PulteGroup, Inc. (NYSE:PHM) Given Consensus Rating of "Moderate Buy" by Brokerages

Key Points

• PulteGroup has a consensus analyst rating of “Moderate Buy”, based on 17 covering firms, with an average 12-month price target of about $140.71.
• The company recently reported quarterly EPS of $1.79, slightly missing estimates, while revenue came in roughly in line at $3.41 billion; revenue was still down 12.4% year over year.
• PulteGroup’s board approved a $1.5 billion share buyback, and the company also declared a quarterly dividend of $0.26 per share, payable July 2.

Shares of PulteGroup, Inc. (NYSE:PHM - Get Free Report) have been given a consensus recommendation of "Moderate Buy" by the seventeen ratings firms that are currently covering the stock, MarketBeat reports. Seven equities research analysts have rated the stock with a hold rating and ten have assigned a buy rating to the company. The average twelve-month price target among analysts that have issued ratings on the stock in the last year is $140.7143.

A number of equities analysts have recently commented on the stock. UBS Group raised their target price on shares of PulteGroup from $159.00 to $162.00 and gave the company a "buy" rating in a research note on Friday, April 24th. Zacks Research raised shares of PulteGroup from a "strong sell" rating to a "hold" rating in a research note on Monday, April 13th. Seaport Research Partners reissued a "sell" rating and issued a $100.00 target price (down from $155.00) on shares of PulteGroup in a research note on Tuesday, April 7th. The Goldman Sachs Group raised their target price on shares of PulteGroup from $133.00 to $142.00 and gave the company a "neutral" rating in a research note on Friday, April 24th. Finally, Truist Financial cut their target price on shares of PulteGroup from $170.00 to $150.00 and set a "buy" rating on the stock in a research note on Thursday, April 16th.

Insider Buying and Selling at PulteGroup

In related news, COO Matthew William Koart sold 7,457 shares of PulteGroup stock in a transaction on Wednesday, May 27th. The shares were sold at an average price of $120.00, for a total transaction of $894,840.00. Following the sale, the chief operating officer owned 28,100 shares of the company's stock, valued at $3,372,000. The trade was a 20.97% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, Director Lila Snyder sold 3,339 shares of PulteGroup stock in a transaction on Friday, May 8th. The stock was sold at an average price of $117.18, for a total transaction of $391,264.02. Following the sale, the director directly owned 3,540 shares in the company, valued at $414,817.20. This trade represents a 48.54% decrease in their position. The SEC filing for this sale provides additional information. Insiders own 0.75% of the company's stock.

Institutional Investors Weigh In On PulteGroup

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Western Wealth Management LLC purchased a new stake in PulteGroup during the 1st quarter worth $130,000. Pacer Advisors Inc. increased its stake in PulteGroup by 18.9% during the 1st quarter. Pacer Advisors Inc. now owns 875,147 shares of the construction company's stock worth $102,926,000 after buying an additional 139,226 shares during the period. Lombard Odier Asset Management Europe Ltd purchased a new stake in PulteGroup during the 1st quarter worth $2,599,000. Parallel Advisors LLC increased its stake in PulteGroup by 20.7% during the 1st quarter. Parallel Advisors LLC now owns 3,985 shares of the construction company's stock worth $469,000 after buying an additional 684 shares during the period. Finally, NewEdge Advisors LLC increased its stake in PulteGroup by 39.2% during the 1st quarter. NewEdge Advisors LLC now owns 9,710 shares of the construction company's stock worth $1,142,000 after buying an additional 2,732 shares during the period. Hedge funds and other institutional investors own 89.90% of the company's stock.

PulteGroup Stock Performance

NYSE:PHM opened at $137.74 on Friday. The company has a quick ratio of 0.94, a current ratio of 0.94 and a debt-to-equity ratio of 0.14. The company has a market cap of $26.24 billion, a P/E ratio of 13.32, a P/E/G ratio of 1.75 and a beta of 1.20. PulteGroup has a fifty-two week low of $104.04 and a fifty-two week high of $144.49. The firm's 50 day moving average is $121.34 and its two-hundred day moving average is $124.30.

PulteGroup (NYSE:PHM - Get Free Report) last issued its earnings results on Thursday, April 23rd. The construction company reported $1.79 EPS for the quarter, missing analysts' consensus estimates of $1.80 by ($0.01). PulteGroup had a net margin of 12.14% and a return on equity of 16.41%. The business had revenue of $3.41 billion during the quarter, compared to analysts' expectations of $3.40 billion. During the same period in the prior year, the business posted $2.57 EPS. The business's revenue was down 12.4% on a year-over-year basis. Analysts expect that PulteGroup will post 9.95 EPS for the current year.

PulteGroup announced that its board has initiated a stock buyback program on Thursday, April 23rd that permits the company to buyback $1.50 billion in outstanding shares. This buyback authorization permits the construction company to buy up to 6.1% of its shares through open market purchases. Shares buyback programs are often a sign that the company's board of directors believes its stock is undervalued.

PulteGroup Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, July 2nd. Investors of record on Tuesday, June 16th will be paid a dividend of $0.26 per share. The ex-dividend date of this dividend is Tuesday, June 16th. This represents a $1.04 annualized dividend and a yield of 0.8%. PulteGroup's payout ratio is 10.06%.

About PulteGroup

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.