Wells Fargo & Company Has Lowered Expectations for KB Home (NYSE:KBH) Stock Price

KB Home (NYSE:KBH) had its price objective reduced by stock analysts at Wells Fargo & Company from $63.00 to $57.00 in a research note issued to investors on Tuesday,Benzinga reports. The brokerage currently has an “underweight” rating on the construction company’s stock. Wells Fargo & Company‘s price target points to a potential downside of 2.00% from the company’s previous close.

A number of other equities research analysts have also weighed in on KBH. Keefe, Bruyette & Woods lowered their price target on shares of KB Home from $85.00 to $76.00 and set a “market perform” rating for the company in a report on Friday, January 17th. The Goldman Sachs Group lowered their target price on KB Home from $81.00 to $72.00 and set a “neutral” rating for the company in a research note on Friday, March 7th. UBS Group cut their price target on KB Home from $97.00 to $86.00 and set a “buy” rating on the stock in a research note on Tuesday. Royal Bank of Canada upgraded KB Home from an “underperform” rating to a “sector perform” rating and lowered their price objective for the company from $70.00 to $67.00 in a research note on Friday, January 10th. Finally, Raymond James reaffirmed an “outperform” rating and issued a $80.00 target price (down from $93.00) on shares of KB Home in a research report on Tuesday, January 21st. Two equities research analysts have rated the stock with a sell rating, eight have issued a hold rating, three have given a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, KB Home presently has a consensus rating of “Hold” and a consensus target price of $72.46.

KB Home Trading Down 5.9 %

NYSE:KBH opened at $58.17 on Tuesday. KB Home has a 12 month low of $58.80 and a 12 month high of $89.70. The business’s 50-day moving average is $64.17 and its two-hundred day moving average is $72.95. The company has a debt-to-equity ratio of 0.42, a current ratio of 5.51 and a quick ratio of 0.83. The firm has a market capitalization of $4.16 billion, a PE ratio of 6.86, a price-to-earnings-growth ratio of 0.90 and a beta of 1.89.

KB Home (NYSE:KBH) last released its quarterly earnings results on Monday, March 24th. The construction company reported $1.49 EPS for the quarter, missing the consensus estimate of $1.56 by ($0.07). KB Home had a return on equity of 16.46% and a net margin of 9.45%. The company had revenue of $1.39 billion for the quarter, compared to analyst estimates of $1.51 billion. During the same period last year, the firm posted $1.76 earnings per share. The business’s revenue was down 5.2% on a year-over-year basis. Research analysts predict that KB Home will post 8.42 earnings per share for the current fiscal year.

Insider Activity at KB Home

In related news, CFO Jeff Kaminski sold 27,500 shares of the business’s stock in a transaction that occurred on Tuesday, January 28th. The stock was sold at an average price of $68.77, for a total transaction of $1,891,175.00. Following the completion of the transaction, the chief financial officer now owns 34,473 shares in the company, valued at $2,370,708.21. The trade was a 44.37 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Insiders own 3.89% of the company’s stock.

Hedge Funds Weigh In On KB Home

Several hedge funds and other institutional investors have recently modified their holdings of KBH. Barclays PLC boosted its stake in KB Home by 24.5% during the 3rd quarter. Barclays PLC now owns 196,229 shares of the construction company’s stock valued at $16,816,000 after purchasing an additional 38,638 shares during the period. Charles Schwab Investment Management Inc. boosted its position in shares of KB Home by 22.1% during the third quarter. Charles Schwab Investment Management Inc. now owns 906,236 shares of the construction company’s stock worth $77,655,000 after buying an additional 164,010 shares during the period. Neo Ivy Capital Management bought a new position in KB Home in the 3rd quarter worth approximately $956,000. Blue Trust Inc. increased its position in KB Home by 35.9% in the 4th quarter. Blue Trust Inc. now owns 1,727 shares of the construction company’s stock valued at $113,000 after acquiring an additional 456 shares during the period. Finally, Cerity Partners LLC raised its stake in KB Home by 24.7% during the 3rd quarter. Cerity Partners LLC now owns 38,742 shares of the construction company’s stock valued at $3,320,000 after acquiring an additional 7,679 shares in the last quarter. Institutional investors and hedge funds own 96.09% of the company’s stock.

KB Home Company Profile

KB Home operates as a homebuilding company in the United States. It operates through four segments: West Coast, Southwest, Central, and Southeast. It builds and sells various homes, including attached and detached single-family residential homes, townhomes, and condominiums primarily for first-time, first move-up, second move-up, and active adult homebuyers.