Hovnanian Enterprises (NYSE:HOV) Raised to Hold at Wall Street Zen

Key Points

• Hovnanian Enterprises has been upgraded from a "sell" to a "hold" rating by stock analysts at Wall Street Zen, indicating a shift in sentiment towards the company's stock.
• The company reported $1.99 earnings per share for the last quarter, missing the consensus estimate of $3.51, with revenue of $800.58 million, slightly below analyst estimates.
• Insiders at Hovnanian Enterprises have recently sold shares, with CEO Ara K. Hovnanian selling 609 shares, decreasing his ownership to 62,896 shares, valued at approximately $8.7 million.

Hovnanian Enterprises (NYSE:HOV - Get Free Report) was upgraded by stock analysts at Wall Street Zen from a "sell" rating to a "hold" rating in a research note issued to investors on Sunday.

Separately, Wedbush reissued a "neutral" rating and issued a $120.00 price objective on shares of Hovnanian Enterprises in a report on Wednesday, August 27th. One analyst has rated the stock with a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock presently has an average rating of "Reduce" and an average target price of $120.00.

Hovnanian Enterprises Price Performance

HOV stock opened at $153.93 on Friday. The company has a market capitalization of $911.28 million, a P/E ratio of 7.40 and a beta of 2.12. Hovnanian Enterprises has a twelve month low of $81.15 and a twelve month high of $233.15. The business has a 50 day simple moving average of $129.35 and a 200-day simple moving average of $110.46. The company has a current ratio of 1.62, a quick ratio of 0.28 and a debt-to-equity ratio of 0.08.

Hovnanian Enterprises (NYSE:HOV - Get Free Report) last posted its quarterly earnings data on Thursday, August 21st. The construction company reported $1.99 earnings per share for the quarter, missing the consensus estimate of $3.51 by ($1.52). The firm had revenue of $800.58 million during the quarter, compared to analyst estimates of $806.20 million. Hovnanian Enterprises had a net margin of 5.06% and a return on equity of 23.31%. Hovnanian Enterprises's revenue was up 10.8% compared to the same quarter last year. During the same period in the previous year, the company posted $9.75 earnings per share. Hovnanian Enterprises has set its Q4 2025 guidance at EPS.

Insider Activity at Hovnanian Enterprises

In other news, CEO Ara K. Hovnanian sold 609 shares of the company's stock in a transaction that occurred on Thursday, August 28th. The stock was sold at an average price of $138.31, for a total transaction of $84,230.79. Following the completion of the sale, the chief executive officer owned 62,896 shares in the company, valued at $8,699,145.76. This represents a 0.96% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director Edward A. Kangas sold 5,500 shares of the company's stock in a transaction that occurred on Monday, June 30th. The stock was sold at an average price of $107.12, for a total value of $589,160.00. Following the sale, the director owned 5,338 shares of the company's stock, valued at $571,806.56. This trade represents a 50.75% decrease in their position. The disclosure for this sale can be found here. 19.77% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Hovnanian Enterprises

Several large investors have recently modified their holdings of HOV. Northern Trust Corp raised its position in Hovnanian Enterprises by 8.5% in the fourth quarter. Northern Trust Corp now owns 46,502 shares of the construction company's stock worth $6,223,000 after acquiring an additional 3,657 shares in the last quarter. Algert Global LLC raised its position in Hovnanian Enterprises by 7.8% in the fourth quarter. Algert Global LLC now owns 6,025 shares of the construction company's stock worth $806,000 after acquiring an additional 435 shares in the last quarter. BNP Paribas Financial Markets raised its position in Hovnanian Enterprises by 147.7% in the fourth quarter. BNP Paribas Financial Markets now owns 2,598 shares of the construction company's stock worth $348,000 after acquiring an additional 1,549 shares in the last quarter. Citadel Advisors LLC purchased a new position in Hovnanian Enterprises in the fourth quarter worth $269,000. Finally, Brevan Howard Capital Management LP purchased a new position in Hovnanian Enterprises in the fourth quarter worth $204,000. Hedge funds and other institutional investors own 65.40% of the company's stock.

About Hovnanian Enterprises

Hovnanian Enterprises, Inc, through its subsidiaries, designs, constructs, markets, and sells residential homes in the United States. It offers single-family detached homes, attached townhomes and condominiums, urban infill, and active lifestyle homes with amenities, such as clubhouses, swimming pools, tennis courts, tot lots, and open areas.

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