NVR, Inc. (NYSE:NVR) Given Average Recommendation of "Hold" by Brokerages

Key Points

• Seven analysts give NVR an average recommendation of Hold (five holds, two buys) with a 12‑month average target of about $7,649, amid recent mixed analyst moves including downgrades and price‑target cuts.
• NVR missed the quarter—EPS $67.76 vs. $79.97 expected and revenue $1.91B vs. $2.09B—sending shares lower (~3.7%) and trading near their 12‑month low.
• The board authorized a $750 million share repurchase (≈3.3% of shares) even as insiders sold ~1,120 shares worth $9.01M last quarter; institutional investors own roughly 83.7% of the stock.

Shares of NVR, Inc. (NYSE:NVR - Get Free Report) have received an average recommendation of "Hold" from the seven analysts that are currently covering the firm, Marketbeat.com reports. Five analysts have rated the stock with a hold rating and two have given a buy rating to the company. The average twelve-month target price among brokers that have covered the stock in the last year is $7,649.3333.

NVR has been the topic of several analyst reports. Zelman & Associates upgraded NVR from a "sell" rating to a "hold" rating and set a $7,675.00 target price on the stock in a research note on Thursday, January 29th. UBS Group cut their target price on NVR from $8,100.00 to $7,700.00 and set a "neutral" rating on the stock in a research note on Thursday, April 23rd. Wall Street Zen lowered NVR from a "hold" rating to a "sell" rating in a research note on Saturday, April 25th. Seaport Research Partners reiterated a "sell" rating and issued a $5,664.00 target price on shares of NVR in a research note on Tuesday, April 7th. Finally, Bank of America cut their target price on NVR from $8,600.00 to $8,225.00 and set a "buy" rating on the stock in a research note on Monday, April 20th.

Insider Buying and Selling at NVR

In related news, Director Michael J. Devito bought 11 shares of the business's stock in a transaction on Friday, April 24th. The shares were bought at an average price of $6,699.50 per share, for a total transaction of $73,694.50. Following the completion of the purchase, the director directly owned 25 shares of the company's stock, valued at approximately $167,487.50. This trade represents a 78.57% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CAO Matthew B. Kelpy sold 500 shares of the business's stock in a transaction dated Tuesday, February 10th. The stock was sold at an average price of $8,100.00, for a total value of $4,050,000.00. Following the sale, the chief accounting officer owned 208 shares in the company, valued at $1,684,800. The trade was a 70.62% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 1,120 shares of company stock worth $9,012,736 over the last quarter. Insiders own 8.60% of the company's stock.

Institutional Investors Weigh In On NVR

Large investors have recently modified their holdings of the business. Murphy Middleton Hinkle & Parker Inc. acquired a new stake in shares of NVR during the fourth quarter worth about $11,610,000. Principal Financial Group Inc. lifted its holdings in shares of NVR by 4.0% during the third quarter. Principal Financial Group Inc. now owns 60,307 shares of the construction company's stock worth $484,546,000 after purchasing an additional 2,331 shares during the period. Nordea Investment Management AB lifted its holdings in shares of NVR by 262.2% during the third quarter. Nordea Investment Management AB now owns 938 shares of the construction company's stock worth $7,522,000 after purchasing an additional 679 shares during the period. American Century Companies Inc. lifted its holdings in shares of NVR by 17.0% during the third quarter. American Century Companies Inc. now owns 6,370 shares of the construction company's stock worth $51,181,000 after purchasing an additional 925 shares during the period. Finally, iA Global Asset Management Inc. acquired a new stake in shares of NVR during the third quarter worth about $691,000. Hedge funds and other institutional investors own 83.67% of the company's stock.

NVR Trading Down 3.7%

Shares of NYSE:NVR opened at $6,203.65 on Thursday. NVR has a 12-month low of $6,195.15 and a 12-month high of $8,618.28. The business's fifty day simple moving average is $6,804.63 and its 200-day simple moving average is $7,258.10. The company has a market capitalization of $17.23 billion, a PE ratio of 15.12, a P/E/G ratio of 4.55 and a beta of 1.07. The company has a current ratio of 6.21, a quick ratio of 3.71 and a debt-to-equity ratio of 0.24.

NVR (NYSE:NVR - Get Free Report) last posted its earnings results on Wednesday, April 22nd. The construction company reported $67.76 earnings per share (EPS) for the quarter, missing the consensus estimate of $79.97 by ($12.21). NVR had a net margin of 12.93% and a return on equity of 31.82%. The company had revenue of $1.91 billion during the quarter, compared to analysts' expectations of $2.09 billion. During the same quarter last year, the firm earned $94.83 EPS. NVR's revenue for the quarter was down 21.7% on a year-over-year basis. As a group, equities research analysts predict that NVR will post 393.81 earnings per share for the current fiscal year.

NVR declared that its board has initiated a stock repurchase plan on Wednesday, February 11th that authorizes the company to repurchase $750.00 million in outstanding shares. This repurchase authorization authorizes the construction company to buy up to 3.3% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company's board of directors believes its shares are undervalued.

About NVR

NVR, Inc is a U.S.-based homebuilding and mortgage banking company that designs, constructs and sells single-family detached homes, townhomes and condominiums. The company operates primarily through its homebuilding business and a mortgage banking subsidiary, providing financing and related closing services to its homebuyers. NVR's homebuilding activities include land development, community planning, model home sales and construction management aimed at a range of buyer demographics.

Its homes are marketed under recognizable regional brands, including Ryan Homes and NVHomes, along with other market-specific trade names, and are offered across multiple geographic markets in the United States.

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