Hsbc Holdings PLC Raises Holdings in Tri Pointe Homes Inc. $TPH

Key Points

• Hsbc Holdings PLC increased its stake in Tri Pointe Homes by 86.2% in the first quarter, now owning approximately 0.05% of the company valued at $1.54 million.
• Tri Pointe Homes reported earnings of $0.77 per share for the latest quarter, exceeding expectations and indicating a decline in revenue of 22.3% year-over-year.
• The company's Board of Directors authorized a $50 million stock buyback plan, reflecting their belief that the shares are currently undervalued.

Hsbc Holdings PLC grew its stake in shares of Tri Pointe Homes Inc. (NYSE:TPH - Free Report) by 86.2% during the first quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund owned 48,519 shares of the construction company's stock after acquiring an additional 22,462 shares during the quarter. Hsbc Holdings PLC owned about 0.05% of Tri Pointe Homes worth $1,541,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also recently made changes to their positions in the business. Sumitomo Mitsui Trust Group Inc. lifted its position in shares of Tri Pointe Homes by 9.4% during the 1st quarter. Sumitomo Mitsui Trust Group Inc. now owns 9,272 shares of the construction company's stock valued at $296,000 after buying an additional 800 shares in the last quarter. Wealth Enhancement Advisory Services LLC lifted its position in shares of Tri Pointe Homes by 57.4% in the first quarter. Wealth Enhancement Advisory Services LLC now owns 7,880 shares of the construction company's stock worth $252,000 after buying an additional 2,875 shares in the last quarter. Principal Financial Group Inc. grew its position in Tri Pointe Homes by 2.9% in the first quarter. Principal Financial Group Inc. now owns 500,398 shares of the construction company's stock worth $15,973,000 after acquiring an additional 14,298 shares in the last quarter. SG Americas Securities LLC bought a new stake in Tri Pointe Homes in the first quarter worth $300,000. Finally, Entropy Technologies LP purchased a new stake in Tri Pointe Homes in the 1st quarter worth about $676,000. Hedge funds and other institutional investors own 97.01% of the company's stock.

Analyst Upgrades and Downgrades

TPH has been the topic of a number of recent analyst reports. Evercore ISI reduced their price objective on shares of Tri Pointe Homes from $39.00 to $38.00 and set an "outperform" rating on the stock in a research report on Friday, July 25th. Wedbush reissued an "outperform" rating and set a $43.00 target price on shares of Tri Pointe Homes in a research report on Friday, July 25th. Wolfe Research downgraded shares of Tri Pointe Homes from an "outperform" rating to a "peer perform" rating in a research report on Sunday, July 27th. Finally, Wall Street Zen raised shares of Tri Pointe Homes from a "sell" rating to a "hold" rating in a research report on Saturday. One investment analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating and three have issued a Hold rating to the company's stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $40.80.

Tri Pointe Homes Stock Up 1.2%

Shares of TPH stock traded up $0.41 during trading hours on Wednesday, reaching $35.34. 1,083,637 shares of the company's stock were exchanged, compared to its average volume of 945,288. Tri Pointe Homes Inc. has a 1 year low of $27.90 and a 1 year high of $46.91. The stock has a market cap of $3.20 billion, a PE ratio of 8.99, a PEG ratio of 0.96 and a beta of 1.27. The company has a current ratio of 1.79, a quick ratio of 1.79 and a debt-to-equity ratio of 0.28. The stock's fifty day moving average price is $33.61 and its two-hundred day moving average price is $31.91.

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, topping 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 for the quarter, compared to analyst estimates of $810.77 million. During the same quarter in the previous year, the firm earned $1.25 earnings per share. The company's revenue was down 22.3% on a year-over-year basis. 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 initiated a stock repurchase program on Thursday, July 24th that permits the company to repurchase $50.00 million in shares. This repurchase authorization permits the construction company to repurchase up to 1.6% of its stock through open market purchases. Stock repurchase programs are typically an indication that the company's leadership believes its stock is 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.