Pacer Advisors Inc. Sells 2,059,007 Shares of Tri Pointe Homes Inc. (NYSE:TPH)

Key Points

• Pacer Advisors Inc. sold 2,059,007 shares of Tri Pointe Homes, reducing its stake by 63.1% to approximately 1.33% of the company.
• Tri Pointe Homes beat earnings expectations with $0.77 EPS for the most recent quarter, surpassing estimates by $0.11, although revenue decreased 22.3% year-over-year.
• The company announced a $50 million stock buyback plan, indicating confidence in its stock value, while analysts have a consensus rating of "Moderate Buy" for the stock.

Pacer Advisors Inc. lessened its stake in shares of Tri Pointe Homes Inc. (NYSE:TPH - Free Report) by 63.1% in the 1st quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor owned 1,206,503 shares of the construction company's stock after selling 2,059,007 shares during the quarter. Pacer Advisors Inc. owned about 1.33% of Tri Pointe Homes worth $38,512,000 as of its most recent filing with the SEC.

A number of other hedge funds have also modified their holdings of the stock. Xponance Inc. increased its holdings in shares of Tri Pointe Homes by 11.7% during the fourth quarter. Xponance Inc. now owns 6,759 shares of the construction company's stock worth $245,000 after buying an additional 708 shares in the last quarter. KLP Kapitalforvaltning AS bought a new stake in Tri Pointe Homes in the 4th quarter valued at $936,000. Vanguard Group Inc. grew its stake in Tri Pointe Homes by 1.3% in the 4th quarter. Vanguard Group Inc. now owns 11,573,813 shares of the construction company's stock worth $419,666,000 after acquiring an additional 143,365 shares in the last quarter. JPMorgan Chase & Co. raised its holdings in shares of Tri Pointe Homes by 27.4% in the fourth quarter. JPMorgan Chase & Co. now owns 735,026 shares of the construction company's stock worth $26,652,000 after buying an additional 158,246 shares during the last quarter. Finally, Norges Bank acquired a new position in Tri Pointe Homes during the fourth quarter worth about $14,815,000. 97.01% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

A number of brokerages have recently issued reports on TPH. Evercore ISI cut their price target 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 cut Tri Pointe Homes from an "outperform" rating to a "peer perform" rating in a research report on Sunday. Wall Street Zen lowered Tri Pointe Homes from a "hold" rating to a "sell" rating in a research note on Saturday. Finally, Wedbush restated an "outperform" rating and issued a $43.00 target price on shares of Tri Pointe Homes in a research note on Friday, July 25th. One analyst has rated the stock with a sell rating, three have issued a hold rating, three have given a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat, Tri Pointe Homes has an average rating of "Moderate Buy" and an average target price of $40.80.

Tri Pointe Homes Stock Performance

Shares of NYSE:TPH traded down $0.02 during trading on Wednesday, reaching $31.26. The company had a trading volume of 288,091 shares, compared to its average volume of 1,026,786. The stock's fifty day moving average price is $31.64 and its 200 day moving average price is $32.33. Tri Pointe Homes Inc. has a fifty-two week low of $27.90 and a fifty-two week high of $47.07. The company has a debt-to-equity ratio of 0.28, a current ratio of 1.79 and a quick ratio of 1.79. The firm has a market capitalization of $2.83 billion, a price-to-earnings ratio of 7.96, a price-to-earnings-growth ratio of 0.86 and a beta of 1.25.

Tri Pointe Homes (NYSE:TPH - Get Free Report) last issued its earnings results on Thursday, July 24th. The construction company reported $0.77 earnings per share (EPS) for the quarter, beating 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 net margin of 9.22% and a return on equity of 11.33%. The company's revenue for the quarter was down 22.3% on a year-over-year basis. During the same quarter in the prior year, the business posted $1.25 EPS. As a group, equities research analysts predict that Tri Pointe Homes Inc. will post 3.58 EPS for the current year.

Tri Pointe Homes declared that its Board of Directors has authorized a stock buyback plan on Thursday, July 24th that authorizes the company to repurchase $50.00 million in outstanding shares. This repurchase authorization authorizes the construction company to purchase up to 1.6% of its shares through open market purchases. Shares repurchase plans are usually a sign that the company's board of directors believes its shares are undervalued.

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.