KB Home (NYSE:KBH) Downgraded by Royal Bank of Canada to “Underperform”

Royal Bank of Canada downgraded shares of KB Home (NYSE:KBH) from a sector perform rating to an underperform rating in a report published on Thursday, Marketbeat Ratings reports. They currently have $70.00 price target on the construction company’s stock.

Other analysts also recently issued reports about the company. Keefe, Bruyette & Woods upped their price objective on KB Home from $74.00 to $77.00 and gave the company a market perform rating in a research note on Thursday, June 20th. Wedbush lifted their price objective on shares of KB Home from $64.00 to $67.00 and gave the company a neutral rating in a research report on Thursday, June 20th. Evercore ISI upped their price objective on shares of KB Home from $86.00 to $89.00 and gave the stock an outperform rating in a research report on Monday, July 15th. The Goldman Sachs Group lifted their target price on shares of KB Home from $72.00 to $82.00 and gave the company a neutral rating in a report on Tuesday, September 3rd. Finally, Zelman & Associates reiterated an underperform rating and set a $69.00 price target on shares of KB Home in a research note on Monday, May 13th. Three analysts have rated the stock with a sell rating, six have given a hold rating and five have assigned a buy rating to the company’s stock. According to data from MarketBeat, the company has an average rating of Hold and a consensus target price of $72.88.

KB Home Trading Up 0.6 %

Shares of KBH opened at $79.35 on Thursday. The company’s 50 day simple moving average is $78.72 and its 200-day simple moving average is $71.78. The firm has a market cap of $5.97 billion, a PE ratio of 10.50, a price-to-earnings-growth ratio of 0.84 and a beta of 1.81. KB Home has a 12-month low of $42.11 and a 12-month high of $88.31.

KB Home (NYSE:KBH) last issued its quarterly earnings data on Tuesday, June 18th. The construction company reported $2.15 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.78 by $0.37. KB Home had a net margin of 9.43% and a return on equity of 15.66%. The company had revenue of $1.71 billion for the quarter, compared to the consensus estimate of $1.64 billion. As a group, equities research analysts forecast that KB Home will post 8.38 EPS for the current fiscal year.

KB Home Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, August 22nd. Stockholders of record on Thursday, August 8th were paid a dividend of $0.25 per share. This represents a $1.00 annualized dividend and a dividend yield of 1.26%. The ex-dividend date of this dividend was Thursday, August 8th. KB Home’s dividend payout ratio (DPR) is presently 13.23%.

Hedge Funds Weigh In On KB Home

Several hedge funds have recently added to or reduced their stakes in the business. Manchester Capital Management LLC increased its stake in shares of KB Home by 433.0% during the 4th quarter. Manchester Capital Management LLC now owns 485 shares of the construction company’s stock worth $30,000 after purchasing an additional 394 shares in the last quarter. Fidelis Capital Partners LLC acquired a new position in shares of KB Home in the first quarter worth $60,000. Plato Investment Management Ltd lifted its position in shares of KB Home by 72.0% in the first quarter. Plato Investment Management Ltd now owns 1,080 shares of the construction company’s stock valued at $77,000 after acquiring an additional 452 shares in the last quarter. Tortoise Investment Management LLC boosted its stake in shares of KB Home by 625.3% during the second quarter. Tortoise Investment Management LLC now owns 1,117 shares of the construction company’s stock valued at $78,000 after acquiring an additional 963 shares during the last quarter. Finally, Headlands Technologies LLC purchased a new stake in KB Home during the 1st quarter worth about $120,000. 96.09% of the stock is currently owned by hedge funds and other institutional investors.

About KB Home

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.