LPL Financial LLC Grows Holdings in LGI Homes, Inc. (NASDAQ:LGIH)

Key Points

• LPL Financial LLC significantly increased its stake in LGI Homes by 352.4% during the first quarter, owning approximately $3.43 million worth of shares.
• Several institutional investors, including Sterling Capital Management and NBC Securities, also made substantial increases in their positions in LGI Homes, contributing to the overall hedge fund ownership of 84.89%.
• LGI Homes reported earnings per share of $1.36 for the last quarter, surpassing estimates, but experienced a 19.8% decline in quarterly revenue year-over-year.

LPL Financial LLC increased its position in shares of LGI Homes, Inc. (NASDAQ:LGIH - Free Report) by 352.4% during the 1st quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 51,565 shares of the financial services provider's stock after purchasing an additional 40,166 shares during the quarter. LPL Financial LLC owned approximately 0.22% of LGI Homes worth $3,428,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also added to or reduced their stakes in LGIH. Sterling Capital Management LLC raised its position in LGI Homes by 801.5% in the fourth quarter. Sterling Capital Management LLC now owns 613 shares of the financial services provider's stock worth $55,000 after acquiring an additional 545 shares during the period. GAMMA Investing LLC raised its position in LGI Homes by 219.1% in the first quarter. GAMMA Investing LLC now owns 887 shares of the financial services provider's stock worth $59,000 after acquiring an additional 609 shares during the period. CWM LLC raised its position in LGI Homes by 50.3% in the first quarter. CWM LLC now owns 1,178 shares of the financial services provider's stock worth $78,000 after acquiring an additional 394 shares during the period. NBC Securities Inc. raised its position in LGI Homes by 111,600.0% in the first quarter. NBC Securities Inc. now owns 2,234 shares of the financial services provider's stock worth $148,000 after acquiring an additional 2,232 shares during the period. Finally, Summit Investment Advisors Inc. raised its position in LGI Homes by 6.9% in the fourth quarter. Summit Investment Advisors Inc. now owns 2,185 shares of the financial services provider's stock worth $195,000 after acquiring an additional 141 shares during the period. 84.89% of the stock is currently owned by hedge funds and other institutional investors.

LGI Homes Stock Performance

NASDAQ LGIH opened at $65.53 on Friday. The company's 50 day moving average is $54.41 and its 200-day moving average is $62.03. LGI Homes, Inc. has a 12-month low of $47.17 and a 12-month high of $125.83. The company has a quick ratio of 0.64, a current ratio of 18.18 and a debt-to-equity ratio of 0.85. The firm has a market cap of $1.51 billion, a P/E ratio of 9.88 and a beta of 1.69.

LGI Homes (NASDAQ:LGIH - Get Free Report) last posted its quarterly earnings results on Tuesday, August 5th. The financial services provider reported $1.36 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.21 by $0.15. LGI Homes had a net margin of 7.63% and a return on equity of 8.00%. The company had revenue of $483.49 million for the quarter, compared to analyst estimates of $546.96 million. During the same quarter in the previous year, the firm posted $2.48 earnings per share. The company's quarterly revenue was down 19.8% compared to the same quarter last year. Sell-side analysts predict that LGI Homes, Inc. will post 8.46 earnings per share for the current year.

Analyst Ratings Changes

Several analysts have commented on LGIH shares. Wedbush reaffirmed a "neutral" rating and issued a $93.00 price objective on shares of LGI Homes in a research report on Monday, July 7th. JMP Securities lowered their price objective on shares of LGI Homes from $140.00 to $75.00 and set a "market outperform" rating on the stock in a research report on Thursday, August 7th. Citigroup reaffirmed an "outperform" rating on shares of LGI Homes in a research report on Thursday, August 7th. Finally, JPMorgan Chase & Co. lowered their price objective on shares of LGI Homes from $52.00 to $47.00 and set an "underweight" rating on the stock in a research report on Wednesday, July 9th. One analyst has rated the stock with a sell rating, two have issued a hold rating and two have given a buy rating to the company. According to data from MarketBeat.com, the company has an average rating of "Hold" and an average target price of $71.67.

LGI Homes Company Profile

LGI Homes, Inc designs, constructs, and sells homes. It offers entry-level homes, such as attached and detached homes, and active adult homes under the LGI Homes brand name; and luxury series homes under the Terrata Homes brand name. The company also engages in the wholesale business, which include building and selling homes to large institutions looking to acquire single-family rental properties.

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