Charles Schwab Investment Management Inc. Trims Stock Position in Tri Pointe Homes Inc. $TPH

Key Points

• Charles Schwab Investment Management Inc. reduced its stake in Tri Pointe Homes by 1.4%, selling 16,632 shares, and now owns approximately 1.27% of the company, valued at $36.67 million.
• Tri Pointe Homes reported $0.77 earnings per share (EPS) for the last quarter, exceeding analysts' expectations, although revenue decreased by 22.3% year-over-year.
• The company has authorized a $50 million stock buyback plan, indicating confidence from the board in the valuation of its shares.

Charles Schwab Investment Management Inc. reduced its position in shares of Tri Pointe Homes Inc. (NYSE:TPH - Free Report) by 1.4% during the first quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 1,148,911 shares of the construction company's stock after selling 16,632 shares during the period. Charles Schwab Investment Management Inc. owned 1.27% of Tri Pointe Homes worth $36,673,000 at the end of the most recent quarter.

A number of other large investors also recently made changes to their positions in the company. Wells Fargo & Company MN increased its holdings in Tri Pointe Homes by 24.9% during the fourth quarter. Wells Fargo & Company MN now owns 53,413 shares of the construction company's stock worth $1,937,000 after buying an additional 10,650 shares during the last quarter. Bank of Montreal Can increased its holdings in Tri Pointe Homes by 9.6% during the fourth quarter. Bank of Montreal Can now owns 12,256 shares of the construction company's stock worth $444,000 after buying an additional 1,078 shares during the last quarter. Sterling Capital Management LLC increased its holdings in Tri Pointe Homes by 729.5% during the fourth quarter. Sterling Capital Management LLC now owns 2,082 shares of the construction company's stock worth $75,000 after buying an additional 1,831 shares during the last quarter. Summit Investment Advisors Inc. increased its holdings in Tri Pointe Homes by 5.3% during the fourth quarter. Summit Investment Advisors Inc. now owns 9,645 shares of the construction company's stock worth $350,000 after buying an additional 488 shares during the last quarter. Finally, Canada Pension Plan Investment Board increased its holdings in Tri Pointe Homes by 955.1% during the fourth quarter. Canada Pension Plan Investment Board now owns 51,700 shares of the construction company's stock worth $1,875,000 after buying an additional 46,800 shares during the last quarter. 97.01% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

A number of research firms recently issued reports on TPH. Evercore ISI decreased their price objective on shares of Tri Pointe Homes from $39.00 to $38.00 and set an "outperform" rating for the company in a report on Friday, July 25th. Wolfe Research downgraded shares of Tri Pointe Homes from an "outperform" rating to a "peer perform" rating in a report on Sunday, July 27th. Wedbush reiterated an "outperform" rating and issued a $43.00 target price on shares of Tri Pointe Homes in a research note on Friday, July 25th. Finally, Wall Street Zen downgraded shares of Tri Pointe Homes from a "hold" rating to a "sell" rating in a research note on Saturday, July 26th. One investment analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat.com, Tri Pointe Homes currently has a consensus rating of "Moderate Buy" and an average target price of $40.80.

Tri Pointe Homes Stock Performance

Shares of TPH traded up $1.8850 during trading hours on Friday, hitting $36.1550. The company's stock had a trading volume of 1,536,842 shares, compared to its average volume of 1,200,628. The business has a 50 day simple moving average of $32.88 and a two-hundred day simple moving average of $31.91. The company has a market cap of $3.28 billion, a price-to-earnings ratio of 9.20, a PEG ratio of 0.98 and a beta of 1.22. Tri Pointe Homes Inc. has a 52-week low of $27.90 and a 52-week high of $46.91. The company has a debt-to-equity ratio of 0.28, a current ratio of 1.79 and a quick ratio of 1.79.

Tri Pointe Homes (NYSE:TPH - Get Free Report) last issued its quarterly earnings data on Thursday, July 24th. The construction company reported $0.77 EPS for the quarter, beating the consensus estimate of $0.66 by $0.11. The company had revenue of $884.01 million during the quarter, compared to analysts' expectations of $810.77 million. Tri Pointe Homes had a net margin of 9.22% and a return on equity of 11.33%. Tri Pointe Homes's revenue for the quarter was down 22.3% on a year-over-year basis. During the same quarter in the previous year, the company earned $1.25 earnings per share. On average, equities analysts expect that Tri Pointe Homes Inc. will post 3.58 earnings per share for the current fiscal year.

Tri Pointe Homes declared that its Board of Directors has approved a stock repurchase plan on Thursday, July 24th that permits the company to buyback $50.00 million in shares. This buyback authorization permits the construction company to reacquire up to 1.6% of its shares through open market purchases. Shares buyback plans are usually an indication that the company's management believes its shares are undervalued.

Tri Pointe Homes Profile

Tri Pointe Homes, Inc engages in the design, construction, and sale of single-family attached and detached homes in the United States. The company operates through a portfolio of six regional home building brands comprising Maracay in Arizona; Pardee Homes in California and Nevada; Quadrant Homes in Washington; Trendmaker Homes in Texas; TRI Pointe Homes in California, Colorado, and the Carolinas; and Winchester Homes in Maryland and Northern Virginia.