LGI Homes, Inc. (NASDAQ:LGIH) Given Average Recommendation of "Hold" by Analysts

Key Points

• Analyst consensus: Five analysts give LGI Homes an average rating of "Hold" (2 sell, 1 hold, 2 buy) with a 12‑month average price target of $74.63.
• Recent results: LGI reported Q EPS of $0.97 (beat $0.96) while revenue of $473.97M missed estimates and was down 15% year‑over‑year; the stock trades around $40.50 with a market cap of ~$937M and a P/E of 12.94.
• Insider activity: Insiders have sold 22,451 shares worth about $943,840 in the last 90 days (insiders own 12.60%), while institutional investors hold roughly 84.89% of the company.

Shares of LGI Homes, Inc. (NASDAQ:LGIH - Get Free Report) have been given an average rating of "Hold" by the five ratings firms that are currently covering the firm, Marketbeat reports. Two equities research analysts have rated the stock with a sell recommendation, one has assigned a hold recommendation and two have given a buy recommendation to the company. The average 12-month price target among analysts that have covered the stock in the last year is $74.6250.

A number of research firms have commented on LGIH. Weiss Ratings restated a "sell (d)" rating on shares of LGI Homes in a research note on Monday, December 29th. Citigroup restated an "outperform" rating on shares of LGI Homes in a research note on Wednesday, January 7th. Finally, Citizens Jmp raised their price objective on LGI Homes from $85.00 to $95.00 and gave the stock a "market outperform" rating in a research note on Wednesday, January 7th.

LGI Homes Price Performance

LGI Homes stock opened at $40.50 on Wednesday. The stock's fifty day moving average price is $46.34 and its two-hundred day moving average price is $47.33. LGI Homes has a one year low of $33.55 and a one year high of $69.50. The company has a debt-to-equity ratio of 0.79, a current ratio of 20.98 and a quick ratio of 0.76. The firm has a market cap of $936.77 million, a PE ratio of 12.94 and a beta of 1.86.

LGI Homes (NASDAQ:LGIH - Get Free Report) last posted its quarterly earnings data on Tuesday, February 17th. The financial services provider reported $0.97 EPS for the quarter, topping analysts' consensus estimates of $0.96 by $0.01. LGI Homes had a return on equity of 4.08% and a net margin of 4.25%.The firm had revenue of $473.97 million for the quarter, compared to analyst estimates of $479.60 million. During the same quarter last year, the company earned $2.15 EPS. The company's revenue was down 15.0% on a year-over-year basis. As a group, research analysts expect that LGI Homes will post 8.46 EPS for the current fiscal year.

Insiders Place Their Bets

In other LGI Homes news, General Counsel Scott James Garber sold 1,353 shares of the firm's stock in a transaction on Monday, March 9th. The stock was sold at an average price of $42.04, for a total transaction of $56,880.12. Following the transaction, the general counsel owned 21,716 shares in the company, valued at $912,940.64. This trade represents a 5.87% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, COO Michael Larry Snider sold 7,887 shares of LGI Homes stock in a transaction on Monday, March 9th. The shares were sold at an average price of $42.04, for a total value of $331,569.48. Following the completion of the transaction, the chief operating officer owned 30,517 shares in the company, valued at approximately $1,282,934.68. The trade was a 20.54% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 22,451 shares of company stock worth $943,840 in the last 90 days. Company insiders own 12.60% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of LGIH. Caitong International Asset Management Co. Ltd boosted its stake in shares of LGI Homes by 75.5% in the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 551 shares of the financial services provider's stock valued at $28,000 after purchasing an additional 237 shares in the last quarter. Russell Investments Group Ltd. lifted its stake in LGI Homes by 106.6% in the 2nd quarter. Russell Investments Group Ltd. now owns 591 shares of the financial services provider's stock valued at $30,000 after purchasing an additional 305 shares during the last quarter. Los Angeles Capital Management LLC acquired a new stake in LGI Homes in the fourth quarter valued at approximately $29,000. Kemnay Advisory Services Inc. bought a new stake in shares of LGI Homes during the fourth quarter worth $32,000. Finally, Rockefeller Capital Management L.P. grew its stake in shares of LGI Homes by 1,759.6% during the fourth quarter. Rockefeller Capital Management L.P. now owns 874 shares of the financial services provider's stock worth $38,000 after buying an additional 827 shares during the last quarter. Institutional investors and hedge funds own 84.89% of the company's stock.

LGI Homes Company Profile

LGI Homes, Inc NASDAQ: LGIH is a residential homebuilder primarily focused on serving first-time and first-time move-up homebuyers in the United States. The company specializes in the acquisition, development and sale of affordable single-family homes and townhomes. LGI Homes operates through an integrated model that encompasses land sourcing, lot development, home construction, and post-closing customer support including warranty services.

In addition to its core homebuilding activities, LGI Homes offers ancillary services to streamline the homebuying process for its customers.

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