KB Home (NYSE:KBH) Trading Up 6.6% – Here’s Why

by · The Markets Daily

KB Home (NYSE:KBH – Get Free Report)’s stock price rose 6.6% during mid-day trading on Friday . The company traded as high as $61.79 and last traded at $61.7080. Approximately 318,027 shares traded hands during mid-day trading, a decline of 77% from the average daily volume of 1,399,048 shares. The stock had previously closed at $57.87.

Analyst Upgrades and Downgrades

Several research firms have issued reports on KBH. Royal Bank Of Canada raised their price target on shares of KB Home from $58.00 to $59.00 and gave the stock a “sector perform” rating in a research note on Thursday, September 25th. Wells Fargo & Company raised their target price on shares of KB Home from $50.00 to $60.00 and gave the stock an “underweight” rating in a research report on Tuesday, September 2nd. Evercore ISI set a $65.00 target price on shares of KB Home and gave the stock an “in-line” rating in a research note on Tuesday, October 7th. JPMorgan Chase & Co. reduced their price target on KB Home from $63.00 to $53.00 and set a “neutral” rating on the stock in a research note on Monday, September 29th. Finally, Weiss Ratings restated a “hold (c+)” rating on shares of KB Home in a report on Wednesday, October 8th. One analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, eleven have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $64.36.

View Our Latest Stock Report on KB Home

KB Home Price Performance

The stock has a 50-day simple moving average of $62.01 and a 200-day simple moving average of $58.50. The stock has a market cap of $4.03 billion, a PE ratio of 8.25, a P/E/G ratio of 5.17 and a beta of 1.36.

KB Home (NYSE:KBH – Get Free Report) last released its quarterly earnings data on Wednesday, September 24th. The construction company reported $1.61 EPS for the quarter, topping analysts’ consensus estimates of $1.50 by $0.11. KB Home had a return on equity of 12.91% and a net margin of 7.92%.The company had revenue of $1.62 billion for the quarter, compared to the consensus estimate of $1.59 billion. During the same period last year, the business posted $2.04 EPS. The company’s quarterly revenue was down 7.4% compared to the same quarter last year. As a group, equities research analysts anticipate that KB Home will post 8.42 EPS for the current year.

KB Home Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, November 26th. Shareholders of record on Thursday, November 13th will be given a dividend of $0.25 per share. This represents a $1.00 dividend on an annualized basis and a yield of 1.6%. The ex-dividend date of this dividend is Thursday, November 13th. KB Home’s payout ratio is 13.25%.

Insider Transactions at KB Home

In other news, EVP Albert Z. Praw sold 20,284 shares of the stock in a transaction on Tuesday, November 4th. The shares were sold at an average price of $60.08, for a total value of $1,218,662.72. Following the completion of the sale, the executive vice president owned 104,062 shares of the company’s stock, valued at $6,252,044.96. This represents a 16.31% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. 3.89% of the stock is currently owned by corporate insiders.

Institutional Trading of KB Home

A number of institutional investors have recently added to or reduced their stakes in KBH. Xponance Inc. raised its position in KB Home by 1.6% in the third quarter. Xponance Inc. now owns 10,198 shares of the construction company’s stock valued at $649,000 after purchasing an additional 163 shares during the period. Yousif Capital Management LLC boosted its position in shares of KB Home by 0.8% in the second quarter. Yousif Capital Management LLC now owns 25,550 shares of the construction company’s stock worth $1,353,000 after buying an additional 209 shares during the period. CWM LLC grew its stake in shares of KB Home by 11.8% in the first quarter. CWM LLC now owns 2,007 shares of the construction company’s stock valued at $117,000 after buying an additional 212 shares in the last quarter. GHE LLC raised its holdings in shares of KB Home by 0.7% during the 3rd quarter. GHE LLC now owns 30,983 shares of the construction company’s stock valued at $1,972,000 after buying an additional 212 shares during the period. Finally, Manchester Capital Management LLC lifted its position in KB Home by 30.1% during the 1st quarter. Manchester Capital Management LLC now owns 955 shares of the construction company’s stock worth $56,000 after acquiring an additional 221 shares in the last quarter. 96.09% of the stock is owned by hedge funds and other institutional investors.

About KB Home

(Get Free Report)

KB Home operates as a homebuilding company in the United States. It operates through four segments: West Coast, Southwest, Central, and Southeast. It builds and sells various homes, including attached and detached single-family residential homes, townhomes, and condominiums primarily for first-time, first move-up, second move-up, and active adult homebuyers.

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