LGI Homes (NASDAQ:LGIH) Rating Reiterated by Wedbush

LGI Homes (NASDAQ:LGIH - Get Free Report)'s stock had its "underperform" rating reaffirmed by equities research analysts at Wedbush in a research report issued to clients and investors on Tuesday, Marketbeat reports. They presently have a $74.00 target price on the financial services provider's stock, down from their previous target price of $88.00. Wedbush's target price indicates a potential downside of 29.76% from the stock's previous close.

Several other analysts have also commented on the stock. JMP Securities reaffirmed a "market outperform" rating and issued a $160.00 price objective on shares of LGI Homes in a research report on Tuesday, February 27th. StockNews.com lowered shares of LGI Homes from a "hold" rating to a "sell" rating in a research report on Tuesday, March 26th. Three investment analysts have rated the stock with a sell rating, two have given a hold rating and one has issued a buy rating to the company. According to data from MarketBeat, the stock has a consensus rating of "Hold" and a consensus price target of $110.50.

LGI Homes Stock Down 7.9 %

Shares of LGIH traded down $9.08 during trading hours on Tuesday, reaching $105.36. 339,107 shares of the stock traded hands, compared to its average volume of 183,822. The company has a current ratio of 10.66, a quick ratio of 0.42 and a debt-to-equity ratio of 0.67. The stock has a fifty day simple moving average of $116.00 and a 200 day simple moving average of $114.15. LGI Homes has a 52 week low of $84.15 and a 52 week high of $141.91. The company has a market cap of $2.48 billion, a price-to-earnings ratio of 12.62 and a beta of 1.83.

LGI Homes (NASDAQ:LGIH - Get Free Report) last released its quarterly earnings results on Tuesday, February 20th. The financial services provider reported $2.19 earnings per share for the quarter, missing analysts' consensus estimates of $2.54 by ($0.35). LGI Homes had a net margin of 8.45% and a return on equity of 11.28%. The firm had revenue of $608.41 million for the quarter, compared to the consensus estimate of $663.95 million. During the same period in the previous year, the business earned $1.45 earnings per share. The firm's revenue for the quarter was up 24.6% on a year-over-year basis. On average, equities analysts forecast that LGI Homes will post 9.29 EPS for the current year.

Insider Activity

In other news, General Counsel Scott James Garber sold 1,212 shares of the business's stock in a transaction that occurred on Monday, March 11th. The shares were sold at an average price of $111.95, for a total value of $135,683.40. Following the sale, the general counsel now owns 13,824 shares of the company's stock, valued at $1,547,596.80. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. In other news, General Counsel Scott James Garber sold 1,212 shares of the business's stock in a transaction that occurred on Monday, March 11th. The shares were sold at an average price of $111.95, for a total value of $135,683.40. Following the sale, the general counsel now owns 13,824 shares of the company's stock, valued at $1,547,596.80. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, CFO Charles Michael Merdian sold 6,361 shares of the business's stock in a transaction that occurred on Monday, March 11th. The shares were sold at an average price of $111.95, for a total transaction of $712,113.95. Following the transaction, the chief financial officer now directly owns 9,458 shares of the company's stock, valued at approximately $1,058,823.10. The disclosure for this sale can be found here. Insiders have sold a total of 26,435 shares of company stock valued at $2,944,291 over the last quarter. Company insiders own 12.20% of the company's stock.

Hedge Funds Weigh In On LGI Homes

Several hedge funds have recently bought and sold shares of the company. Tributary Capital Management LLC grew its stake in LGI Homes by 24.5% in the 4th quarter. Tributary Capital Management LLC now owns 133,742 shares of the financial services provider's stock worth $17,809,000 after buying an additional 26,280 shares in the last quarter. Dark Forest Capital Management LP purchased a new position in LGI Homes in the 3rd quarter worth approximately $568,000. Rhumbline Advisers grew its stake in LGI Homes by 0.7% in the 3rd quarter. Rhumbline Advisers now owns 66,913 shares of the financial services provider's stock worth $6,657,000 after buying an additional 437 shares in the last quarter. Connor Clark & Lunn Investment Management Ltd. grew its stake in LGI Homes by 105.7% in the 3rd quarter. Connor Clark & Lunn Investment Management Ltd. now owns 13,313 shares of the financial services provider's stock worth $1,325,000 after buying an additional 6,842 shares in the last quarter. Finally, Tudor Investment Corp Et Al grew its stake in LGI Homes by 154.8% in the 3rd quarter. Tudor Investment Corp Et Al now owns 59,887 shares of the financial services provider's stock worth $5,958,000 after buying an additional 36,379 shares in the last quarter. Hedge funds and other institutional investors own 84.89% of the company's stock.

LGI Homes Company Profile

LGI Homes, Inc designs, constructs, and sells homes. It offers entry-level homes, such as attached and detached homes, and active adult homes under the LGI Homes brand name; and luxury series homes under the Terrata Homes brand name. The company also engages in the wholesale business, which include building and selling homes to large institutions looking to acquire single-family rental properties.