Tri Pointe Homes (NYSE:TPH) Announces Earnings Results, Beats Estimates By $0.11 EPS

Key Points

• Tri Pointe Homes reported an earnings per share (EPS) of $0.77 for the quarter, surpassing estimates by $0.11, while revenue reached $884.01 million, exceeding expectations of $810.77 million.
• The company's net margin was 9.22%, and it experienced a year-over-year revenue decline of 22.3%, with last year's earnings being $1.25 EPS.
• Tri Pointe Homes announced a $50 million share buyback program, indicating the board's belief that the stock is undervalued.

Tri Pointe Homes (NYSE:TPH - Get Free Report) issued its earnings results on Thursday. The construction company reported $0.77 EPS for the quarter, beating the consensus estimate of $0.66 by $0.11, Zacks reports. The company had revenue of $884.01 million during the quarter, compared to analysts' expectations of $810.77 million. Tri Pointe Homes had a net margin of 9.22% and a return on equity of 11.33%. The business's revenue for the quarter was down 22.3% compared to the same quarter last year. During the same period in the previous year, the company earned $1.25 EPS.

Tri Pointe Homes Trading Down 0.5%

TPH traded down $0.15 during trading on Friday, reaching $31.59. 1,482,663 shares of the company's stock were exchanged, compared to its average volume of 1,119,506. Tri Pointe Homes has a one year low of $27.90 and a one year high of $47.78. The company has a current ratio of 1.79, a quick ratio of 1.97 and a debt-to-equity ratio of 0.28. The stock has a market capitalization of $2.86 billion, a PE ratio of 8.04, a price-to-earnings-growth ratio of 0.83 and a beta of 1.25. The firm has a fifty day moving average price of $31.64 and a two-hundred day moving average price of $32.40.

Insiders Place Their Bets

In other Tri Pointe Homes news, CEO Douglas F. Bauer sold 120,287 shares of the business's stock in a transaction that occurred on Monday, April 28th. The shares were sold at an average price of $30.15, for a total transaction of $3,626,653.05. Following the sale, the chief executive officer directly owned 627,833 shares of the company's stock, valued at $18,929,164.95. The trade was a 16.08% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. 2.70% of the stock is owned by insiders.

Institutional Investors Weigh In On Tri Pointe Homes

An institutional investor recently raised its position in Tri Pointe Homes stock. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its position in Tri Pointe Homes Inc. (NYSE:TPH - Free Report) by 4.6% during the first quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 54,879 shares of the construction company's stock after purchasing an additional 2,398 shares during the quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. owned approximately 0.06% of Tri Pointe Homes worth $1,752,000 as of its most recent filing with the SEC. 97.01% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

A number of equities analysts recently issued reports on TPH shares. Wedbush reiterated an "outperform" rating and set a $43.00 price objective on shares of Tri Pointe Homes in a research report on Friday. Evercore ISI lowered their price objective on shares of Tri Pointe Homes from $39.00 to $38.00 and set an "outperform" rating for the company in a research report on Friday. Finally, Wall Street Zen cut shares of Tri Pointe Homes from a "hold" rating to a "sell" rating in a research report on Saturday. One investment analyst has rated the stock with a sell rating, two have assigned a hold rating, three have issued a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $40.80.

Tri Pointe Homes announced that its board has authorized a share buyback program on Thursday, July 24th that allows the company to buyback $50.00 million in outstanding shares. This buyback authorization allows the construction company to purchase up to 1.6% of its shares through open market purchases. Shares buyback programs are generally a sign that the company's board of directors believes its stock is undervalued.

Tri Pointe Homes Company Profile

Tri Pointe Homes, Inc engages in the design, construction, and sale of single-family attached and detached homes in the United States. The company operates through a portfolio of six regional home building brands comprising Maracay in Arizona; Pardee Homes in California and Nevada; Quadrant Homes in Washington; Trendmaker Homes in Texas; TRI Pointe Homes in California, Colorado, and the Carolinas; and Winchester Homes in Maryland and Northern Virginia.

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