KB Home (NYSE:KBH) Given Consensus Recommendation of "Hold" by Analysts

Key Points

• KB Home has received a consensus rating of "Hold" from twelve brokerages, with varying opinions including one sell, seven hold, three buy, and one strong buy.
• The average 12-month price target for KB Home shares among analysts is $66.14, with recent target adjustments ranging from $49.00 to $70.00.
• KB Home reported a quarterly earnings per share (EPS) of $1.50, surpassing expectations, although revenue showed a 10.5% decline year-over-year.

Shares of KB Home (NYSE:KBH - Get Free Report) have been assigned a consensus rating of "Hold" from the twelve ratings firms that are covering the stock, Marketbeat reports. One investment analyst has rated the stock with a sell rating, seven have issued a hold rating, three have given a buy rating and one has given a strong buy rating to the company. The average 1-year price target among analysts that have covered the stock in the last year is $66.1364.

Several research firms recently issued reports on KBH. Wall Street Zen raised shares of KB Home from a "sell" rating to a "hold" rating in a research note on Saturday, July 12th. UBS Group reduced their price target on KB Home from $86.00 to $80.00 and set a "buy" rating for the company in a research report on Tuesday, June 24th. Evercore ISI lowered their price objective on KB Home from $77.00 to $70.00 and set an "outperform" rating on the stock in a report on Tuesday, June 24th. Wells Fargo & Company reissued an "underweight" rating and issued a $52.00 price objective (down from $53.00) on shares of KB Home in a research note on Tuesday, June 24th. Finally, Bank of America decreased their target price on KB Home from $58.00 to $54.00 and set a "neutral" rating for the company in a research report on Tuesday, June 24th.

Insider Activity

In other news, COO Robert V. Mcgibney sold 14,000 shares of the business's stock in a transaction dated Tuesday, July 15th. The stock was sold at an average price of $53.52, for a total transaction of $749,280.00. Following the sale, the chief operating officer directly owned 78,345 shares in the company, valued at approximately $4,193,024.40. The trade was a 15.16% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Company insiders own 3.89% of the company's stock.

Institutional Investors Weigh In On KB Home

Several large investors have recently modified their holdings of the company. Rexford Capital Inc. acquired a new stake in shares of KB Home during the 2nd quarter worth approximately $303,000. FORA Capital LLC purchased a new stake in shares of KB Home in the second quarter worth about $1,032,000. Tower Research Capital LLC TRC grew its stake in KB Home by 142.3% in the 2nd quarter. Tower Research Capital LLC TRC now owns 9,084 shares of the construction company's stock worth $481,000 after buying an additional 5,335 shares in the last quarter. Corient Private Wealth LLC increased its stake in shares of KB Home by 20.7% in the second quarter. Corient Private Wealth LLC now owns 21,146 shares of the construction company's stock worth $1,120,000 after buying an additional 3,633 shares during the period. Finally, Captrust Financial Advisors lifted its position in shares of KB Home by 15.7% in the 2nd quarter. Captrust Financial Advisors now owns 8,322 shares of the construction company's stock worth $441,000 after purchasing an additional 1,127 shares during the period. 96.09% of the stock is currently owned by institutional investors and hedge funds.

KB Home Stock Up 2.4%

Shares of KBH stock traded up $1.52 during trading on Friday, hitting $63.73. 219,096 shares of the company were exchanged, compared to its average volume of 1,484,053. The business's 50-day simple moving average is $55.74 and its 200 day simple moving average is $56.70. The company has a debt-to-equity ratio of 0.47, a quick ratio of 0.60 and a current ratio of 5.83. KB Home has a twelve month low of $48.90 and a twelve month high of $89.70. The firm has a market capitalization of $4.34 billion, a price-to-earnings ratio of 8.45, a P/E/G ratio of 5.05 and a beta of 1.34.

KB Home (NYSE:KBH - Get Free Report) last announced its quarterly earnings results on Monday, June 23rd. The construction company reported $1.50 EPS for the quarter, beating the consensus estimate of $1.45 by $0.05. The business had revenue of $1.53 billion during the quarter, compared to analysts' expectations of $1.51 billion. KB Home had a return on equity of 14.02% and a net margin of 8.47%. The firm's quarterly revenue was down 10.5% compared to the same quarter last year. During the same quarter in the previous year, the business posted $2.15 EPS. As a group, analysts forecast that KB Home will post 8.42 EPS for the current fiscal year.

KB Home Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, August 21st. Stockholders of record on Thursday, August 7th will be paid a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a dividend yield of 1.6%. The ex-dividend date is Thursday, August 7th. KB Home's dividend payout ratio (DPR) is presently 13.25%.

KB Home Company Profile

KB Home operates as a homebuilding company in the United States. It operates through four segments: West Coast, Southwest, Central, and Southeast. It builds and sells various homes, including attached and detached single-family residential homes, townhomes, and condominiums primarily for first-time, first move-up, second move-up, and active adult homebuyers.