Kier is a UK-based construction company that builds everything from office blocks to commercial properties, and even rail networks. The firm was heavily impacted by the domestic lockdown that forced Kier to temporarily close many of its building sites.
On the flip side, this does mean that you stand the chance to buy its shares at a discounted price.
In this guide, we show you how to buy Kier shares online in the UK. We’ll discuss the best online brokers to buy the shares with, and walk you through the steps required to make a purchase today.
- 1 Step 1: Find a UK Stock Broker to Buy Kier Shares
- 2 Step 2: Research Kier Group Shares
- 3 What is Kier Group?
- 4 Kier Group Share Price History
- 5 Kier Shares Dividend Information
- 6 Should I Sell My Kier Shares?
- 7 Step 3: Open an Account and Deposit Funds
- 8 Step 4: Trade or Buy Kier Shares
- 9 Kier Shares Buy or Sell?
- 10 The Verdict?
- 11 eToro – Buy Kier Shares With Zero Commission
- 12 FAQs
As a UK-listed stock, Kier Group shares can be purchased from any online platform that gives you access to the London Stock Exchange. This means that you have hundreds of FCA-regulated brokers to choose from.
To save you hours upon hours of cumbersome research, below you will find the best UK stock brokers to buy Kier Shares from. Both of our picks are heavily regulated, offer commission-free trades, and allow you to instantly deposit funds with a debit card or e-wallet.
1. eToro – Buy Kier Shares With Zero Commission
eToro is an online trading platform that offers heaps of asset classes. This includes shares, ETFs, indices, forex, and commodities. In the equities department, you will be able to buy and sell over 800+ shares. This includes a plethora of FTSE 100 shares – including that of Kier. If you are also planning to add international shares to your portfolio, eToro covers 16 foreign exchanges.
This includes firms based in the US, Hong Kong, Germany, France, Sweden, and more. The best thing about choosing eToro is that regardless of whether you are buying home-grown or international stocks – you will not pay any trading commissions. There is no requirement to pay a registration or monthly/annual fee either, so the broker truly is one of the cost-effective share dealing platforms in the online space.
If you’re a newbie investor that wants to start off with small amounts, eToro allows you to make an investment from just $50 (about £40). This gives you the best chance possible of creating a diversified portfolio of stocks on a budget. You will, however, also need to meet a $200 (about £160) minimum deposit. eToro offers a range of other features and benefits that makes it popular with UK investors. For example, its Copy Trading feature can be used to mirror the portfolio of an experienced trader.
The platform also offers regular webinars, which is ideal for getting a birds-eye view of the current state of the financial markets. In getting started at eToro, you can deposit funds with a debit/credit card, bank account, or an e-wallet like Paypal and Skrill. As the platform operates in US dollars, you will incur a 0.5% currency conversion fee when depositing in pounds. Your money is protected at all times at eToro, as the platform is licensed by the FCA and partnered with the FSCS.
- User-friendly online stock broker
- Buy shares without paying any commission or share dealing charges
- 800+ shares listed on UK and international markets
- Buy shares or trade CFDs
- Social and copy trading tools
- Accepts PayPal
- Mobile trading app
- Holds an FCA licence
- Not suitable for advanced traders that like to perform technical analysis
75% of retail investor accounts lose money when trading CFDs with this provider.
2. Capital.com – Trade Kier Share CFDs With Zero Commission
Capital.com is an online CFD broker that allows you to trade financial instruments at the click of a button. On top of stock CFDs, you’ll also have access to currencies, digital coins like Bitcoin, and commodities. Regarding its stock CFD offering, this covers over 2,000+ equities – including that of Kier. Much like in the case of eToro, the platform also offers international markets.
As you will be trading stock CFDs, you won’t actually own the underlying Kier shares. On the contrary, you will be speculating on the future price of the asset. What this does mean is that you can speculate on the price increasing through a buy order, as well as decreasing through a sell order. Either way, Capital.com does not charge any trading commissions.
This is the case with all of the financial instruments supported at the platform. An additional benefit of trading Kier Group shares is that you can apply leverage to your positions. As per ESMA regulations, this can be applied at a maximum rate of 1:5. In simple terms, this means that you can trade fives times the amount that you have in your account. When it comes to accessing the Capital.com trading suite, you can do this via the platform’s main website. You can also trade via the Capital.com investment app.
Unlike eToro – which requires a minimum deposit of approximately £160, you can get started at Capital.com with an investment of just £20. This is the case when depositing with a debit/credit card or e-wallet. If you want to transfer funds from your bank account, this comes with a minimum of £250. You should have no concerns regarding safety at Capital.com, as the platform is regulated by the FCA. It also has an excellent reputation in the online trading scene.
- Trading on hundreds of US and UK shares
- Educational app for new traders
- AI assistant identifies your weak points
- Trade ideas generated daily
- Excellent charting and analysis interface
- 100% commission free trading
- Cannot build custom trading strategies
Whether you’re investing in Kier or other companies like Rolls Royce shares, you need to perform some in-depth research in order to determine whether or not the shares represent a viable investment. This should be the case regardless of what asset class you are thinking about investing in. As such, the following sections will explore the Kier share price history, dividend policy, and ultimately – what the future holds for Kier Group.
What is Kier Group?
Launched way back in 1928, Kier Group is one of the longest-standing construction companies in the UK. The firm provides building services for a range of sectors – including but not limited to education, military, health, and railway. Not only does Kier Group service the domestic market, but it has operations across several corners of the world. This includes Australia, the Middle East, and Hong Kong.
Although Kier group was first launched in 1928, it wasn’t until 1996 that the firm went public. Naturally, as a UK entity, Kier opted for the London Stock Exchange. At the time of writing, the firm has a minute market capitalization of just £105 million. This does mean that the shares have the potential to demonstrate volatile pricing swings, which might make for uncomfortable stock trading if you’re a newbie. Nevertheless, back in the mid-1990s, you would have paid in the region of 180p for each Kier share.
Since then, it’s been a tale of both good and bad times for the construction entity. For example, Kier shares went on a 10-year upward swing after its IPO, subsequently hitting peaks of just under 2,500p in April 2007. This represents a significant decade-long increase of over 1,200%. However, the firm has since been in dire straights – at least in terms of its stock price. For example, in the 12 months following its all-time highs, Kier shares hit lows of 693p.
This works out at a stock price decline of over 72% in a single year. The shares did show signs of recovery between 2009 and 2014 – managing to get back over the 1,800p-mark. However, the shares have been on a downward spiral since. At the time of writing in August 2020 – a single Kier share will cost you just 65p. This is highly significant for two key reasons. First and first, Kier shares are now worth substantially less than they were when the firm first went public.
In fact, had you bought the shares back in 1996, you would now be looking at a percentage loss of 63%. Secondly, and perhaps most pertinently, at 66p Kier Group shares have lost over 97% in value since their 2007 highs. In more recent times, Kier Group was heavily impacted by the COV-19 lockdown, not least because it was forced to close many of its building sites. As a result, the stocks are 29% down in 2020 as of August 12th.
Historically, Kier Group has been been a strong dividend payer. That was until mid-2019 when the firm was forced to suspend its dividend policy. This was to protect the integrity of its balance sheet.
As per the COV-19 restrictions, it goes without saying that investors should not expect to see a dividend payment from the company until the foreseeable future. As a result, capital gains will be the only opportunity you have to make gains on your Kier share investment.
If you’ve read through our section on the Kier share price history in full, then you will know that stockholders have been staring at unprecedented losses in recent years. This was further amplified by the 2020 mass-off sell that saw Kier shares hit all-time lows of just 59p. Crucially, the firm is no longer a billion-pound entity. On the contrary, it has a market capitalization of just over £100 million.
With that being said, this doesn’t mean that Kier shares necessarily represent a bad investment. As such, we are now going to take a closer look at what the future holds for the group.
Construction Sites Have Reopened
At the time of writing, Kier Group shares are down 29% for the year. The sharpest decline came in the 6 weeks that followed mid-February, with Kier stocks dropping by over 53%. However, it is important to remember that much of this downfall was due to the wider lockdown restrictions imposed by the UK government.
At the forefront of this was a requirement for Kier to close most of its building sites. On the flip side, Kier Group now has the capacity to resume operations in many of these locations, subsequently allowing the firm to get back to where it was pre-lockdown.
Upside Potential Offers Good Value
Before its February 2020 collapse, Kier shares were moving in the right direction. For example, the shares were priced at 94p at the turn of the year -hitting 52-week highs of 149p just a month and a half later. This means that the stocks were up by 58%. The government lockdown was of no fault of Kier, meaning that a short-to-medium term target of 149p is more than feasible.
Based on current prices of 66p per share, this offers significant upside potential at a great value. In fact, the shares would need to increase by 125% to reach this price target. Although this might sound somewhat unrealistic, it is important to remember that Kier Group has a minute capitalization of just over £100 million.
In simple terms, this means that the shares can move up or down a lot quicker in comparison to large-cap stocks with a multi-billion pounds valuation.
Extensive Order Book
It is crucial to note that Kier Group is currently not short of orders. On the contrary, the firm has secured a plethora of lucrative deals that will ensure it remains active in the coming years. At the forefront of this is the UK government’s plan to invest more than £100 billion in domestic infrastructure.
This is welcome news for Kier shareholders as to some extent – its future revenues are predictable. Additionally, with more than 60% of its orders secured with the government, this will ensure that the firm is paid in a timely manner. Once again, this will help with future cash flow levels and thus – help Kier Group improve the health of its balance sheet.
Step 3: Open an Account and Deposit Funds
So now that we have covered the most pertinent information associated with Kier Group shares, we are now going to walk you through the process of making an investment. To get the ball rolling, you will need to open a share dealing account with your chosen UK stock broker.
As eToro offers many of the best shares from around the world and allows you to buy Kier shares without paying any commission or monthly/annual fees, the steps below will show you what you need to do with this top-rated broker.
Upon landing on the eToro homepage, click on the ‘Create Account’ button.
You will then be prompted to enter your personal information – which includes your:
- Full name
- Date of birth
- Home address
- National insurance number
- Contact details
- Username and password
eToro is an FCA regulated stock broker, so it will need to verify your identity. You can do this with ease by uploading the following documents:
- Passport or Driver’s License
- Recent Utility Bill or Bank Account Statement
If you don’t have time to upload the above documents you can proceed to deposit. However, this will be capped at around £1,800.
You can deposit with a debit/credit card, e-wallet, or bank account. Minimum deposits start at $200 (about £160).
Once you have made a deposit you can proceed to buy Kier shares. Enter ‘Kier’ into the search box at the top of the screen. Then, click on the result that pops up.
You will then need to click on the ‘Trade’ button.
Once the Kier order box opens up enter the amount that you wish to invest. This needs to be in US dollars. The minimum investment amount is $50 and you don’t need to buy whole shares.
Once you click on the ‘Open Trade’ button your Kier shares purchase will be complete.
Wondering whether Kier shares are a buy or sell? On the one hand, the construction firm has had a horrid time on the stock markets in recent years. Additionally, its balance sheet is looking somewhat vulnerable – especially when you factor in its rising debt levels.
On the other hand, some would argue that at current prices – Kier shares can be purchased at a major discount. In fact, a short-to-medium target could well be its pre-lockdown price of 149p. In the long run, it is also hoped that Kier Group will resume its dividend policy.
In summary, the most important thing that Kier Group has going for itself at present is its ever-growing order book. More specifically, the firm has won a plethora of government contracts which should see Kier stay busy for several years to come.
If you think that at current prices Kier stocks are undervalued, you can buy shares at eToro from just $50. Best of all, the platform does not charge any commission.
Simply click the link below to get started!
75% of retail investor accounts lose money when trading CFDs with this provider.
What does Kier Group do?
Kier Group is a UK-based construction company. It facilitates orders for both the private and public sectors. Although the UK is its main market, Kier Group also serves Australia, the Middle East, and Hong Kong.
What stock exchange are Kier shares listed on?
Kier is listed on the London Stock Exchange, which is somewhat surprising when you factor in its minute market capitalization of £105 million.
Do Kier shares pay dividends?
Although the firm has a historical track record of paying dividends, it was forced to suspend this in mid-2019. As such, you won't earn dividends when you buy Kier shares for the foreseeable future.
When did Kier go public?
Kier Group went public in 1996.
How do you buy shares in the Kier?
There are hundreds of UK brokers that offer Kier Group shares. One of the best platforms to use is eToro, as the broker does not charge any commission.