Jeffrey T. Mezger Sells 150,000 Shares of KB Home (NYSE:KBH) Stock

KB Home (NYSE:KBH – Get Rating) CEO Jeffrey T. Mezger sold 150,000 shares of the firm’s stock in a transaction on Tuesday, May 16th. The shares were sold at an average price of $45.26, for a total value of $6,789,000.00. Following the transaction, the chief executive officer now owns 1,472,577 shares in the company, valued at approximately $66,648,835.02. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website.

KB Home Price Performance

KB Home stock opened at $44.96 on Friday. KB Home has a 1-year low of $24.78 and a 1-year high of $46.91. The company has a market cap of $3.71 billion, a PE ratio of 4.94, a price-to-earnings-growth ratio of 1.22 and a beta of 1.61. The stock’s 50 day moving average price is $40.99 and its 200 day moving average price is $36.13.

KB Home (NYSE:KBH – Get Rating) last posted its quarterly earnings results on Wednesday, March 22nd. The construction company reported $1.45 earnings per share for the quarter, beating analysts’ consensus estimates of $1.05 by $0.40. KB Home had a return on equity of 22.86% and a net margin of 11.73%. The firm had revenue of $1.38 billion for the quarter, compared to the consensus estimate of $1.30 billion. During the same period in the previous year, the business earned $1.47 earnings per share. The company’s revenue for the quarter was down 1.4% compared to the same quarter last year. On average, equities research analysts anticipate that KB Home will post 5.27 EPS for the current fiscal year.

KB Home Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, May 18th. Shareholders of record on Thursday, May 4th were given a dividend of $0.15 per share. The ex-dividend date of this dividend was Wednesday, May 3rd. This represents a $0.60 dividend on an annualized basis and a yield of 1.33%. KB Home’s payout ratio is 6.59%.

KB Home announced that its board has approved a share buyback program on Wednesday, March 22nd that permits the company to buyback $500.00 million in outstanding shares. This buyback authorization permits the construction company to purchase up to 15.2% of its stock through open market purchases. Stock buyback programs are usually an indication that the company’s board believes its shares are undervalued.

Wall Street Analysts Forecast Growth

A number of brokerages recently weighed in on KBH. UBS Group raised their price objective on KB Home from $45.00 to $48.00 and gave the company a “buy” rating in a research report on Thursday, March 23rd. Royal Bank of Canada increased their target price on KB Home from $34.00 to $37.00 and gave the company a “sector perform” rating in a research report on Thursday, March 23rd. Wedbush reissued an “outperform” rating and issued a $42.00 price objective on shares of KB Home in a research note on Monday, March 20th. JPMorgan Chase & Co. raised KB Home from an “underweight” rating to a “neutral” rating and raised their target price for the stock from $32.50 to $42.50 in a research note on Friday, March 24th. Finally, Keefe, Bruyette & Woods increased their price target on KB Home from $45.00 to $47.00 and gave the stock a “market perform” rating in a report on Tuesday, March 28th. Eight analysts have rated the stock with a hold rating and six have issued a buy rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $41.29.

Institutional Trading of KB Home

Institutional investors have recently bought and sold shares of the company. Parallel Advisors LLC increased its position in KB Home by 45.4% in the 4th quarter. Parallel Advisors LLC now owns 922 shares of the construction company’s stock valued at $29,000 after acquiring an additional 288 shares during the period. Thrivent Financial for Lutherans boosted its stake in KB Home by 1.6% during the 2nd quarter. Thrivent Financial for Lutherans now owns 22,758 shares of the construction company’s stock valued at $648,000 after purchasing an additional 362 shares in the last quarter. Ronald Blue Trust Inc. boosted its stake in KB Home by 47.8% during the 1st quarter. Ronald Blue Trust Inc. now owns 1,131 shares of the construction company’s stock valued at $36,000 after purchasing an additional 366 shares in the last quarter. First Republic Investment Management Inc. boosted its stake in KB Home by 1.0% during the 4th quarter. First Republic Investment Management Inc. now owns 38,980 shares of the construction company’s stock valued at $1,242,000 after purchasing an additional 370 shares in the last quarter. Finally, Brinker Capital Investments LLC boosted its stake in KB Home by 4.7% during the 3rd quarter. Brinker Capital Investments LLC now owns 8,998 shares of the construction company’s stock valued at $233,000 after purchasing an additional 408 shares in the last quarter. 89.29% of the stock is currently owned by hedge funds and other institutional investors.

KB Home Company Profile

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KB Home engages in selling and building a variety of new homes. It builds various types of homes, including attached and detached single-family homes, townhomes, and condominiums. The firm operates through the following segments: West Coast, Southwest, Central, and Southeast. It offer homes in development communities, at urban in-fill locations and as part of mixed-use projects.