KB Home $KBH Shares Sold by American Century Companies Inc.

Key Points

• American Century Companies Inc. reduced its stake in KB Home by 26.2%, selling 190,393 shares, and now owns approximately 0.75% of the company, valued at $31.13 million.
• Multiple analysts have downgraded KB Home's target price in recent reports, with Evercore ISI lowering it from $77.00 to $70.00 and Bank of America from $58.00 to $54.00, while overall the stock has an average rating of "Hold".
• KB Home has recently announced a quarterly dividend of $0.25 per share, reflecting an annualized dividend yield of 1.7% and a dividend payout ratio of 13.25%.

American Century Companies Inc. lowered its position in KB Home (NYSE:KBH - Free Report) by 26.2% in the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 535,665 shares of the construction company's stock after selling 190,393 shares during the quarter. American Century Companies Inc. owned approximately 0.75% of KB Home worth $31,133,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Northern Trust Corp lifted its stake in KB Home by 7.3% in the fourth quarter. Northern Trust Corp now owns 1,101,300 shares of the construction company's stock valued at $72,377,000 after buying an additional 75,206 shares during the last quarter. Bank of New York Mellon Corp raised its stake in shares of KB Home by 0.9% during the first quarter. Bank of New York Mellon Corp now owns 763,666 shares of the construction company's stock worth $44,384,000 after purchasing an additional 6,856 shares during the last quarter. Two Sigma Advisers LP raised its stake in shares of KB Home by 4,408.6% during the fourth quarter. Two Sigma Advisers LP now owns 523,000 shares of the construction company's stock worth $34,372,000 after purchasing an additional 511,400 shares during the last quarter. Systematic Financial Management LP raised its stake in shares of KB Home by 4.4% during the fourth quarter. Systematic Financial Management LP now owns 490,303 shares of the construction company's stock worth $32,223,000 after purchasing an additional 20,866 shares during the last quarter. Finally, Two Sigma Investments LP raised its stake in shares of KB Home by 1,136.2% during the fourth quarter. Two Sigma Investments LP now owns 423,341 shares of the construction company's stock worth $27,822,000 after purchasing an additional 389,097 shares during the last quarter. Hedge funds and other institutional investors own 96.09% of the company's stock.

KB Home Price Performance

KB Home stock traded down $0.98 during trading hours on Monday, hitting $63.77. The stock had a trading volume of 814,733 shares, compared to its average volume of 1,489,508. The company has a debt-to-equity ratio of 0.47, a current ratio of 5.83 and a quick ratio of 0.60. The stock has a market capitalization of $4.34 billion, a price-to-earnings ratio of 8.45, a PEG ratio of 5.20 and a beta of 1.34. KB Home has a 1-year low of $48.90 and a 1-year high of $89.70. The stock's fifty day moving average is $56.45 and its two-hundred day moving average is $56.58.

KB Home (NYSE:KBH - Get Free Report) last posted its earnings results on Monday, June 23rd. The construction company reported $1.50 earnings per share for the quarter, beating the consensus estimate of $1.45 by $0.05. The company had revenue of $1.53 billion for the quarter, compared to analyst estimates of $1.51 billion. KB Home had a return on equity of 14.02% and a net margin of 8.47%.KB Home's revenue was down 10.5% compared to the same quarter last year. During the same quarter in the prior year, the company earned $2.15 earnings per share. As a group, analysts predict that KB Home will post 8.42 earnings per share for the current fiscal year.

KB Home Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, August 21st. Investors of record on Thursday, August 7th were given a dividend of $0.25 per share. This represents a $1.00 annualized dividend and a dividend yield of 1.6%. The ex-dividend date was Thursday, August 7th. KB Home's payout ratio is currently 13.25%.

Wall Street Analyst Weigh In

Several equities research analysts have recently commented on KBH shares. Barclays set a $49.00 price target on KB Home and gave the stock an "equal weight" rating in a research note on Tuesday, June 24th. Evercore ISI lowered their price objective on KB Home from $77.00 to $70.00 and set an "outperform" rating on the stock in a report on Tuesday, June 24th. Keefe, Bruyette & Woods lowered their price objective on KB Home from $65.00 to $58.00 and set a "market perform" rating on the stock in a report on Thursday, June 26th. UBS Group lowered their price objective on KB Home from $86.00 to $80.00 and set a "buy" rating on the stock in a report on Tuesday, June 24th. Finally, Wall Street Zen raised KB Home from a "sell" rating to a "hold" rating in a report on Saturday, July 12th. One equities research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, seven have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average target price of $66.14.

Insider Activity

In related news, COO Robert V. Mcgibney sold 14,000 shares of KB Home stock in a transaction that occurred on Tuesday, July 15th. The stock was sold at an average price of $53.52, for a total transaction of $749,280.00. Following the completion of the transaction, the chief operating officer directly owned 78,345 shares in the company, valued at $4,193,024.40. The trade was a 15.16% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. 3.89% of the stock is owned by corporate insiders.

KB Home Profile

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.