Northern Trust Corp Lowers Stake in Tri Pointe Homes Inc. $TPH

Key Points

• Northern Trust Corp reduced its stake in Tri Pointe Homes Inc. by 1.1%, now holding 1,272,254 shares worth approximately $40.61 million.
• Tri Pointe Homes recently reported $0.77 EPS for the last quarter, exceeding analysts' expectations of $0.66, but showed a 22.3% decline in revenue year-over-year.
• The company has initiated a $50 million share buyback program, suggesting management believes its stock is undervalued.

Northern Trust Corp cut its stake in Tri Pointe Homes Inc. (NYSE:TPH - Free Report) by 1.1% in the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 1,272,254 shares of the construction company's stock after selling 14,136 shares during the quarter. Northern Trust Corp owned 1.40% of Tri Pointe Homes worth $40,610,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other institutional investors and hedge funds also recently modified their holdings of the business. Tower Research Capital LLC TRC grew its holdings in Tri Pointe Homes by 67.7% during the fourth quarter. Tower Research Capital LLC TRC now owns 3,578 shares of the construction company's stock valued at $130,000 after purchasing an additional 1,445 shares during the period. CWM LLC increased its holdings in shares of Tri Pointe Homes by 67.8% in the first quarter. CWM LLC now owns 3,797 shares of the construction company's stock worth $121,000 after buying an additional 1,534 shares during the period. Covestor Ltd increased its holdings in shares of Tri Pointe Homes by 327.8% in the first quarter. Covestor Ltd now owns 3,884 shares of the construction company's stock worth $124,000 after buying an additional 2,976 shares during the period. PharVision Advisers LLC purchased a new position in Tri Pointe Homes during the 4th quarter valued at about $242,000. Finally, Elevated Capital Advisors LLC increased its holdings in Tri Pointe Homes by 9.3% during the 1st quarter. Elevated Capital Advisors LLC now owns 7,034 shares of the construction company's stock valued at $225,000 after purchasing an additional 599 shares during the period. 97.01% of the stock is owned by hedge funds and other institutional investors.

Tri Pointe Homes Stock Performance

NYSE TPH traded down $0.25 on Tuesday, reaching $35.08. 250,835 shares of the company's stock traded hands, compared to its average volume of 1,034,954. The firm has a market cap of $3.18 billion, a price-to-earnings ratio of 8.93, a P/E/G ratio of 0.96 and a beta of 1.27. The stock has a 50 day moving average price of $33.47 and a 200-day moving average price of $31.86. Tri Pointe Homes Inc. has a fifty-two week low of $27.90 and a fifty-two week high of $46.91. The company has a debt-to-equity ratio of 0.28, a quick ratio of 1.79 and a current 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 earnings per share for the quarter, topping analysts' consensus estimates of $0.66 by $0.11. The business had revenue of $884.01 million during the quarter, compared to the consensus estimate of $810.77 million. Tri Pointe Homes had a net margin of 9.22% and a return on equity of 11.33%. The company's revenue was down 22.3% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $1.25 earnings per share. Equities research analysts predict that Tri Pointe Homes Inc. will post 3.58 EPS for the current fiscal year.

Tri Pointe Homes announced that its board has initiated a share buyback program on Thursday, July 24th that allows the company to buyback $50.00 million in outstanding shares. This buyback authorization allows the construction company to purchase up to 1.6% of its stock through open market purchases. Stock buyback programs are often an indication that the company's leadership believes its shares are undervalued.

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on TPH shares. Wall Street Zen upgraded Tri Pointe Homes from a "sell" rating to a "hold" rating in a research note on Saturday. Evercore ISI cut their price target on Tri Pointe Homes from $39.00 to $38.00 and set an "outperform" rating for the company in a research note on Friday, July 25th. Wolfe Research lowered Tri Pointe Homes from an "outperform" rating to a "peer perform" rating in a research note on Sunday, July 27th. Finally, Wedbush restated an "outperform" rating and set a $43.00 price objective on shares of Tri Pointe Homes in a research report on Friday, July 25th. One analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average price target of $40.80.

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.