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

KB Home (NYSE:KBH) declared a quarterly dividend on Thursday, April 18th, Wall Street Journal reports. Shareholders of record on Thursday, May 9th will be given a dividend of 0.25 per share by the construction company on Thursday, May 23rd. This represents a $1.00 annualized dividend and a yield of 1.43%. The ex-dividend date of this dividend is Wednesday, May 8th. This is an increase from KB Home’s previous quarterly dividend of $0.20.

KB Home has raised its dividend by an average of 18.6% per year over the last three years and has increased its dividend annually for the last 2 consecutive years. KB Home has a payout ratio of 12.0% indicating that its dividend is sufficiently covered by earnings. Research analysts expect KB Home to earn $8.72 per share next year, which means the company should continue to be able to cover its $1.00 annual dividend with an expected future payout ratio of 11.5%.

KB Home Stock Up 1.8 %

Shares of NYSE KBH opened at $70.04 on Tuesday. The stock’s fifty day simple moving average is $66.72 and its 200 day simple moving average is $60.41. The stock has a market capitalization of $5.31 billion, a price-to-earnings ratio of 9.53, a PEG ratio of 0.78 and a beta of 1.74. KB Home has a 52-week low of $42.11 and a 52-week high of $72.00.

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

Insider Buying and Selling at KB Home

In other news, CFO Jeff Kaminski sold 38,386 shares of the stock in a transaction on Tuesday, April 9th. The shares were sold at an average price of $66.56, for a total transaction of $2,554,972.16. Following the transaction, the chief financial officer now owns 34,473 shares in the company, valued at approximately $2,294,522.88. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Corporate insiders own 3.52% of the company’s stock.

Analyst Ratings Changes

Several equities research analysts recently commented on KBH shares. JPMorgan Chase & Co. upped their price target on shares of KB Home from $68.50 to $70.50 and gave the company a “neutral” rating in a research report on Wednesday, March 27th. Evercore ISI reduced their target price on KB Home from $82.00 to $78.00 and set an “outperform” rating for the company in a report on Thursday, March 21st. Royal Bank of Canada lifted their price target on KB Home from $63.00 to $69.00 and gave the company a “sector perform” rating in a report on Thursday, March 21st. Keefe, Bruyette & Woods increased their price objective on KB Home from $67.00 to $77.00 and gave the stock a “market perform” rating in a research note on Thursday, March 28th. Finally, Wells Fargo & Company raised their price objective on KB Home from $65.00 to $70.00 and gave the stock an “equal weight” rating in a research report on Thursday, March 21st. One analyst has rated the stock with a sell rating, seven have issued a hold rating and five have issued a buy rating to the stock. According to MarketBeat.com, the company has an average rating of “Hold” and an average price target 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.