Matthew William Koart Sells 7,457 Shares of PulteGroup (NYSE:PHM) Stock

Key Points

• PulteGroup COO Matthew William Koart sold 7,457 shares on May 27 at an average price of $120, totaling about $894,840. After the sale, he still held 28,100 shares valued at roughly $3.37 million.
• PulteGroup’s latest quarterly results were mixed, with EPS of $1.79 missing estimates by a penny while revenue came in slightly ahead at $3.41 billion. Revenue fell 12.4% from a year earlier, though the company still posted a 12.14% net margin.
• The company continues to return capital and attract institutional interest, with a new $1.5 billion share buyback authorization and a quarterly dividend of $0.26 per share. Institutional investors own nearly 90% of the stock, and analysts currently rate PHM as a “Moderate Buy” with a consensus price target of $140.71.

PulteGroup, Inc. (NYSE:PHM - Get Free Report) COO Matthew William Koart sold 7,457 shares of the company's stock in a transaction on Wednesday, May 27th. The stock was sold at an average price of $120.00, for a total value of $894,840.00. Following the transaction, the chief operating officer owned 28,100 shares of the company's stock, valued at approximately $3,372,000. The trade was a 20.97% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink.

PulteGroup Stock Performance

PHM traded up $1.22 during trading on Wednesday, reaching $119.06. 1,810,246 shares of the company were exchanged, compared to its average volume of 1,894,696. The stock has a market cap of $22.68 billion, a P/E ratio of 11.51, a PEG ratio of 1.48 and a beta of 1.23. The firm has a 50 day moving average of $119.14 and a 200 day moving average of $124.07. The company has a current ratio of 0.94, a quick ratio of 0.94 and a debt-to-equity ratio of 0.14. PulteGroup, Inc. has a 52 week low of $95.20 and a 52 week high of $144.49.

PulteGroup (NYSE:PHM - Get Free Report) last released its quarterly earnings results on Thursday, April 23rd. The construction company reported $1.79 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.80 by ($0.01). PulteGroup had a return on equity of 16.41% and a net margin of 12.14%.The business had revenue of $3.41 billion during the quarter, compared to the consensus estimate of $3.40 billion. During the same period in the previous year, the company posted $2.57 EPS. The company's revenue for the quarter was down 12.4% compared to the same quarter last year. On average, sell-side analysts forecast that PulteGroup, Inc. will post 10 EPS for the current fiscal year.

PulteGroup declared that its board has initiated a stock buyback program on Thursday, April 23rd that allows the company to repurchase $1.50 billion in shares. This repurchase authorization allows the construction company to buy up to 6.1% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company's board believes its stock is undervalued.

PulteGroup Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, July 2nd. Stockholders of record on Tuesday, June 16th will be paid a $0.26 dividend. The ex-dividend date of this dividend is Tuesday, June 16th. This represents a $1.04 annualized dividend and a dividend yield of 0.9%. PulteGroup's dividend payout ratio is presently 10.06%.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the company. Franklin Resources Inc. boosted its stake in PulteGroup by 5.1% during the fourth quarter. Franklin Resources Inc. now owns 13,555,304 shares of the construction company's stock valued at $1,589,495,000 after buying an additional 655,033 shares in the last quarter. First Trust Advisors LP boosted its stake in PulteGroup by 7.8% during the first quarter. First Trust Advisors LP now owns 4,314,501 shares of the construction company's stock valued at $507,428,000 after buying an additional 313,581 shares in the last quarter. Price T Rowe Associates Inc. MD boosted its stake in PulteGroup by 126.5% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 4,284,197 shares of the construction company's stock valued at $502,366,000 after buying an additional 2,392,580 shares in the last quarter. Norges Bank bought a new position in PulteGroup during the fourth quarter valued at about $466,653,000. Finally, Dimensional Fund Advisors LP boosted its stake in PulteGroup by 0.9% during the first quarter. Dimensional Fund Advisors LP now owns 3,146,857 shares of the construction company's stock valued at $370,008,000 after buying an additional 26,790 shares in the last quarter. Institutional investors own 89.90% of the company's stock.

Analyst Ratings Changes

PHM has been the subject of several recent analyst reports. Citigroup increased their price target on PulteGroup from $136.00 to $138.00 and gave the stock a "neutral" rating in a research note on Friday, April 24th. Oppenheimer reissued an "outperform" rating on shares of PulteGroup in a research note on Tuesday. Evercore upped their target price on PulteGroup from $146.00 to $151.00 and gave the stock an "outperform" rating in a research report on Friday, April 24th. JPMorgan Chase & Co. decreased their price target on PulteGroup from $149.00 to $131.00 and set an "overweight" rating for the company in a research note on Tuesday, February 3rd. Finally, The Goldman Sachs Group increased their price target on PulteGroup from $133.00 to $142.00 and gave the company a "neutral" rating in a research note on Friday, April 24th. Ten analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company's stock. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus price target of $140.71.

PulteGroup Company Profile

PulteGroup, Inc NYSE: PHM is a U.S.-based residential homebuilder that designs, constructs and sells single-family homes and develops master-planned communities. The company operates multiple national and regional brands that target different buyer segments, including first-time buyers, move-up buyers and active-adult customers. Its operations encompass land acquisition and development, home design and construction, community amenities and ongoing customer service and warranty programs.

PulteGroup markets homes under several well-known brands, such as Pulte Homes, Centex and Del Webb, among others, offering a range of product types from entry-level detached homes to larger, higher-end residences and age-restricted active-adult communities.

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