Beck Mack & Oliver LLC Buys 141,545 Shares of Smith Douglas Homes Corp. $SDHC

Key Points

• Beck Mack & Oliver LLC increased its stake in Smith Douglas Homes Corp. by 20.2%, acquiring an additional 141,545 shares for a total of 840,975 shares valued at approximately $16.4 million.
• Smith Douglas Homes recently reported a loss of ($0.13) earnings per share, missing estimates by ($0.38), although revenue for the quarter was $223.92 million, exceeding expectations.
• The company has authorized a stock repurchase program worth $50.0 million, indicating that its leadership believes the stock is undervalued.

Beck Mack & Oliver LLC increased its stake in Smith Douglas Homes Corp. (NYSE:SDHC - Free Report) by 20.2% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 840,975 shares of the company's stock after acquiring an additional 141,545 shares during the period. Beck Mack & Oliver LLC owned about 1.64% of Smith Douglas Homes worth $16,416,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors also recently modified their holdings of SDHC. Wellington Management Group LLP lifted its stake in shares of Smith Douglas Homes by 32.7% in the 1st quarter. Wellington Management Group LLP now owns 1,211,274 shares of the company's stock valued at $23,644,000 after acquiring an additional 298,227 shares during the last quarter. Massachusetts Financial Services Co. MA lifted its stake in shares of Smith Douglas Homes by 11.6% in the 1st quarter. Massachusetts Financial Services Co. MA now owns 486,509 shares of the company's stock valued at $9,497,000 after acquiring an additional 50,713 shares during the last quarter. Two Sigma Investments LP lifted its stake in shares of Smith Douglas Homes by 366.3% in the 4th quarter. Two Sigma Investments LP now owns 27,550 shares of the company's stock valued at $706,000 after acquiring an additional 21,642 shares during the last quarter. Millennium Management LLC lifted its stake in shares of Smith Douglas Homes by 50.0% in the 4th quarter. Millennium Management LLC now owns 56,459 shares of the company's stock valued at $1,448,000 after acquiring an additional 18,810 shares during the last quarter. Finally, Jacobs Levy Equity Management Inc. bought a new stake in shares of Smith Douglas Homes in the 4th quarter valued at about $456,000.

Smith Douglas Homes Stock Performance

SDHC stock opened at $19.56 on Friday. Smith Douglas Homes Corp. has a fifty-two week low of $16.28 and a fifty-two week high of $39.50. The business's 50 day moving average price is $19.85 and its two-hundred day moving average price is $19.76. The company has a market capitalization of $1.01 billion, a price-to-earnings ratio of 12.30, a price-to-earnings-growth ratio of 12.88 and a beta of 1.05.

Smith Douglas Homes (NYSE:SDHC - Get Free Report) last posted its earnings results on Wednesday, August 6th. The company reported ($0.13) earnings per share for the quarter, missing analysts' consensus estimates of $0.25 by ($0.38). Smith Douglas Homes had a return on equity of 1.74% and a net margin of 1.43%.The firm had revenue of $223.92 million for the quarter, compared to analysts' expectations of $216.01 million. Sell-side analysts forecast that Smith Douglas Homes Corp. will post 1.73 earnings per share for the current year.

Smith Douglas Homes announced that its board has authorized a stock repurchase program on Wednesday, May 28th that authorizes the company to repurchase $50.00 million in outstanding shares. This repurchase authorization authorizes the company to reacquire up to 5.1% of its stock through open market purchases. Stock repurchase programs are often a sign that the company's leadership believes its stock is undervalued.

Analyst Ratings Changes

A number of research analysts have commented on the company. Wedbush reaffirmed a "neutral" rating and set a $18.00 price target on shares of Smith Douglas Homes in a research report on Wednesday, May 14th. Wall Street Zen lowered Smith Douglas Homes from a "hold" rating to a "sell" rating in a research report on Saturday, August 9th. Royal Bank Of Canada set a $16.00 price target on Smith Douglas Homes and gave the company a "sector perform" rating in a research report on Tuesday, May 20th. Finally, JPMorgan Chase & Co. lowered their price target on Smith Douglas Homes from $24.00 to $18.50 and set a "neutral" rating for the company in a research report on Wednesday, May 21st. Four investment analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat, the company currently has a consensus rating of "Reduce" and an average target price of $18.90.

Insider Buying and Selling at Smith Douglas Homes

In related news, Director George Ervin Perdue III purchased 1,400 shares of the business's stock in a transaction that occurred on Friday, June 13th. The shares were bought at an average price of $18.25 per share, for a total transaction of $25,550.00. Following the purchase, the director directly owned 40,384 shares of the company's stock, valued at approximately $737,008. This represents a 3.59% increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. In the last quarter, insiders purchased 24,652 shares of company stock valued at $466,104. Corporate insiders own 82.71% of the company's stock.

Smith Douglas Homes Profile

Smith Douglas Homes Corp., together with its subsidiaries, engages in the design, construction, and sale of single-family homes in the southeastern United States. It also provides closing, escrow, and title insurance services. The company sells its products to entry-level and empty-nest homebuyers. Smith Douglas Homes Corp.

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