Travis Perkins PLC (TPK) is a major UK building merchant. The company is publicly-owned and is traded on the London Stock Exchange. Travis Perkins is also a constituent of the FTSE 250 index – with a current market valuation of £3.4 billion.
In this guide, we explain how to buy Travis Perkins shares online in the UK. This includes a breakdown of the best UK brokers to buy the stocks from and a full Layman’s walkthrough of how to buy Travis Perkins shares in the fastest and most cost-effective way.
- 1 Step 1: Find a UK Stock Broker to Buy Travis Perkins Shares
- 2 Step 2: Research Travis Perkins Shares
- 3 What is Travis Perkins plc?
- 4 Travis Perkins Share Price History & Market Capitalisation
- 5 Travis Perkins EPS and P/E Ratio
- 6 Travis Perkins Shares Dividend Information
- 7 Should I Buy Travis Perkins Shares?
- 8 Step 3: Open an Account and Deposit Funds
- 9 Step 4: Trade or Buy Travis Perkins Shares
- 10 Travis Perkins Shares Buy or Sell?
- 11 The Verdict?
- 12 eToro – Buy Travis Perkins Shares With Zero Commission
- 13 FAQs
As Travis Perkins is a major UK homebuilder with a multi-billion pound market capitalization, there are heaps of share dealing sites that allow you to buy its share.
In particular, you’ll want to sign up with a broker that is regulated by the FCA, offers low-cost commissions, and supports your preferred deposit and withdrawal method.
To help point you in the right direction, below we have listed two of the best UK stock brokers to buy Travis Perkins shares.
1. eToro – Buy Travis Perkins Shares With Zero Commission
If you’re looking to buy Travis Perkins shares in a fast, low-cost, and burden-free environment – eToro is without a doubt the best option on the table. In fact, by quickly opening an account and depositing funds with a debit/credit card or e-wallet, you can buy eToro Travis Perkins shares in minutes.
Before we get to that, we should note that eToro is the cheapest brokerage site that we have come across. This is because you will not pay any commission or share dealing fees to buy Travis Perkins stocks. In fact, the platform goes one step further by waiving the 0.5% stamp duty tax that you need to pay on UK shares.
You will need to meet a $200 (about £160) minimum deposit at eToro, but you can buy Travis Perkins shares for just $50 (about £40). As such, you can use to remaining balance to diversify into other stocks. You will have over 1,700 shares to choose from at eToro across 17 markets – so you have plenty to choose from. Additionally, this popular trading platform also offers ETFs, cryptocurrencies, and heaps of CFD instruments.
An additional feature that you might be interested in at eToro is that of its CopyTrading tool. This allows you to select a stock trader that you want to copy, and then mirror all ongoing trades. The broker also offers a CopyPortfolio feature, which is a professionally managed, passive investment stream. Your funds are safe at eToro as the platform is FCA-regulated. It is also partnered with the FSCS.
- User-friendly online stock broker
- Buy shares without paying any commission or share dealing charges
- 1,700 + 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 license
- Not suitable for advanced traders that like to perform technical analysis
67% of retail investor accounts lose money when trading CFDs with this provider.
2. Capital.com – Trade Travis Perkins Share CFDs With Zero Commission
Capital.com is not a stock broker – but a CFD trading platform. CFDs track the real-world value of stocks and other assets like-for-like. This means that platforms like Capital.com can offer you more sophisticated trading services. For example, you can trade Travis Perkins stocks with leverage.
If you were to opt for the maximum limit at 1:5 – you can boost your trading capital by five times. As such, a £300 balance would in fact allow you to enter stock trading positions worth £1,500. In addition to this, CFD broker Capital.com supports both long and short positions.
This means that you can speculate on Travis Perkins shares going down in price – if you think that they are potentially overvalued. When it comes to trading fees, Capital.com is a commission-free CFD broker that offers very competitive spreads. On Travis Perkins shares, this amounts to just 0.06p. This ensures that you can dip in and out of the market at any given time without getting hammered by unfavorable spreads.
Capital.com is also a good option if you want to trade Travis Perkins shares, but you don’t have any experience. This is because the platform is simple to use and it comes packed with educational resources. In addition to handy guides and explainers, there is also a Capital.com mobile app that is dedicated to learning. Finally, the minimum deposit at this broker is just £20 and you fund this with a debit/credit card or e-wallet.
- 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
72.6% of retail investor accounts lose money when trading CFDs with this provider.
It is worth taking a step back before you proceed to buy shares of Travis Perkins. After all, we are currently living in uncertain times with the ongoing COVID saga.
As such, the sections below will outline some of the most important factors that you need to consider before making an investment. This includes the firm’s share price history, dividend information, and what the future holds for the British building merchant.
What is Travis Perkins plc?
Travis Perkins is one of the most established UK building merchants – with the firm tracing its roots back to the late 18th century. The company is involved primarily in supply materials to the construction industry, albeit, it also offers home improvement retailer services.
Its portfolio of goods covers tens of thousands of merchant products and DIY tools – which are available across more than 560 UK stores. Travis Perkins is also behind UK retailer Wicks, which was acquired for £950 million in 2004.
Travis Perkins first took the company public in the 1980s. Back then, the shares were trading on the London Stock Exchange at just under 190p. The shares then went on an upward trajectory that lasted for almost two decades – subsequently peaking at over 1,550p in 2007.
Then, like the rest of the UK construction and real estate sectors, Travis Perkins shares were hit hard by the impending financial crisis that was to follow. In fact, the shares hit lows of 230p-ish in the following year, representing a huge decline of over 85% in just 12 months.
Fortunately, the shares then took a turn in the right direction. Over the course of the following 7 years, Travis Perkins stocks rewarded investors handsomely. The stocks hit peaks in 2005 of 2,200p – meaning a growth of over 800% from their 2008 lows.
With that said, Travis Perkins shares have since taken a turn for the worse. For example, the stocks entered 2020 at 1,627p. This means that the shares were worth 25% more than 5 years prior. And of course – Travis Perkins was also heavily impacted by the Coronavirus pandemic.
This resulted in the shares hitting 52-week lows of 573p – translating into year-to-date losses of 64%. With that being said, were you been shrewd enough to buy Travis Perkins shares during their lows of March 2020, you would now be looking at gains at 135% – based on current prices of 1,352p.
Travis Perkins EPS and P/E Ratio
In its most recent financial year, Travis Perkins reported earnings per share of 112.70p. This was down from the 114.50p it achieved in the year prior. In terms of its P/E ratio, this jumped from 9.30 to 14.20 – as per its most recent filing.
At the time of writing and based on current prices, its P/E ratio stands at 27. This could illustrate that the shares are beginning to move into the overvalued territory.
It might not surprise you to learn that in the midst of the pandemic, management at Travis Perkins canceled its full-year dividend. Initially, it had planned to pay a dividend yield of 33p per share.
Management explained that this was a result of the firm looking to protect its balance sheet and subsequently retain its free cash flow position.
As such, the only financial returns that you will have at your disposal by buying Travis Perkins shares is that of an increased stock price.
Now that we have covered the firm’s share price action and current dividend policy, we are now going to look at what the future holds for Travis Perkins.
Recovery Since March has Been Good
First and foremost, it goes without saying that Travis Perkins shares took a complete nosedive in Q1 2020 – with the stocks dropping by over 64% in the space of two months. On the other hand, it is notable that shares have recovered to the 1,300p+ region. This means that Travis Perkins stocks have grown by over 135% since March.
Buying Back £250 of Debt
It was recently announced that the board at Travis Perkins has decided to re-purchase £250 million of debt. This consists of corporate bonds that were not due to be repaid until next year. As such, this suggests that Travis Perkins has more than enough cash flow to reduce its debt burden.
Liquidity at Just Under a £1 Billion
Leading on from the above section, we should also note that Travis Perkins has access to just under £1 billion in liquidity. This is crucial during a time where uncertainty remains an ongoing issue. After all, the longer that the UK is in lockdown, the longer revenues at Travis Perkins continue to be hindered.
Wickes and Toolstation Performing Well
Although its Q3 earnings reported noted that wider sales are down, two of its key subsidiaries Wickes and Toolstation, performed really well during the quarter. The latter, for example, saw growth of just over 25% in comparison to the prior year.
Step 3: Open an Account and Deposit Funds
Once you have performed some background research on Travis Perkins and have decided to proceed with your share purchase – it’s then time to open up a brokerage account. The firm isn’t an FTSE 100 company, so not all UK stock brokers offer its shares.
With that said, leading broker eToro allows you to buy Travis Perkins shares without needing to pay any commission or stamp duty tax. As such, the guidelines below will show you how to make the purchase with our top-rated platform eToro.
You will first need to visit the eToro website and open an account. This is standard practice in the UK brokerage scene. All you need to do is provide some personal information and contact details.
You will also be asked to complete a KYC process. You don’t need to do this straight away if you are not depositing more than $2,250 (about £1,800). Nevertheless, it’s best to upload the required document now so that you do not encounter any withdrawal delays.
The documents that eToro needs are listed below:
- Valid passport or driver’s license
- Bank account statement or utility bill (issued in the last 3 months)
You will then need to make a deposit of at least $200. You can choose from one of the payment methods listed below.
- Debit/credit cards
- Bank transfer (2-3 working days)
If you want to buy Travis Perkins shares instantly, opt for a payment method other than a bank transfer.
Once you have added funds to your eToro account, you then need to search for ‘Travis Perkins’.
Next, click on the ‘Trade’ button.
You will then need to enter the amount of Travis Perkins shares that you want to buy. This needs to be entered in US dollars and at an amount of at least $50.
Finally, click on the ‘Open Trade’ button to buy Travis Perkins shares commission and stamp duty tax-free!
Travis Perkins isn’t the most exciting stock investment available in the UK right now. If anything, you might have missed the boat. This is because you could have purchased Travis Perkins shares for just 575p in March.
Considering the stocks are now moving northwards of 1,300p – they could be somewhat overvalued. In fact, with a P/E ratio of 27 – this doesn’t offer the most attractive investment proposition.
On the flip side, it is important to remember that Travis Perkins shares hit 52-week highs of 1,841p before the pandemic came to fruition. If that represented your medium-term target, that would amount to a required increase of 36%.
This guide has illustrated that buying Travis Perkins shares online in the UK is easy. All you need is a good broker that offers access to the FTSE 250 at competitive fees. eToro, for example, allows you to buy Travis Perkins shares at the click of a button – commission-free.
The platform also waivers the 0.5% stamp duty fee that you would ordinarily be charged on a UK share purchase. And of course – your funds are safe at eToro – not least because the broker is licensed by the FCA and partnered with the FSCS.
Simply click the link below to get started!
67% of retail investor accounts lose money when trading CFDs with this provider.
Are Travis Perkins shares a good buy?
It remains to be seen for the short-to-medium future holds for Travis Perkins. Not only is the building merchant heavily impacted by the wider lockdown measures, but the uncertainties of Brexit, too.
What stock exchanges are Travis Perkins shares listed on?
Travis Perkins is listed on the London Stock Exchange and forms part of the FTSE 250 index.
What companies does Travis Perkins own?
Travis Perkins own several well-know brands - including but not limited to Keyline, Wickes, Toolstation, and Benchmarx.
Does Travis Perkins dividends?
Historically, Travis Perkins was a consistent dividend payer. However, alongside many other FTSE firms operating in the same industry, Travis Perkins canceled its full-year dividend as per the impact of the pandemic.
How much is Travis Perkins valued at?
At the time of writing, Travis Perkins is valued at just over £3.4 billion.
Who is the Chief Executive of Travis Perkins?
As of August 2019 - the chief executive of Travis Perkins is Nick Roberts.
Can I invest in Travis Perkins via an ISA or SIPP?
Yes, if your chosen stock broker offers ISAs or SIPPs, you can add Travis Perkins shares to the respective portfolio.