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UK housebuilders are under intense pressure this year. Barratt Redrow shares have dropped by 27%, while Taylor Wimpey, Barratt Redrow, and Persimmon have plunged by 27%, 28%, and 25% this year.

Persimmon PLC's (LSE:PSN) current calendar year looks increasingly secure, but Citi believes the bigger issue for investors is whether margins come under pressure in 2027. The US investment bank said the FTSE 100 housebuilder started the year strongly, with sales volumes tracking guidance and more than half of its private home completions already secured, per its last update in April.

Bank of America has cut its price target on Persimmon PLC (LSE:PSN), the FTSE 100 housebuilder, to 1,220p from 1,300p, citing rising construction costs that it expects to squeeze profitability in 2027. The broker kept its buy rating on the stock.

Persimmon PLC (LSE:PSN) shares rose 4% on Monday after JP Morgan named the housebuilder as its preferred stock in the sector while downgrading Taylor Wimpey PLC (LSE:TW.) and Vistry Group PLC (LSE:VTY) to 'underweight', as rising mortgage rates and build cost inflation force the bank to cut its 2027 earnings forecasts by an average of 20%.

Persimmon PLC (LSE:PSN) shares rose 3% to 1,055p after the housebuilder's annual meeting trading update reassured investors with a 7% increase in private forward sales and an unchanged profit guidance, prompting Liberum to leave its own estimates unaltered. Panmure Liberum, which carries a 'buy' rating and 1,694p target price on the stock, said the update highlights the benefits of Persimmon's strategic positioning…