughout the United Kingdom. The company constructs and markets a diverse range of homes, from one-bedroom flats to substantial six-bedroom family res...
How the Company Makes Money
Bellway makes money mainly by developing and selling newly built residential properties. Its core revenue stream is proceeds from legal completion of home sales on developments it has built; this includes sales to private buyers and sales to affor...
Bellway Earnings Call Summary
Earnings Call Date:Mar 24, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Oct 13, 2026
Earnings Call Sentiment Positive
The call balances a number of strong operational and financial positives — improving trading momentum, higher volumes, robust cash-generation targets, a resilient balance sheet, dividend increase and active buyback — against clear near-term headwinds: margin compression, build-safety obligations, elevated overheads from strategic investment and inflation/macro risks (notably the Middle East). Management emphasizes capital efficiency, WIP monetization and prudent guidance while remaining cautious about FY '27 risks. On balance, the positives around cash generation, liquidity, order book recovery and strategic investments outweigh the short-term challenges, but uncertainty remains and will be monitored.Positive Updates
Volume Growth in H1
Completed 4,702 homes in H1, representing a 2.7% increase in volume versus prior year; FY '26 volume guidance increased by 100–300 units to 9,300–9,500 homes.
Negative Updates
Margin Pressure
Gross margin fell by 20 basis points to 16.2% and underlying operating margin reduced by 50 basis points to 10.5%, driven by incremental incentive usage, lack of house price inflation, and low single-digit build cost inflation.
Read all updates
Q2-2026 Updates
Positive
Negative
Volume Growth in H1
Completed 4,702 homes in H1, representing a 2.7% increase in volume versus prior year; FY '26 volume guidance increased by 100–300 units to 9,300–9,500 homes.
Read all positive updates
Company Guidance
Bellway reiterated FY‑26 guidance to deliver underlying operating profit of GBP 320–330m on volumes of 9,300–9,500 homes with an average selling price around GBP 325,000 and an operating margin similar to H1 (~10.5%); adjusted operating cash flow is targeted at GBP 750–800m, finance expense c. GBP 20m, admin overhead GBP 170–175m and land spend GBP 500–600m. In H1 the group delivered c. 4,702 homes, ASP just over GBP 322k (up 3.7%), gross margin 16.2% (‑20bps), underlying PBT GBP 151m, interim dividend 23p (up ~10%), and conversion of operating profit to adjusted operating cash flow of 2x; period end net debt was a modest GBP 72m, adjusted gearing (incl. land creditors) 10.3%, NAV per share just over GBP 30. Balance sheet metrics: land balance c. GBP 2.5bn (down ~GBP 38m), new deferred land contracts c. GBP 130m, period‑end land creditors GBP 290m (12%), WIP c. GBP 2.3bn (down GBP 39m), site WIP just over GBP 2.1bn (down GBP 61m), part‑exchange up c. GBP 20m (~6% of completions), land bank c. 94,000 plots (c. half owned/controlled, half strategic), order book c. GBP 1.5bn/5,300 homes (13 Mar) and >85% sold for FY‑26. Build safety: provision GBP 507m, spend to date GBP 212m (GBP 21m in H1), FY‑26 budgeted spend >GBP 150m (inflation c. 3% assumed for remediation), recoveries recognized GBP 81m to date. Management expects operating profit to rise c. GBP 20–30m y/y and operating cash flow to increase c. GBP 100–150m y/y, and continues a GBP 150m buyback (c. GBP 64m completed).Bellway Financial Statement Overview
Summary
Income Statement
75
Positive
Balance Sheet
70
Positive
Cash Flow
60
Neutral
| Breakdown | TTM | Jul 2025 | Jul 2024 | Jul 2023 | Jul 2022 | Jul 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 2.87B | 2.78B | 2.38B | 3.41B | 3.54B | 3.12B |
| Gross Profit | 470.00M | 456.80M | 367.00M | 687.30M | 787.00M | 651.90M |
| EBITDA | 260.00M | 251.40M | 225.10M | 510.20M | 314.70M | 486.80M |
| Net Income | 156.80M | 157.50M | 130.50M | 365.00M | 242.60M | 390.70M |
Balance Sheet | ||||||
| Total Assets | 5.06B | 5.19B | 5.00B | 5.11B | 4.99B | 4.68B |
| Cash, Cash Equivalents and Short-Term Investments | 118.00M | 171.80M | 119.50M | 362.00M | 375.30M | 460.30M |
| Total Debt | 190.00M | 487.70M | 130.00M | 513.80M | 540.60M | 603.00M |
| Total Liabilities | 1.54B | 1.64B | 1.53B | 1.65B | 1.62B | 1.39B |
| Stockholders Equity | 3.52B | 3.56B | 3.47B | 3.46B | 3.37B | 3.29B |
Cash Flow | ||||||
| Free Cash Flow | 77.70M | 134.10M | -66.90M | 243.40M | 60.70M | 429.60M |
| Operating Cash Flow | 88.60M | 146.00M | -65.50M | 246.10M | 61.20M | 432.90M |
| Investing Cash Flow | -12.60M | -19.70M | -8.00M | -18.20M | 19.10M | 5.20M |
| Financing Cash Flow | -80.00M | -74.00M | -169.00M | -241.20M | -165.30M | -29.20M |
Bellway Technical Analysis
Negative
2200.00
Price Trends
2039.80
Negative
1958.95
Positive
2223.30
Negative
Market Momentum
-4.91
Positive
35.11
Neutral
7.25
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:BWY, the sentiment is Negative. The current price of 2200 is above the 20-day moving average (MA) of 2120.35, above the 50-day MA of 2039.80, and below the 200-day MA of 2223.30, indicating a bearish trend. The MACD of -4.91 indicates Positive momentum. The RSI at 35.11 is Neutral, neither overbought nor oversold. The STOCH value of 7.25 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:BWY.
Bellway Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
72 Outperform | £2.99B | 9.83 | 8.79% | 6.88% | -4.15% | -10.86% | |
69 Neutral | £2.22B | 15.01 | 4.43% | 3.63% | 13.29% | 7.12% | |
67 Neutral | £3.95B | 18.46 | 2.73% | 5.99% | 28.95% | 43.50% | |
67 Neutral | £3.54B | 11.65 | 8.45% | 5.42% | 17.38% | 18.92% | |
65 Neutral | £2.71B | 11.09 | 5.99% | 9.79% | 9.47% | 193.33% | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
55 Neutral | £820.42M | 6.31 | 4.20% | 7.03% | -4.38% | 100.09% |
* Consumer Cyclical Sector Average
GB:BWY
Bellway
1,981.00
-263.62
-11.74%
GB:BTRW
Barratt Redrow
285.50
-64.57
-18.45%
GB:BKG
The Berkeley Group Holdings
3,284.00
-358.00
-9.83%
GB:VTY
Vistry Group
268.20
-321.00
-54.48%
GB:PSN
Persimmon
1,107.00
75.56
7.33%
GB:TW
Taylor Wimpey
77.82
-12.49
-13.83%
Bellway Corporate Events
Business Operations and StrategyStock Buyback
Bellway Advances Share Buyback, Cuts Share Count to 112.8 Million
Positive
Aug 17, 2026
Bellway has continued executing its previously announced share buyback programme, purchasing 111,849 ordinary shares on the London Stock Exchange between 10 and 14 August 2026 through Deutsche Bank AG. The shares, bought at a volume-weighted avera...
Business Operations and StrategyStock BuybackFinancial Disclosures
Bellway boosts completions and cash as it leans on capital discipline and buybacks
Positive
Aug 11, 2026
Bellway reported a robust year to 31 July 2026, lifting housing completions by 10.8% to 9,695 homes and housing revenue by over 13% to £3.14bn, with underlying operating profit expected around £320m despite margin pressure from a higher ...
Business Operations and StrategyStock Buyback
Bellway Cancels Further Shares as Buyback Programme Advances
Positive
Aug 10, 2026
Bellway p.l.c. has continued to execute its share buyback programme, repurchasing 28,680 ordinary shares between 4 and 7 August 2026 on the London Stock Exchange via Deutsche Bank AG, at a volume-weighted average price of about 2,081 pence per sha...
Regulatory Filings and Compliance
Bellway updates market on share capital and voting rights
Neutral
Aug 3, 2026
Bellway p.l.c. has reported that as of 31 July 2026, its issued share capital comprises 112,974,385 ordinary shares of 12.5 pence each, with no shares held in Treasury. The Bellway Employee Benefit Trust holds 463,997 shares and has waived voting ...
Business Operations and StrategyStock Buyback
Bellway Advances Share Buyback, Shrinks Share Count Further
Positive
Jul 31, 2026
Bellway p.l.c. is a major U.K. residential housebuilder listed in London, developing and selling homes across the country to a wide spectrum of buyers. Its role as a large, cyclical player in the housing market means that decisions on capital stru...
Business Operations and StrategyDelistings and Listing Changes
Bellway Adds Employee Scheme Shares to London Listing
Neutral
Jul 31, 2026
Bellway has admitted 11,138 new ordinary shares of 12.5p each to trading on the Main Market of the London Stock Exchange, following their allotment under the company’s 2023 Savings Related Share Option Scheme. The shares, issued on various d...
Business Operations and StrategyStock Buyback
Bellway Cancels Further Shares Under Ongoing Buyback Programme
Positive
Jul 27, 2026
Bellway has continued its previously announced share buyback programme, purchasing 43,740 ordinary shares between 20 and 24 July 2026 via Deutsche Bank on the London Stock Exchange. The bought-back shares will be cancelled, reducing the company...
Business Operations and StrategyStock Buyback
Bellway Cancels Further Shares Under Buyback Programme, Reducing Share Capital
Positive
Jul 20, 2026
Bellway p.l.c. is a U.K.-listed residential housebuilder specialising in the development and sale of new-build homes, with its ordinary shares traded on the London Stock Exchange. The company employs share buyback programmes as part of its broader...
Business Operations and StrategyStock Buyback
Bellway Cuts Share Count Further as Buyback Programme Progresses
Positive
Jul 13, 2026
Bellway has continued executing its share buyback programme, repurchasing 52,100 ordinary shares between 6 and 10 July 2026 on the London Stock Exchange at volume-weighted average prices mostly around 1,850–1,950 pence. These shares will be ...
Business Operations and StrategyStock BuybackRegulatory Filings and Compliance
Bellway Cuts Share Count Further as Buyback Programme Advances
Positive
Jul 6, 2026
Bellway has continued to execute the second tranche of its share buyback programme, purchasing 253,500 ordinary shares between 29 June and 3 July 2026 on the London Stock Exchange via Deutsche Bank AG, at a volume‑weighted average price of 1...
Regulatory Filings and Compliance
Bellway Clarifies Share Capital and Voting Rights Position
Neutral
Jul 1, 2026
Bellway has confirmed that as of 30 June 2026 its issued share capital comprised 113,311,545 ordinary shares, with no shares held in Treasury, and that the Bellway Employee Benefit Trust holds 463,997 shares on which it has waived voting and divid...
Business Operations and StrategyStock Buyback
Bellway Continues Share Buyback, Cuts Total Shares in Issue
Positive
Jun 29, 2026
Bellway has continued executing its share buyback programme, repurchasing 165,406 ordinary shares between 22 and 26 June 2026 on the London Stock Exchange at a volume-weighted average price of 1,904.49 pence. The acquired shares will be cancelled,...
Business Operations and StrategyStock Buyback
Bellway Advances Share Buyback, Shrinking Share Base to 113.6 Million
Positive
Jun 22, 2026
Bellway has continued its previously announced share buyback programme, purchasing 256,603 ordinary shares between 15 and 19 June 2026 through Deutsche Bank AG, at a volume-weighted average price of about 1,828 pence on the London Stock Exchange. ...
Business Operations and StrategyStock Buyback
Bellway Continues Share Buyback, Cuts Share Count to 113.8 Million
Positive
Jun 15, 2026
Bellway has continued executing its previously announced share buyback programme, purchasing 344,380 ordinary shares between 8 and 12 June 2026 on the London Stock Exchange through Deutsche Bank. These shares, bought at a volume-weighted average p...
Business Operations and StrategyStock BuybackDividendsFinancial Disclosures
Bellway Holds Profit Guidance as UK Housing Market Softens
Positive
Jun 9, 2026
Bellway reported resilient trading in a tougher UK housing market, with spring demand easing as higher mortgage rates dampen reservations, though volumes and cancellations remain broadly stable. The group reiterated guidance for full-year completi...
Business Operations and StrategyStock Buyback
Bellway Cancels Further Shares as Buyback Shrinks Share Base
Positive
Jun 8, 2026
Bellway has continued its share buyback programme, purchasing 340,200 ordinary shares between 1 and 5 June 2026 on the London Stock Exchange through Deutsche Bank, at a volume-weighted average price of about 1,830 pence. The company will cancel th...
Regulatory Filings and Compliance
Bellway Confirms Total Voting Rights Following Employee Trust Holdings
Neutral
Jun 1, 2026
Bellway p.l.c. has reported that its issued share capital at 29 May 2026 comprised 114,516,117 ordinary shares, with no shares held in Treasury, providing investors with full transparency over its capital base. The Bellway Employee Benefit Trust h...
Stock Buyback
Bellway Cancels Further Shares as Buyback Programme Advances
Positive
Jun 1, 2026
Bellway has continued executing its previously announced share buyback programme, purchasing 126,254 ordinary shares between 26 and 29 May 2026 on the London Stock Exchange via Deutsche Bank, at prices ranging roughly from 1,875p to 1,944p per sha...
Delistings and Listing ChangesPrivate Placements and Financing
Bellway Adds Shares to LSE Listing Under Employee Option Scheme
Neutral
May 29, 2026
Bellway has admitted 21,326 new ordinary shares of 12.5p each to trading on the Main Market of the London Stock Exchange, issued under its 2023 Savings Related Share Option Scheme. Following these allotments, the company’s total shares in is...
Business Operations and StrategyStock Buyback
Bellway Cuts Share Count Further with Ongoing Buyback Programme
Positive
May 26, 2026
Bellway has continued executing its share buyback programme, purchasing 327,952 ordinary shares between 18 and 22 May 2026 on the London Stock Exchange via Deutsche Bank. These shares, bought at a volume-weighted average price of about 1,835 pence...
Business Operations and StrategyStock Buyback
Bellway Advances Share Buyback, Cancels Over 4.3 Million Shares
Positive
May 18, 2026
Bellway has continued its ongoing share buyback programme, repurchasing 300,800 ordinary shares on the London Stock Exchange between 11 and 15 May 2026 at a volume-weighted average price of 1,899.33 pence. These shares, acquired through Deutsche B...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.