KB Home (NYSE:KBH) Lowered to Underweight at Wells Fargo & Company

Wells Fargo & Company cut shares of KB Home (NYSE:KBH) from an equal weight rating to an underweight rating in a research note published on Monday morning, MarketBeat Ratings reports. Wells Fargo & Company currently has $83.00 target price on the construction company’s stock, up from their prior target price of $80.00.

Other research analysts have also recently issued research reports about the stock. Bank of America lifted their price objective on shares of KB Home from $75.00 to $90.00 and gave the company a neutral rating in a report on Thursday, September 19th. Royal Bank of Canada lowered KB Home from a sector perform rating to an underperform rating and set a $70.00 price objective on the stock. in a research report on Thursday, September 5th. Wedbush lifted their target price on KB Home from $67.00 to $75.00 and gave the company a neutral rating in a report on Wednesday, September 25th. Keefe, Bruyette & Woods upped their price target on KB Home from $74.00 to $77.00 and gave the stock a market perform rating in a report on Thursday, June 20th. Finally, Barclays lifted their price objective on KB Home from $78.00 to $99.00 and gave the company an overweight rating in a research note on Wednesday, September 25th. Four analysts have rated the stock with a sell rating, six have assigned a hold rating and five have issued a buy rating to the company’s stock. According to MarketBeat, the stock has a consensus rating of Hold and an average target price of $77.50.

KB Home Stock Performance

KB Home stock opened at $79.76 on Monday. The company’s 50 day simple moving average is $82.53 and its 200-day simple moving average is $74.46. KB Home has a 1 year low of $42.11 and a 1 year high of $89.70. The company has a market capitalization of $6.00 billion, a price-to-earnings ratio of 10.23, a price-to-earnings-growth ratio of 0.69 and a beta of 1.81.

KB Home (NYSE:KBH) last announced its earnings results on Tuesday, September 24th. The construction company reported $2.04 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.06 by ($0.02). KB Home had a net margin of 9.31% and a return on equity of 15.69%. The firm had revenue of $1.75 billion during the quarter, compared to analysts’ expectations of $1.73 billion. During the same period in the previous year, the firm earned $1.80 EPS. The firm’s revenue for the quarter was up 10.3% compared to the same quarter last year. Equities analysts expect that KB Home will post 8.41 earnings per share for the current year.

KB Home Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, August 22nd. Stockholders of record on Thursday, August 8th were given a dividend of $0.25 per share. The ex-dividend date of this dividend was Thursday, August 8th. This represents a $1.00 annualized dividend and a dividend yield of 1.25%. KB Home’s dividend payout ratio is presently 12.82%.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of KBH. Steward Partners Investment Advisory LLC increased its position in KB Home by 10.0% during the fourth quarter. Steward Partners Investment Advisory LLC now owns 3,225 shares of the construction company’s stock worth $201,000 after buying an additional 293 shares during the period. Seven Eight Capital LP purchased a new stake in KB Home in the 4th quarter valued at $453,000. Caxton Associates LP boosted its stake in KB Home by 30.4% during the 4th quarter. Caxton Associates LP now owns 25,570 shares of the construction company’s stock worth $1,597,000 after purchasing an additional 5,964 shares during the period. Kapitalo Investimentos Ltda acquired a new stake in KB Home during the 4th quarter worth $253,000. Finally, NBC Securities Inc. grew its position in KB Home by 15.4% during the 1st quarter. NBC Securities Inc. now owns 4,852 shares of the construction company’s stock worth $343,000 after purchasing an additional 647 shares during the last quarter. 96.09% of the stock is owned by hedge funds and other institutional investors.

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.