Fri 27 June 2003 Just over a week before this date I read that one of the directors of this company had sold part of their holding of shares. That is usually an indicator to watch, showing that those in the know consider the price to have risen to highs that are in the short term unsustainable. The price at the time was around the 490p level, but as soon as that news became known the price natually fell. However, a few days later Persimmon posted some results, which showed, not unexpectedly, that they were doing very well. If any property company does poorly with the property market as it has been over the past twelve months or more then they need new management. I thought I had missed the boat. I had bought Beazer shares when that company first came to the market, at a cost of �990, and they were eventually taken over by Persimmon, for part cash, �654, and part shares. That left me with 185 shares in Persimmon. Not many, but at least I had got a substantial amount of my initial investment back in the takeover, so they were in my portfolio for little cost! After the good news I thought I would act, and set up a limit order with Charles Schwab to sell these 185 shares at or above 490 p. The price fluctated below that level, but two days ago it rose to within 1p of 490p, so I thought that yesterday morning it could pass the 490p and therefore be sold. That was not to be, as the market reacted to the fall in the DJ in USA. This morning, Friday, however, I was sorting out banners and links on several of my websites, and at about 11 am I decided to see how the market was getting on. I was very surprised to see that moneyam was showing that Persimmon has touched 493p, although it had fallen back to the mid 470s by that time. If that was so, it would mean that my 185 shares had been sold. On checking at Charles Schwab I found that that was indeed the case, and at a price of 491.99p, that is for �3.68 more than I expected, at 8.20.13 am. Back at moneyam I checked on the deals around that time, and so that you can see the interesting situation I show the screen print of that section. It is interesting in that it shows the deal as the highest price of the morning, and also thinks it is a buy because of the high price at which the deal was done. I don't know how Schwab managed to get that price for the sale, but get it they did, and thank you to them.   seems to have been a good time to sell! |