Norges Bank Makes New Investment in PulteGroup, Inc. $PHM

Key Points

• Norges Bank opened a new position in PulteGroup in the fourth quarter, buying 3.98 million shares worth about $466.7 million. The stake represented roughly 2.07% of the company.
• PulteGroup reported quarterly EPS of $1.79, slightly below the $1.80 consensus, while revenue came in at $3.41 billion, just ahead of estimates but down 12.4% year over year.
• The company approved a $1.5 billion stock buyback and declared a quarterly dividend of $0.26 per share. Analysts currently rate the stock a Moderate Buy with a consensus target price of $140.71.

Norges Bank bought a new position in shares of PulteGroup, Inc. (NYSE:PHM - Free Report) during the fourth quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor bought 3,979,641 shares of the construction company's stock, valued at approximately $466,653,000. Norges Bank owned approximately 2.07% of PulteGroup as of its most recent SEC filing.

Other hedge funds also recently added to or reduced their stakes in the company. Eurizon Capital SGR S.p.A. acquired a new stake in shares of PulteGroup in the 4th quarter valued at $14,535,000. Fideuram Asset Management Ireland dac acquired a new stake in shares of PulteGroup in the 4th quarter valued at $17,258,000. National Pension Service raised its holdings in shares of PulteGroup by 3.8% in the 4th quarter. National Pension Service now owns 507,443 shares of the construction company's stock valued at $59,503,000 after purchasing an additional 18,455 shares in the last quarter. United Super Pty Ltd in its capacity as Trustee for the Construction & Building Unions Superannuation Fund acquired a new stake in shares of PulteGroup in the 4th quarter valued at $14,580,000. Finally, Northwestern Mutual Wealth Management Co. raised its holdings in shares of PulteGroup by 6.3% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 21,946 shares of the construction company's stock valued at $2,573,000 after purchasing an additional 1,301 shares in the last quarter. 89.90% of the stock is currently owned by institutional investors and hedge funds.

PulteGroup Trading Down 0.3%

Shares of PulteGroup stock opened at $117.77 on Tuesday. PulteGroup, Inc. has a 1 year low of $95.20 and a 1 year high of $144.49. The company has a debt-to-equity ratio of 0.14, a quick ratio of 0.94 and a current ratio of 0.94. The company has a market capitalization of $22.43 billion, a P/E ratio of 11.39, a PEG ratio of 1.50 and a beta of 1.23. The company's fifty day moving average is $119.03 and its two-hundred day moving average is $124.03.

PulteGroup (NYSE:PHM - Get Free Report) last issued its quarterly earnings data on Thursday, April 23rd. The construction company reported $1.79 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.80 by ($0.01). PulteGroup had a return on equity of 16.41% and a net margin of 12.14%.The business had revenue of $3.41 billion for the quarter, compared to analysts' expectations of $3.40 billion. During the same period in the previous year, the business posted $2.57 earnings per share. The company's revenue for the quarter was down 12.4% on a year-over-year basis. Analysts forecast that PulteGroup, Inc. will post 10 earnings per share for the current year.

PulteGroup announced that its Board of Directors has approved a stock buyback plan on Thursday, April 23rd that authorizes the company to repurchase $1.50 billion in shares. This repurchase authorization authorizes the construction company to reacquire up to 6.1% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company's leadership believes its shares are undervalued.

PulteGroup Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, July 2nd. Stockholders of record on Tuesday, June 16th will be paid a $0.26 dividend. This represents a $1.04 annualized dividend and a dividend yield of 0.9%. The ex-dividend date is Tuesday, June 16th. PulteGroup's dividend payout ratio (DPR) is 10.06%.

Insider Buying and Selling at PulteGroup

In other news, COO Matthew William Koart sold 7,457 shares of the firm's stock in a transaction on Wednesday, May 27th. The shares were sold at an average price of $120.00, for a total value of $894,840.00. Following the completion of the sale, the chief operating officer owned 28,100 shares in the company, valued at approximately $3,372,000. This trade represents a 20.97% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Lila Snyder sold 3,339 shares of the firm's stock in a transaction on Friday, May 8th. The stock was sold at an average price of $117.18, for a total transaction of $391,264.02. Following the completion of the sale, the director owned 3,540 shares of the company's stock, valued at $414,817.20. This trade represents a 48.54% decrease in their position. The disclosure for this sale is available in the SEC filing. 0.75% of the stock is currently owned by company insiders.

Wall Street Analyst Weigh In

A number of research analysts recently commented on the stock. Evercore increased their target price on shares of PulteGroup from $146.00 to $151.00 and gave the company an "outperform" rating in a research report on Friday, April 24th. Zacks Research raised shares of PulteGroup from a "strong sell" rating to a "hold" rating in a research report on Monday, April 13th. Raymond James Financial reaffirmed an "outperform" rating and issued a $145.00 target price on shares of PulteGroup in a research report on Wednesday, February 4th. Oppenheimer reaffirmed an "outperform" rating on shares of PulteGroup in a research report on Tuesday, May 26th. Finally, Truist Financial dropped their target price on shares of PulteGroup from $170.00 to $150.00 and set a "buy" rating on the stock in a research report on Thursday, April 16th. Ten analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the stock. According to MarketBeat.com, PulteGroup currently has an average rating of "Moderate Buy" and a consensus target price of $140.71.

PulteGroup Profile

PulteGroup, Inc NYSE: PHM is a U.S.-based residential homebuilder that designs, constructs and sells single-family homes and develops master-planned communities. The company operates multiple national and regional brands that target different buyer segments, including first-time buyers, move-up buyers and active-adult customers. Its operations encompass land acquisition and development, home design and construction, community amenities and ongoing customer service and warranty programs.

PulteGroup markets homes under several well-known brands, such as Pulte Homes, Centex and Del Webb, among others, offering a range of product types from entry-level detached homes to larger, higher-end residences and age-restricted active-adult communities.

Want to see what other hedge funds are holding PHM? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for PulteGroup, Inc. (NYSE:PHM - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.