KB Home (NYSE:KBH) to Issue Quarterly Dividend of $0.25

KB Home (NYSE:KBH) declared a quarterly dividend on Friday, April 19th, Wall Street Journal reports. Investors of record on Thursday, May 9th will be paid a dividend of 0.25 per share by the construction company on Thursday, May 23rd. This represents a $1.00 dividend on an annualized basis and a dividend yield of 1.64%. The ex-dividend date is Wednesday, May 8th. This is a boost from KB Home’s previous quarterly dividend of $0.20.

KB Home has increased its dividend payment by an average of 18.6% annually over the last three years and has increased its dividend every year for the last 1 years. KB Home has a payout ratio of 9.6% meaning its dividend is sufficiently covered by earnings. Equities analysts expect KB Home to earn $8.72 per share next year, which means the company should continue to be able to cover its $0.80 annual dividend with an expected future payout ratio of 9.2%.

KB Home Stock Up 1.0 %

NYSE:KBH traded up $0.62 during trading hours on Friday, hitting $61.03. 1,712,659 shares of the stock traded hands, compared to its average volume of 1,170,145. KB Home has a 1 year low of $40.97 and a 1 year high of $72.00. The company has a market cap of $4.63 billion, a price-to-earnings ratio of 8.30, a price-to-earnings-growth ratio of 0.69 and a beta of 1.73. The stock has a 50 day moving average price of $65.92 and a 200 day moving average price of $58.42.

KB Home (NYSE:KBH) last issued its quarterly earnings data on Wednesday, March 20th. The construction company reported $1.76 EPS for the quarter, topping analysts’ consensus estimates of $1.57 by $0.19. KB Home had a net margin of 9.29% and a return on equity of 15.78%. The business had revenue of $1.47 billion for the quarter, compared to analysts’ expectations of $1.46 billion. During the same quarter last year, the company earned $1.45 EPS. The business’s revenue was up 6.5% on a year-over-year basis. Equities analysts forecast that KB Home will post 8.01 earnings per share for the current fiscal year.

Insider Transactions at KB Home

In other KB Home news, CEO Jeffrey T. Mezger sold 59,157 shares of KB Home stock in a transaction that occurred on Tuesday, January 23rd. The shares were sold at an average price of $60.34, for a total transaction of $3,569,533.38. Following the transaction, the chief executive officer now owns 1,491,298 shares of the company’s stock, valued at approximately $89,984,921.32. The transaction was disclosed in a legal filing with the SEC, which is available through this link. In other KB Home news, Director Arthur Reginald Collins sold 5,500 shares of the stock in a transaction that occurred on Monday, January 29th. The shares were sold at an average price of $60.12, for a total value of $330,660.00. Following the transaction, the director now directly owns 9,098 shares in the company, valued at $546,971.76. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Jeffrey T. Mezger sold 59,157 shares of KB Home stock in a transaction on Tuesday, January 23rd. The stock was sold at an average price of $60.34, for a total transaction of $3,569,533.38. Following the completion of the transaction, the chief executive officer now directly owns 1,491,298 shares of the company’s stock, valued at $89,984,921.32. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 412,021 shares of company stock worth $24,954,977. Corporate insiders own 4.44% of the company’s stock.

Institutional Investors Weigh In On KB Home

Institutional investors have recently made changes to their positions in the company. Harbour Investments Inc. purchased a new stake in shares of KB Home in the second quarter valued at about $26,000. Lazard Asset Management LLC acquired a new position in shares of KB Home during the 1st quarter valued at about $40,000. Acadian Asset Management LLC grew its position in KB Home by 35.5% in the first quarter. Acadian Asset Management LLC now owns 2,169 shares of the construction company’s stock valued at $69,000 after acquiring an additional 568 shares in the last quarter. KBC Group NV bought a new position in KB Home during the fourth quarter worth $91,000. Finally, Neo Ivy Capital Management acquired a new stake in KB Home in the second quarter worth $135,000. Institutional investors own 96.09% of the company’s stock.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently commented on KBH shares. Evercore ISI cut their price target on KB Home from $82.00 to $78.00 and set an “outperform” rating for the company in a research note on Thursday, March 21st. Barclays raised their target price on KB Home from $75.00 to $77.00 and gave the company an “overweight” rating in a report on Friday, March 22nd. Wells Fargo & Company lifted their price objective on KB Home from $65.00 to $70.00 and gave the stock an “equal weight” rating in a report on Thursday, March 21st. Keefe, Bruyette & Woods lifted their target price on KB Home from $67.00 to $77.00 and gave the stock a “market perform” rating in a research report on Thursday, March 28th. Finally, UBS Group boosted their price objective on KB Home from $82.00 to $87.00 and gave the company a “buy” rating in a research report on Thursday, March 21st. One equities research analyst has rated the stock with a sell rating, seven have assigned a hold rating and five have given a buy rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and a consensus target price of $66.11.

KB Home Company Profile

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.