Long Pond Capital LP Acquires Shares of 566,680 KB Home (NYSE:KBH)

Long Pond Capital LP purchased a new position in KB Home (NYSE:KBH) during the first quarter, HoldingsChannel.com reports. The firm purchased 566,680 shares of the construction company’s stock, valued at approximately $13,697,000. KB Home accounts for 0.5% of Long Pond Capital LP’s portfolio, making the stock its 27th largest position.

Several other hedge funds and other institutional investors also recently modified their holdings of KBH. Norges Bank acquired a new stake in KB Home in the fourth quarter valued at about $25,280,000. Lakewood Capital Management LP bought a new stake in shares of KB Home during the fourth quarter valued at approximately $22,735,000. Oregon Public Employees Retirement Fund grew its holdings in KB Home by 1,810.0% during the fourth quarter. Oregon Public Employees Retirement Fund now owns 636,622 shares of the construction company’s stock worth $33,000 after buying an additional 603,291 shares in the last quarter. Braun Stacey Associates Inc. bought a new stake in KB Home during the first quarter worth $6,771,000. Finally, Canada Pension Plan Investment Board boosted its position in KB Home by 82.0% in the fourth quarter. Canada Pension Plan Investment Board now owns 489,194 shares of the construction company’s stock worth $9,343,000 after purchasing an additional 220,400 shares during the last quarter. Institutional investors own 89.55% of the company’s stock.

KB Home stock traded up $0.11 during trading on Friday, hitting $26.58. The company had a trading volume of 37,635 shares, compared to its average volume of 1,142,653. KB Home has a 1-year low of $16.82 and a 1-year high of $28.26. The company has a debt-to-equity ratio of 1.04, a quick ratio of 0.98 and a current ratio of 5.37. The company has a market capitalization of $2.26 billion, a PE ratio of 9.32, a price-to-earnings-growth ratio of 1.20 and a beta of 1.51.

KB Home (NYSE:KBH) last released its quarterly earnings data on Tuesday, March 26th. The construction company reported $0.31 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $0.25 by $0.06. The business had revenue of $811.50 million during the quarter, compared to analysts’ expectations of $828.56 million. KB Home had a net margin of 6.05% and a return on equity of 13.34%. The company’s revenue for the quarter was down 6.9% on a year-over-year basis. During the same period in the previous year, the company earned $2.12 EPS. As a group, equities research analysts forecast that KB Home will post 2.63 earnings per share for the current year.

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, May 16th. Shareholders of record on Thursday, May 2nd were paid a $0.025 dividend. The ex-dividend date was Wednesday, May 1st. This represents a $0.10 dividend on an annualized basis and a yield of 0.38%. KB Home’s dividend payout ratio is presently 3.55%.

A number of analysts recently issued reports on KBH shares. Zacks Investment Research lowered KB Home from a “buy” rating to a “hold” rating in a research note on Friday, March 29th. ValuEngine upgraded KB Home from a “sell” rating to a “hold” rating in a report on Thursday, April 11th. Raymond James cut KB Home from an “outperform” rating to a “market perform” rating and set a $23.67 target price for the company. in a research note on Monday, February 25th. JPMorgan Chase & Co. raised KB Home from an “underweight” rating to a “neutral” rating and raised their price objective for the company from $20.50 to $23.00 in a research report on Wednesday, April 10th. Finally, Buckingham Research lifted their target price on KB Home from $24.00 to $27.00 and gave the stock a “neutral” rating in a report on Wednesday, March 27th. Two analysts have rated the stock with a sell rating, eleven have issued a hold rating and seven have given a buy rating to the stock. KB Home currently has a consensus rating of “Hold” and an average price target of $25.92.

In other news, insider Jeffrey T. Mezger sold 489,258 shares of the business’s stock in a transaction dated Wednesday, April 17th. The shares were sold at an average price of $25.37, for a total transaction of $12,412,475.46. Following the transaction, the insider now directly owns 1,056,532 shares in the company, valued at $26,804,216.84. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, EVP Brian J. Woram sold 10,000 shares of the business’s stock in a transaction dated Tuesday, May 14th. The stock was sold at an average price of $27.02, for a total transaction of $270,200.00. Following the transaction, the executive vice president now owns 151,770 shares in the company, valued at $4,100,825.40. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 983,838 shares of company stock worth $25,116,916. 7.32% of the stock is currently owned by company insiders.

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KB Home Company Profile

KB Home operates as a homebuilding company in the United States. It operates in four segments: West Coast, Southwest, Central, and Southeast. The company builds and sells various homes, including attached and detached single-family residential homes, townhomes, and condominiums primarily for first-time, first move-up, and active adult homebuyers.

Further Reading: What is the return on assets (ROA) ratio?

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Institutional Ownership by Quarter for KB Home (NYSE:KBH)

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