Investors Purchase Large Volume of Call Options on PulteGroup (NYSE:PHM)

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

Insiders Place Their Bets

In related news, COO Matthew William Koart sold 15,309 shares of the firm’s stock in a transaction on Friday, February 6th. The shares were sold at an average price of $135.79, for a total value of $2,078,809.11. Following the transaction, the chief operating officer directly owned 42,418 shares in the company, valued at approximately $5,759,940.22. This trade represents a 26.52% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, VP Brien P. O’meara sold 4,000 shares of PulteGroup stock in a transaction on Friday, February 6th. The stock was sold at an average price of $135.51, for a total transaction of $542,040.00. Following the completion of the transaction, the vice president owned 8,601 shares in the company, valued at $1,165,521.51. This trade represents a 31.74% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 149,952 shares of company stock valued at $20,162,165 in the last three months. Company insiders own 0.76% of the company’s stock.

Institutional Trading of PulteGroup

Several institutional investors have recently modified their holdings of the company. Franklin Resources Inc. lifted its position in PulteGroup by 5.1% in the fourth quarter. Franklin Resources Inc. now owns 13,555,304 shares of the construction company’s stock worth $1,589,495,000 after purchasing an additional 655,033 shares during the period. Price T Rowe Associates Inc. MD boosted its stake in PulteGroup by 126.5% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 4,284,197 shares of the construction company’s stock worth $502,366,000 after buying an additional 2,392,580 shares in the last quarter. First Trust Advisors LP increased its holdings in PulteGroup by 10.4% in the 4th quarter. First Trust Advisors LP now owns 4,000,920 shares of the construction company’s stock valued at $469,148,000 after buying an additional 377,003 shares during the period. Norges Bank acquired a new position in shares of PulteGroup in the 4th quarter valued at $466,653,000. Finally, Invesco Ltd. raised its stake in shares of PulteGroup by 0.9% in the 2nd quarter. Invesco Ltd. now owns 2,634,275 shares of the construction company’s stock valued at $277,811,000 after buying an additional 23,051 shares in the last quarter. Institutional investors and hedge funds own 89.90% of the company’s stock.

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on PHM shares. Truist Financial initiated coverage on PulteGroup in a research report on Wednesday, March 4th. They set a “buy” rating and a $170.00 price objective for the company. Raymond James Financial reaffirmed an “outperform” rating and issued a $145.00 target price on shares of PulteGroup in a report on Wednesday, February 4th. Citigroup lifted their price target on PulteGroup from $128.00 to $136.00 and gave the stock a “neutral” rating in a research report on Tuesday, February 3rd. Wells Fargo & Company upped their price target on PulteGroup from $132.00 to $150.00 and gave the stock an “overweight” rating in a report on Wednesday, January 14th. Finally, Wall Street Zen upgraded shares of PulteGroup from a “sell” rating to a “hold” rating in a research note on Sunday, January 11th. One analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating, six have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $142.71.

PulteGroup Stock Down 4.1%

Shares of PHM opened at $117.00 on Thursday. The company has a debt-to-equity ratio of 0.13, a quick ratio of 1.01 and a current ratio of 1.01. The company has a 50-day simple moving average of $131.12 and a 200-day simple moving average of $127.24. PulteGroup has a 52 week low of $88.07 and a 52 week high of $144.49. The firm has a market capitalization of $22.42 billion, a P/E ratio of 10.52, a P/E/G ratio of 1.42 and a beta of 1.32.

PulteGroup Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, April 2nd. Shareholders of record on Tuesday, March 17th will be issued a $0.26 dividend. The ex-dividend date of this dividend is Tuesday, March 17th. This represents a $1.04 annualized dividend and a yield of 0.9%. PulteGroup’s dividend payout ratio is 9.35%.

About PulteGroup

PulteGroup, Inc (NYSE: PHM) is a U.S.-based residential homebuilder that designs, constructs and sells single-family homes and develops master-planned communities. The company operates multiple national and regional brands that target different buyer segments, including first-time buyers, move-up buyers and active-adult customers. Its operations encompass land acquisition and development, home design and construction, community amenities and ongoing customer service and warranty programs.

PulteGroup markets homes under several well-known brands, such as Pulte Homes, Centex and Del Webb, among others, offering a range of product types from entry-level detached homes to larger, higher-end residences and age-restricted active-adult communities.