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

KB Home (NYSE:KBH) had its target price cut by Wells Fargo & Company from $70.00 to $65.00 in a research report report published on Tuesday morning,Benzinga reports. They currently have an underweight rating on the construction company’s stock.

Several other analysts have also issued reports on the stock. Royal Bank of Canada raised shares of KB Home from an “underperform” rating to a “sector perform” rating and lowered their price target for the company from $70.00 to $67.00 in a research report on Friday, January 10th. UBS Group decreased their target price on shares of KB Home from $105.00 to $100.00 and set a “buy” rating on the stock in a report on Wednesday, January 8th. Keefe, Bruyette & Woods decreased their target price on shares of KB Home from $85.00 to $76.00 and set a “market perform” rating on the stock in a report on Friday, January 17th. Bank of America decreased their target price on shares of KB Home from $76.00 to $71.00 and set a “neutral” rating on the stock in a report on Monday. Finally, Barclays decreased their target price on shares of KB Home from $85.00 to $60.00 and set an “equal weight” rating on the stock in a report on Tuesday, January 14th. Two research analysts have rated the stock with a sell rating, nine have given a hold rating and three have issued a buy rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and a consensus price target of $76.21.

KB Home Stock Down 2.4 %

KBH opened at $68.36 on Tuesday. The stock has a market cap of $5.01 billion, a price-to-earnings ratio of 8.07, a PEG ratio of 0.93 and a beta of 1.86. KB Home has a twelve month low of $58.15 and a twelve month high of $89.70. The company’s 50-day moving average price is $71.45 and its two-hundred day moving average price is $78.04.

KB Home (NYSE:KBH) last posted its quarterly earnings results on Monday, January 13th. The construction company reported $2.52 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.44 by $0.08. KB Home had a net margin of 9.45% and a return on equity of 16.46%. The company had revenue of $2 billion for the quarter, compared to analyst estimates of $1.99 billion. During the same quarter in the previous year, the firm posted $1.85 earnings per share. The company’s quarterly revenue was up 19.5% compared to the same quarter last year. As a group, sell-side analysts anticipate that KB Home will post 8.5 earnings per share for the current year.

KB Home Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, February 20th. Stockholders of record on Thursday, February 6th will be paid a $0.25 dividend. The ex-dividend date of this dividend is Thursday, February 6th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 1.46%. KB Home’s dividend payout ratio (DPR) is 11.81%.

Institutional Investors Weigh In On KB Home

A number of institutional investors have recently made changes to their positions in KBH. Thrivent Financial for Lutherans boosted its stake in shares of KB Home by 0.9% in the 2nd quarter. Thrivent Financial for Lutherans now owns 18,578 shares of the construction company’s stock valued at $1,304,000 after purchasing an additional 162 shares in the last quarter. Creative Planning boosted its stake in shares of KB Home by 20.9% in the 2nd quarter. Creative Planning now owns 23,662 shares of the construction company’s stock valued at $1,661,000 after purchasing an additional 4,096 shares in the last quarter. Cetera Investment Advisers boosted its stake in shares of KB Home by 3.1% in the 2nd quarter. Cetera Investment Advisers now owns 23,097 shares of the construction company’s stock valued at $1,621,000 after purchasing an additional 698 shares in the last quarter. Sanctuary Advisors LLC purchased a new stake in shares of KB Home in the 2nd quarter valued at $691,000. Finally, Heritage Wealth Management Inc. purchased a new stake in shares of KB Home in the 2nd quarter valued at $575,000. Hedge funds and other 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.