Tri Pointe Homes Inc. (NYSE:TPH) Shares Sold by Citigroup Inc.

Key Points

• Citigroup Inc. has reduced its stake in Tri Pointe Homes by 4.0%, now owning 235,677 shares valued at approximately $7.5 million.
• Tri Pointe Homes plans to repurchase $50 million in shares, indicating management's belief that the stock is undervalued.
• The company's recent earnings report showed $0.77 EPS, exceeding analysts' expectations of $0.66, despite a 22.3% decline in revenue year-over-year.

Citigroup Inc. reduced its stake in shares of Tri Pointe Homes Inc. (NYSE:TPH - Free Report) by 4.0% during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 235,677 shares of the construction company's stock after selling 9,925 shares during the quarter. Citigroup Inc. owned about 0.26% of Tri Pointe Homes worth $7,523,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also recently bought and sold shares of the company. LSV Asset Management grew its holdings in shares of Tri Pointe Homes by 4.8% during the first quarter. LSV Asset Management now owns 1,762,922 shares of the construction company's stock worth $56,272,000 after purchasing an additional 80,198 shares during the last quarter. Nuveen Asset Management LLC boosted its position in shares of Tri Pointe Homes by 3.0% in the 4th quarter. Nuveen Asset Management LLC now owns 1,736,288 shares of the construction company's stock valued at $62,958,000 after purchasing an additional 49,916 shares during the period. Castlekeep Investment Advisors LLC purchased a new position in Tri Pointe Homes during the 4th quarter worth approximately $60,261,000. Northern Trust Corp increased its position in Tri Pointe Homes by 13.8% during the fourth quarter. Northern Trust Corp now owns 1,286,390 shares of the construction company's stock worth $46,645,000 after buying an additional 155,694 shares during the period. Finally, Allianz Asset Management GmbH lifted its stake in Tri Pointe Homes by 54.8% in the first quarter. Allianz Asset Management GmbH now owns 1,255,057 shares of the construction company's stock valued at $40,061,000 after buying an additional 444,153 shares during the last quarter. 97.01% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

A number of equities analysts have recently commented on the stock. Wall Street Zen cut shares of Tri Pointe Homes from a "hold" rating to a "sell" rating in a report on Saturday, July 26th. Wedbush restated an "outperform" rating and issued a $43.00 price objective on shares of Tri Pointe Homes in a research note on Friday, July 25th. Evercore ISI reduced their target price 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. Finally, Wolfe Research downgraded shares of Tri Pointe Homes from an "outperform" rating to a "peer perform" rating in a research note on Sunday, July 27th. One research analyst has rated the stock with a sell rating, three have issued a hold rating, three have given a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $40.80.

Tri Pointe Homes Stock Performance

Shares of TPH opened at $35.03 on Friday. The company's 50 day simple moving average is $32.49 and its 200 day simple moving average is $31.97. 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 Inc. has a 1 year low of $27.90 and a 1 year high of $46.91. The company has a market capitalization of $3.18 billion, a price-to-earnings ratio of 8.91, a PEG ratio of 0.95 and a beta of 1.22.

Tri Pointe Homes (NYSE:TPH - Get Free Report) last issued its quarterly earnings results on Thursday, July 24th. The construction company reported $0.77 earnings per share for the quarter, beating analysts' consensus estimates of $0.66 by $0.11. Tri Pointe Homes had a return on equity of 11.33% and a net margin of 9.22%. The business had revenue of $884.01 million during the quarter, compared to the consensus estimate of $810.77 million. During the same period in the previous year, the business earned $1.25 EPS. The business's quarterly revenue was down 22.3% on a year-over-year basis. On average, sell-side 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 approved a share repurchase plan on Thursday, July 24th that permits the company to repurchase $50.00 million in shares. This repurchase authorization permits the construction company to purchase up to 1.6% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company's management believes its stock is undervalued.

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.

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