565,222 Shares in KB Home $KBH Purchased by Bank of America Corp DE

Key Points

• Bank of America purchased 565,222 KB Home shares worth approximately $35.4 million, giving it a 0.92% stake. Institutional investors collectively own 96.09% of the company.
• KB Home’s latest quarterly earnings missed estimates slightly, while revenue fell 27.3% year over year to $1.11 billion and EPS declined to $0.43 from $1.50.
• The company maintains a quarterly dividend of $0.25, equivalent to a 2.1% yield. Analysts have a consensus “Hold” rating and an average price target of $59.92.

Bank of America Corp DE bought a new position in KB Home (NYSE:KBH - Free Report) during the 2nd quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor bought 565,222 shares of the construction company's stock, valued at approximately $35,377,000. Bank of America Corp DE owned approximately 0.92% of KB Home as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other institutional investors have also recently made changes to their positions in the company. BlackRock Inc. bought a new stake in shares of KB Home during the second quarter valued at approximately $618,489,000. Donald Smith & CO. Inc. purchased a new stake in shares of KB Home during the second quarter valued at $108,652,000. Norges Bank bought a new stake in KB Home in the 4th quarter worth about $48,418,000. Bank of New York Mellon Corp bought a new stake in KB Home in the 2nd quarter worth about $35,837,000. Finally, Engineers Gate Manager LP raised its position in KB Home by 519.2% in the 4th quarter. Engineers Gate Manager LP now owns 353,739 shares of the construction company's stock worth $19,954,000 after buying an additional 296,615 shares during the last quarter. Hedge funds and other institutional investors own 96.09% of the company's stock.

Insiders Place Their Bets

In other news, Director Arthur Collins sold 4,000 shares of the company's stock in a transaction dated Thursday, August 6th. The stock was sold at an average price of $56.96, for a total value of $227,840.00. Following the completion of the transaction, the director owned 9,157 shares of the company's stock, valued at $521,582.72. This represents a 30.40% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, EVP Albert Z. Praw sold 22,015 shares of the stock in a transaction dated Wednesday, August 5th. The stock was sold at an average price of $58.70, for a total value of $1,292,280.50. Following the sale, the executive vice president owned 104,062 shares of the company's stock, valued at $6,108,439.40. This represents a 17.46% decrease in their position. The SEC filing for this sale provides additional information. Corporate insiders own 4.69% of the company's stock.

KB Home Stock Performance

NYSE KBH opened at $47.92 on Tuesday. The business's fifty day moving average is $54.32 and its 200 day moving average is $53.52. KB Home has a fifty-two week low of $44.03 and a fifty-two week high of $67.57. The company has a market capitalization of $2.94 billion, a PE ratio of 16.70, a price-to-earnings-growth ratio of 2.43 and a beta of 1.34.

KB Home (NYSE:KBH - Get Free Report) last posted its quarterly earnings data on Tuesday, June 23rd. The construction company reported $0.43 earnings per share for the quarter, missing analysts' consensus estimates of $0.44 by ($0.01). KB Home had a net margin of 4.94% and a return on equity of 7.67%. The company had revenue of $1.11 billion for the quarter, compared to analysts' expectations of $1.09 billion. During the same period in the previous year, the firm earned $1.50 earnings per share. The firm's quarterly revenue was down 27.3% on a year-over-year basis. On average, sell-side analysts forecast that KB Home will post 3.27 EPS for the current year.

KB Home Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Thursday, August 20th. Stockholders of record on Thursday, August 6th were paid a $0.25 dividend. The ex-dividend date of this dividend was Thursday, August 6th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 2.1%. KB Home's dividend payout ratio is 34.84%.

Wall Street Analyst Weigh In

KBH has been the topic of several research analyst reports. Citigroup restated a "market outperform" rating on shares of KB Home in a research note on Thursday, September 10th. Wall Street Zen upgraded shares of KB Home from a "sell" rating to a "hold" rating in a research note on Saturday, June 27th. Weiss Ratings upgraded KB Home from a "hold (c-)" rating to a "hold (c)" rating in a research note on Friday. Citizens Jmp reissued a "market outperform" rating and issued a $77.00 target price on shares of KB Home in a report on Thursday, September 10th. Finally, Truist Financial dropped their target price on KB Home from $56.00 to $55.00 and set a "hold" rating on the stock in a research report on Wednesday, September 16th. Four investment analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, KB Home has a consensus rating of "Hold" and an average target price of $59.92.

KB Home Profile

KB Home NYSE: KBH is a homebuilding company that designs, constructs and sells residential properties in the United States. Its offerings primarily include single-family homes, with communities and floor plans intended for first-time buyers, move-up buyers and other owner-occupants. The company also provides homebuyers with opportunities to personalize selected features and finishes through its build-to-order approach.

The company operates in several major housing markets across the United States, including locations in Arizona, California, Colorado, Florida, Idaho, Nevada, North Carolina, South Carolina, Texas and Washington.

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