Truist Financial Issues Pessimistic Forecast for NVR (NYSE:NVR) Stock Price

Key Points

• Truist Financial lowered its price target on NVR from $6,600 to $6,400 and kept a hold rating, implying only slight downside from the current share price.
• Analyst sentiment remains mixed: recent rating changes include a mix of buy, hold, and sell calls, with MarketBeat showing a consensus Hold and an average target of $7,224.20.
• Recent results were uneven as NVR’s quarterly revenue fell 10.5% year over year and came in below estimates, while margins and housing-market headwinds continue to weigh on investor sentiment.

NVR (NYSE:NVR - Get Free Report) had its price target decreased by stock analysts at Truist Financial from $6,600.00 to $6,400.00 in a research report issued to clients and investors on Friday,Benzinga reports. The brokerage presently has a "hold" rating on the construction company's stock. Truist Financial's target price would suggest a potential downside of 0.38% from the stock's current price.

NVR has been the subject of a number of other research reports. Seaport Research Partners reissued a "sell" rating and set a $5,664.00 target price on shares of NVR in a research report on Tuesday, April 7th. Zelman & Associates upgraded shares of NVR from a "hold" rating to a "buy" rating in a research note on Tuesday, July 7th. Wall Street Zen raised shares of NVR from a "sell" rating to a "hold" rating in a research report on Saturday, May 9th. Zacks Research downgraded shares of NVR from a "hold" rating to a "strong sell" rating in a research note on Tuesday. Finally, UBS Group set a $7,400.00 target price on shares of NVR in a report on Friday. Three investment analysts have rated the stock with a Buy rating, two have issued a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of "Hold" and an average price target of $7,224.20.

NVR Trading Up 4.4%

NVR stock traded up $269.13 during midday trading on Friday, reaching $6,424.15. The stock had a trading volume of 17,018 shares, compared to its average volume of 27,986. The stock's 50-day simple moving average is $6,353.15 and its 200 day simple moving average is $6,789.46. NVR has a twelve month low of $5,501.01 and a twelve month high of $8,618.28. The company has a debt-to-equity ratio of 0.26, a quick ratio of 2.67 and a current ratio of 5.19. The stock has a market capitalization of $17.34 billion, a PE ratio of 15.67, a price-to-earnings-growth ratio of 16.29 and a beta of 0.90.

NVR (NYSE:NVR - Get Free Report) last announced its quarterly earnings results on Thursday, July 23rd. The construction company reported $83.96 EPS for the quarter, topping the consensus estimate of $0.90 by $83.06. The company had revenue of $2.34 billion during the quarter, compared to analyst estimates of $2.40 billion. NVR had a return on equity of 32.66% and a net margin of 12.93%.The firm's revenue was down 10.5% on a year-over-year basis. During the same period in the prior year, the firm posted $108.54 earnings per share. Analysts expect that NVR will post 371.11 EPS for the current year.

Institutional Trading of NVR

Large investors have recently modified their holdings of the business. Wedge Capital Management L L P NC boosted its holdings in NVR by 27.5% in the second quarter. Wedge Capital Management L L P NC now owns 1,498 shares of the construction company's stock valued at $10,206,000 after purchasing an additional 323 shares during the last quarter. Tema ETFs LLC raised its position in shares of NVR by 38.1% in the 2nd quarter. Tema ETFs LLC now owns 58 shares of the construction company's stock valued at $395,000 after purchasing an additional 16 shares in the last quarter. Handelsbanken Fonder AB boosted its stake in shares of NVR by 65.9% during the 2nd quarter. Handelsbanken Fonder AB now owns 1,921 shares of the construction company's stock valued at $13,089,000 after buying an additional 763 shares during the last quarter. Wealthcare Advisory Partners LLC boosted its stake in shares of NVR by 1.0% during the 2nd quarter. Wealthcare Advisory Partners LLC now owns 203 shares of the construction company's stock valued at $1,383,000 after buying an additional 2 shares during the last quarter. Finally, Everhart Financial Group Inc. grew its position in shares of NVR by 31.0% during the second quarter. Everhart Financial Group Inc. now owns 76 shares of the construction company's stock worth $518,000 after buying an additional 18 shares in the last quarter. 83.67% of the stock is currently owned by institutional investors and hedge funds.

More NVR News

Here are the key news stories impacting NVR this week:

• Negative Sentiment: Second-quarter earnings and revenue came in below Wall Street expectations, signaling that NVR’s growth is slowing and that the housing market remains challenging. NVR Q2 Earnings Miss Estimates on Margin Pressure, Stock Down
• Negative Sentiment: Homebuilding margins narrowed as higher lot costs, pricing pressure, and contract land deposit impairments weighed on profitability, which is a key concern for investors watching earnings quality. NVR Falls After Q2 Profit, Revenue and Margins Decline

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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