PulteGroup Sees Unusually Large Options Volume (NYSE:PHM)

PulteGroup, Inc. (NYSE:PHM) saw some unusual options trading activity on Wednesday. Stock investors purchased 9,941 call options on the stock. This is an increase of approximately 1,498% compared to the typical daily volume of 622 call options.

Wall Street Analyst Weigh In

PHM has been the topic of a number of analyst reports. Citigroup increased their price target on shares of PulteGroup from $116.00 to $127.00 and gave the company a “neutral” rating in a research report on Friday, April 5th. Barclays raised their target price on shares of PulteGroup from $126.00 to $136.00 and gave the stock an “overweight” rating in a report on Thursday, April 4th. Raymond James raised their target price on shares of PulteGroup from $100.00 to $120.00 and gave the stock an “outperform” rating in a report on Monday, February 5th. The Goldman Sachs Group raised their target price on shares of PulteGroup from $91.00 to $105.00 and gave the stock a “neutral” rating in a report on Thursday, January 11th. Finally, StockNews.com downgraded shares of PulteGroup from a “buy” rating to a “hold” rating in a report on Saturday, March 2nd. Six investment analysts have rated the stock with a hold rating and eight have issued a buy rating to the company. According to data from MarketBeat.com, PulteGroup presently has a consensus rating of “Moderate Buy” and a consensus target price of $106.47.

PulteGroup Price Performance

NYSE PHM opened at $106.15 on Thursday. The company has a quick ratio of 0.86, a current ratio of 0.86 and a debt-to-equity ratio of 0.19. PulteGroup has a 12-month low of $61.00 and a 12-month high of $121.07. The company has a market capitalization of $22.40 billion, a PE ratio of 9.04, a price-to-earnings-growth ratio of 0.53 and a beta of 1.56. The firm’s 50 day moving average is $110.39 and its 200-day moving average is $97.77.

PulteGroup (NYSE:PHM) last released its earnings results on Tuesday, January 30th. The construction company reported $3.28 earnings per share for the quarter, beating the consensus estimate of $3.21 by $0.07. PulteGroup had a net margin of 16.20% and a return on equity of 25.97%. The business had revenue of $4.29 billion during the quarter, compared to analysts’ expectations of $4.47 billion. During the same period last year, the business earned $3.63 earnings per share. The firm’s revenue was down 15.5% on a year-over-year basis. Equities research analysts anticipate that PulteGroup will post 11.79 earnings per share for the current fiscal year.

PulteGroup Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Tuesday, April 2nd. Stockholders of record on Friday, March 15th were given a $0.20 dividend. The ex-dividend date was Thursday, March 14th. This represents a $0.80 dividend on an annualized basis and a dividend yield of 0.75%. PulteGroup’s payout ratio is presently 6.81%.

PulteGroup declared that its board has approved a share buyback plan on Tuesday, January 30th that authorizes the company to repurchase $1.50 billion in shares. This repurchase authorization authorizes the construction company to buy up to 6.5% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company’s leadership believes its shares are undervalued.

Insider Activity

In related news, VP Brien P. O’meara sold 2,000 shares of the stock in a transaction that occurred on Tuesday, February 6th. The shares were sold at an average price of $103.09, for a total value of $206,180.00. Following the sale, the vice president now directly owns 15,389 shares in the company, valued at approximately $1,586,452.01. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders own 0.75% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the business. American Century Companies Inc. grew its holdings in shares of PulteGroup by 9.5% during the first quarter. American Century Companies Inc. now owns 55,196 shares of the construction company’s stock worth $2,313,000 after purchasing an additional 4,799 shares during the last quarter. Cetera Advisor Networks LLC bought a new position in shares of PulteGroup during the 1st quarter worth approximately $221,000. PNC Financial Services Group Inc. boosted its holdings in shares of PulteGroup by 1.7% during the 1st quarter. PNC Financial Services Group Inc. now owns 22,505 shares of the construction company’s stock worth $945,000 after buying an additional 382 shares in the last quarter. Acadian Asset Management LLC lifted its holdings in shares of PulteGroup by 11.1% in the 1st quarter. Acadian Asset Management LLC now owns 4,487 shares of the construction company’s stock worth $188,000 after purchasing an additional 449 shares in the last quarter. Finally, MetLife Investment Management LLC lifted its holdings in shares of PulteGroup by 26.7% in the 1st quarter. MetLife Investment Management LLC now owns 70,856 shares of the construction company’s stock worth $2,969,000 after purchasing an additional 14,918 shares in the last quarter. Institutional investors and hedge funds own 89.90% of the company’s stock.

About PulteGroup

PulteGroup, Inc, through its subsidiaries, primarily engages in the homebuilding business in the United States. It acquires and develops land primarily for residential purposes; and constructs housing on such land. The company also offers various home designs, including single-family detached, townhomes, condominiums, and duplexes under the Centex, Pulte Homes, Del Webb, DiVosta Homes, John Wieland Homes and Neighborhoods, and American West brand names.