Hovnanian Enterprises (NYSE:HOV) Trading 11% Higher – Here’s Why

Hovnanian Enterprises Inc (NYSE:HOV)’s stock price traded up 11% during mid-day trading on Thursday . The company traded as high as $133.14 and last traded at $134.1340. Approximately 92,815 shares traded hands during trading, a decline of 15% from the average session volume of 108,988 shares. The stock had previously closed at $120.87.

Wall Street Analyst Weigh In

Several equities research analysts have weighed in on the company. Weiss Ratings cut Hovnanian Enterprises from a “hold (c)” rating to a “hold (c-)” rating in a report on Friday, May 8th. Wall Street Zen raised Hovnanian Enterprises from a “sell” rating to a “hold” rating in a research note on Saturday, February 28th. Finally, Citizens Jmp started coverage on Hovnanian Enterprises in a report on Thursday, April 9th. They set a “market underperform” rating and a $74.00 target price for the company. Three analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Reduce” and a consensus target price of $97.00.

Hovnanian Enterprises Stock Performance

The company has a 50-day simple moving average of $110.89 and a two-hundred day simple moving average of $112.80. The company has a debt-to-equity ratio of 0.05, a quick ratio of 0.40 and a current ratio of 1.50. The firm has a market capitalization of $777.67 million, a P/E ratio of 36.48 and a beta of 1.84.

Hovnanian Enterprises (NYSE:HOV) last announced its earnings results on Thursday, May 21st. The construction company reported ($0.46) earnings per share (EPS) for the quarter, topping the consensus estimate of ($2.04) by $1.58. The firm had revenue of $667.65 million during the quarter, compared to analyst estimates of $626.40 million. Hovnanian Enterprises had a return on equity of 11.23% and a net margin of 1.25%.

Hedge Funds Weigh In On Hovnanian Enterprises

Several institutional investors and hedge funds have recently added to or reduced their stakes in HOV. Marshall Wace LLP boosted its holdings in shares of Hovnanian Enterprises by 686.3% during the 4th quarter. Marshall Wace LLP now owns 42,460 shares of the construction company’s stock valued at $4,142,000 after buying an additional 37,060 shares in the last quarter. Towle & Co. increased its stake in shares of Hovnanian Enterprises by 51.2% in the 4th quarter. Towle & Co. now owns 99,402 shares of the construction company’s stock worth $9,696,000 after acquiring an additional 33,681 shares in the last quarter. Empowered Funds LLC lifted its position in Hovnanian Enterprises by 46.5% during the 1st quarter. Empowered Funds LLC now owns 73,146 shares of the construction company’s stock valued at $8,113,000 after acquiring an additional 23,234 shares during the period. State Street Corp lifted its position in Hovnanian Enterprises by 8.6% during the 4th quarter. State Street Corp now owns 228,613 shares of the construction company’s stock valued at $22,299,000 after acquiring an additional 18,086 shares during the period. Finally, Sei Investments Co. boosted its stake in Hovnanian Enterprises by 101.9% during the first quarter. Sei Investments Co. now owns 35,288 shares of the construction company’s stock worth $3,914,000 after acquiring an additional 17,811 shares in the last quarter. Hedge funds and other institutional investors own 65.40% of the company’s stock.

About Hovnanian Enterprises

Hovnanian Enterprises, Inc is a publicly traded homebuilding company primarily engaged in the acquisition, development and construction of residential properties. Headquartered in Red Bank, New Jersey, the company operates through a network of regional homebuilding divisions that design and deliver a range of housing solutions, including single-family detached homes, townhomes and condominiums. Hovnanian combines land development, architectural design and construction services with in-house mortgage and insurance offerings to provide a comprehensive homebuying experience.

The company markets its communities under several branded product lines tailored to different buyer segments and price points.