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Even a solid FTSE 100 share with a strong balance sheet, modest valuation, generous yield and solid profit outlook can take a beating, as housebuilder Taylor Wimpey (LSE: TW) is showing us at the moment.
The Taylor Wimpey share price has slumped 17.73% over the last month. I hold the stock and I’m hurting. Over 12 months, it’s up just 2.77%.
I bought Taylor Wimpey shares on three occasions last year, and for a while they were bombing along. I was up more than 40% and was getting a 7% yield on top. Then everything went wrong.
Why are the shares crashing?
I went big on Taylor Wimpey because I was impressed by the way its balance sheet and share price remained relatively solid throughout the pandemic and cost-of-living crisis.
While revenues inevitably dropped in 2020, they quickly snapped back. They dropped again in 2023 but investors hung on in the hope that at some…
