Dream Finders Homes (NYSE:DFH) Stock Price Down 13% - Time to Sell?

Key Points

• Dream Finders Homes shares fell 13% to about $8.03, with trading volume roughly 22% above average. The stock is well below its 50-day and 200-day moving averages.
• Analyst sentiment is mixed but leans cautious: the consensus rating is Hold, based on one Strong Buy, three Holds and two Sell ratings, while Weiss Ratings reaffirmed a “sell (D+)” assessment.
• The company reported quarterly EPS of $0.27 on $1.06 billion in revenue. Despite the selloff, insiders bought 103,000 shares in the last quarter, and insiders own 65.97% of the stock.

Dream Finders Homes, Inc. (NYSE:DFH - Get Free Report) shares were down 13% during trading on Wednesday. The company traded as low as $7.93 and last traded at $8.0250. Approximately 867,774 shares were traded during trading, an increase of 22% from the average session volume of 711,913 shares. The stock had previously closed at $9.22.

Wall Street Analyst Weigh In

Separately, Weiss Ratings reaffirmed a "sell (d+)" rating on shares of Dream Finders Homes in a research report on Friday, August 7th. One equities research analyst has rated the stock with a Strong Buy rating, three have given a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of "Hold".

Dream Finders Homes Trading Down 16.6%

The firm has a market capitalization of $697.76 million, a P/E ratio of 5.42 and a beta of 1.91. The business has a 50-day moving average of $12.73 and a 200 day moving average of $14.12.

Dream Finders Homes (NYSE:DFH - Get Free Report) last announced its quarterly earnings results on Thursday, July 30th. The company reported $0.27 earnings per share (EPS) for the quarter. The business had revenue of $1.06 billion for the quarter. Dream Finders Homes had a return on equity of 10.38% and a net margin of 3.55%.

Insider Activity

In other Dream Finders Homes news, Director Richard Beckwitt purchased 70,000 shares of Dream Finders Homes stock in a transaction that occurred on Tuesday, August 11th. The stock was acquired at an average price of $13.95 per share, with a total value of $976,500.00. Following the transaction, the director owned 70,000 shares in the company, valued at $976,500. This trade represents a ∞ increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In the last quarter, insiders acquired 103,000 shares of company stock valued at $1,427,755. 65.97% of the stock is owned by company insiders.

Institutional Investors Weigh In On Dream Finders Homes

Hedge funds and other institutional investors have recently made changes to their positions in the business. Janus Henderson Group PLC raised its holdings in shares of Dream Finders Homes by 5.2% in the 1st quarter. Janus Henderson Group PLC now owns 1,876,795 shares of the company's stock worth $26,125,000 after acquiring an additional 92,691 shares during the last quarter. Dimensional Fund Advisors LP boosted its stake in Dream Finders Homes by 19.3% during the 1st quarter. Dimensional Fund Advisors LP now owns 1,449,308 shares of the company's stock valued at $20,173,000 after purchasing an additional 234,899 shares during the last quarter. Elevation Point Wealth Partners LLC acquired a new position in Dream Finders Homes during the 1st quarter valued at about $4,800,000. Bank of New York Mellon Corp bought a new stake in Dream Finders Homes during the 2nd quarter worth approximately $2,833,000. Finally, Rockefeller Capital Management L.P. increased its holdings in Dream Finders Homes by 105.9% during the 4th quarter. Rockefeller Capital Management L.P. now owns 128,872 shares of the company's stock worth $2,204,000 after purchasing an additional 66,294 shares in the last quarter. 95.55% of the stock is owned by institutional investors.

Dream Finders Homes Company Profile

Dream Finders Homes, Inc is a residential homebuilder that designs, constructs and sells single-family homes. The company offers a range of home plans and options intended for first-time, move-up and luxury buyers, with homes typically sold through a build-to-order model as well as from completed inventory. Its operations also include the development and acquisition of residential lots for use in its homebuilding activities.

Founded in 2008, Dream Finders Homes has expanded through organic growth and acquisitions into multiple housing markets across the United States.

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