Royal Bank of Canada Cuts KB Home (NYSE:KBH) Price Target to $63.00

KB Home (NYSE:KBH) had its price objective reduced by Royal Bank of Canada from $67.00 to $63.00 in a research report sent to investors on Tuesday,Benzinga reports. They currently have a sector perform rating on the construction company’s stock.

Several other brokerages also recently commented on KBH. Wells Fargo & Company reduced their target price on shares of KB Home from $63.00 to $57.00 and set an “underweight” rating on the stock in a research note on Tuesday. Raymond James reissued an “outperform” rating and set a $80.00 price target (down from $93.00) on shares of KB Home in a report on Tuesday, January 21st. Evercore ISI upped their price objective on shares of KB Home from $88.00 to $95.00 and gave the stock an “outperform” rating in a research note on Tuesday, January 14th. UBS Group cut their target price on shares of KB Home from $97.00 to $86.00 and set a “buy” rating for the company in a research note on Tuesday. Finally, Seaport Res Ptn upgraded KB Home from a “hold” rating to a “strong-buy” rating in a research report on Thursday, March 6th. Three research analysts have rated the stock with a sell rating, seven have issued a hold rating, three have given a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average target price of $71.21.

KB Home Stock Up 0.3 %

Shares of KBH opened at $59.29 on Tuesday. The company has a quick ratio of 0.83, a current ratio of 5.51 and a debt-to-equity ratio of 0.42. The company has a 50-day moving average price of $63.63 and a two-hundred day moving average price of $72.62. The stock has a market cap of $4.24 billion, a price-to-earnings ratio of 7.00, a P/E/G ratio of 0.90 and a beta of 1.89. KB Home has a 12 month low of $56.41 and a 12 month high of $89.70.

KB Home (NYSE:KBH) last posted its 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). The company had revenue of $1.39 billion for the quarter, compared to the consensus estimate of $1.51 billion. KB Home had a return on equity of 16.46% and a net margin of 9.45%. KB Home’s quarterly revenue was down 5.2% compared to the same quarter last year. During the same quarter last year, the business earned $1.76 EPS. Equities analysts predict that KB Home will post 8.42 EPS for the current fiscal year.

KB Home Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, February 20th. Stockholders of record on Thursday, February 6th were paid a dividend of $0.25 per share. This represents a $1.00 annualized dividend and a dividend yield of 1.69%. The ex-dividend date was Thursday, February 6th. KB Home’s dividend payout ratio (DPR) is presently 12.20%.

Insider Activity at KB Home

In related news, CFO Jeff Kaminski sold 27,500 shares of the stock in a transaction that occurred on Tuesday, January 28th. The shares were sold at an average price of $68.77, for a total value of $1,891,175.00. Following the transaction, the chief financial officer now directly owns 34,473 shares in the company, valued at $2,370,708.21. This represents a 44.37 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. 3.89% of the stock is owned by company insiders.

Institutional Trading of KB Home

Several institutional investors and hedge funds have recently made changes to their positions in the business. FMR LLC boosted its position in shares of KB Home by 47.9% in the 3rd quarter. FMR LLC now owns 5,411,255 shares of the construction company’s stock worth $463,690,000 after purchasing an additional 1,752,498 shares during the last quarter. Holocene Advisors LP acquired a new position in KB Home in the third quarter valued at about $89,899,000. Norges Bank bought a new position in KB Home during the fourth quarter worth about $49,638,000. Hennessy Advisors Inc. acquired a new position in shares of KB Home during the 4th quarter worth about $44,118,000. Finally, Two Sigma Advisers LP increased its stake in shares of KB Home by 4,408.6% in the 4th quarter. Two Sigma Advisers LP now owns 523,000 shares of the construction company’s stock valued at $34,372,000 after acquiring an additional 511,400 shares during the last quarter. Institutional investors own 96.09% of the company’s stock.

About KB Home

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.