Entropy Technologies LP Acquires Shares of 21,165 Tri Pointe Homes Inc. (NYSE:TPH)

Key Points

• Entropy Technologies LP acquired a stake in Tri Pointe Homes, purchasing 21,165 shares valued at approximately $676,000 in the first quarter of the year.
• Tri Pointe Homes reported $0.77 earnings per share (EPS) for the latest quarter, exceeding estimates and reflecting a significant revenue of $884.01 million, though down 22.3% year-over-year.
• The company has initiated a stock buyback program allowing for the repurchase of up to $50 million in shares, signaling management's belief that the stock is undervalued.

Entropy Technologies LP acquired a new position in Tri Pointe Homes Inc. (NYSE:TPH - Free Report) during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund acquired 21,165 shares of the construction company's stock, valued at approximately $676,000.

Several other hedge funds and other institutional investors have also bought and sold shares of TPH. Covestor Ltd boosted its position in Tri Pointe Homes by 58.5% in the fourth quarter. Covestor Ltd now owns 908 shares of the construction company's stock worth $33,000 after purchasing an additional 335 shares during the last quarter. Sterling Capital Management LLC boosted its position in Tri Pointe Homes by 729.5% in the fourth quarter. Sterling Capital Management LLC now owns 2,082 shares of the construction company's stock worth $75,000 after purchasing an additional 1,831 shares during the last quarter. CWM LLC lifted its position in shares of Tri Pointe Homes by 67.8% during the 1st quarter. CWM LLC now owns 3,797 shares of the construction company's stock valued at $121,000 after buying an additional 1,534 shares during the last quarter. Tower Research Capital LLC TRC lifted its position in shares of Tri Pointe Homes by 67.7% during the 4th quarter. Tower Research Capital LLC TRC now owns 3,578 shares of the construction company's stock valued at $130,000 after buying an additional 1,445 shares during the last quarter. Finally, Hancock Whitney Corp lifted its position in shares of Tri Pointe Homes by 8.3% during the 4th quarter. Hancock Whitney Corp now owns 5,779 shares of the construction company's stock valued at $210,000 after buying an additional 442 shares during the last quarter. Hedge funds and other institutional investors own 97.01% of the company's stock.

Tri Pointe Homes Price Performance

TPH traded down $0.54 during trading on Thursday, reaching $35.10. 1,215,892 shares of the company were exchanged, compared to its average volume of 1,301,988. The company's 50-day moving average is $32.39 and its two-hundred day moving average is $32.03. The company has a market cap of $3.18 billion, a price-to-earnings ratio of 8.93, a P/E/G ratio of 0.97 and a beta of 1.22. The company has a quick ratio of 1.79, a current ratio of 1.79 and a debt-to-equity ratio of 0.28. Tri Pointe Homes Inc. has a 12-month low of $27.90 and a 12-month high of $46.91.

Tri Pointe Homes (NYSE:TPH - Get Free Report) last announced its earnings results on Thursday, July 24th. The construction company reported $0.77 earnings per share for the quarter, topping analysts' consensus estimates of $0.66 by $0.11. The business had revenue of $884.01 million for the quarter, compared to analyst estimates of $810.77 million. Tri Pointe Homes had a return on equity of 11.33% and a net margin of 9.22%. The company's quarterly revenue was down 22.3% compared to the same quarter last year. During the same period in the prior year, the company earned $1.25 EPS. Research analysts forecast 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 outstanding shares. This buyback authorization permits the construction company to repurchase up to 1.6% of its stock through open market purchases. Stock buyback plans are generally a sign that the company's management believes its shares are undervalued.

Wall Street Analysts Forecast Growth

TPH has been the topic of a number of recent research reports. Evercore ISI dropped their price target on Tri Pointe Homes from $39.00 to $38.00 and set an "outperform" rating on the stock in a research report on Friday, July 25th. Wall Street Zen cut Tri Pointe Homes from a "hold" rating to a "sell" rating in a research report on Saturday, July 26th. Wolfe Research cut Tri Pointe Homes from an "outperform" rating to a "peer perform" rating in a research report on Sunday, July 27th. Finally, Wedbush reaffirmed an "outperform" rating and set a $43.00 price target on shares of Tri Pointe Homes in a research report on Friday, July 25th. One equities research analyst has rated the stock with a sell rating, three have given a hold rating, three have assigned a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus target price of $40.80.

Tri Pointe Homes Company 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.