Beazer Homes USA (NYSE:BZH) Announces Quarterly Earnings Results, Beats Expectations By $0.18 EPS

Beazer Homes USA (NYSE:BZH) posted its quarterly earnings data on Friday. The construction company reported ($0.16) EPS for the quarter, topping the consensus estimate of ($0.34) by $0.18, FiscalAI reports. Beazer Homes USA had a negative net margin of 0.18% and a positive return on equity of 0.99%. The business had revenue of $516.31 million for the quarter, compared to analyst estimates of $510.55 million. During the same quarter in the previous year, the firm posted $0.26 earnings per share. Beazer Homes USA’s quarterly revenue was down 5.3% on a year-over-year basis.

Beazer Homes USA Stock Performance

Shares of NYSE BZH traded down $0.29 during trading on Friday, reaching $33.17. 6,487,821 shares of the company traded hands, compared to its average volume of 558,238. The firm has a 50 day simple moving average of $29.56 and a 200-day simple moving average of $25.16. The company has a quick ratio of 1.32, a current ratio of 15.67 and a debt-to-equity ratio of 1.05. The stock has a market capitalization of $906.56 million, a PE ratio of -221.11 and a beta of 2.17. Beazer Homes USA has a 52-week low of $17.83 and a 52-week high of $34.54.

Analyst Ratings Changes

A number of brokerages have recently commented on BZH. Wall Street Zen cut Beazer Homes USA from a “sell” rating to a “strong sell” rating in a research report on Sunday, May 10th. Weiss Ratings upgraded Beazer Homes USA from a “sell (d)” rating to a “sell (d+)” rating in a research note on Friday, July 10th. One analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Reduce”.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in BZH. Royal Bank of Canada grew its position in Beazer Homes USA by 93.9% in the 4th quarter. Royal Bank of Canada now owns 1,883 shares of the construction company’s stock worth $38,000 after purchasing an additional 912 shares during the period. Comerica Bank bought a new stake in shares of Beazer Homes USA in the third quarter worth $48,000. Osaic Holdings Inc. increased its position in Beazer Homes USA by 454.9% during the second quarter. Osaic Holdings Inc. now owns 2,103 shares of the construction company’s stock valued at $47,000 after acquiring an additional 1,724 shares during the last quarter. Aquatic Capital Management LLC purchased a new stake in Beazer Homes USA during the third quarter valued at $70,000. Finally, Tower Research Capital LLC TRC grew its stake in shares of Beazer Homes USA by 123.4% during the 2nd quarter. Tower Research Capital LLC TRC now owns 3,500 shares of the construction company’s stock valued at $78,000 after purchasing an additional 1,933 shares during the period. Institutional investors own 85.65% of the company’s stock.

Beazer Homes USA News Summary

Here are the key news stories impacting Beazer Homes USA this week:

• Positive Sentiment: Takeover provides valuation support: Dream Finders Homes agreed to acquire Beazer in an all-cash transaction offering shareholders $33.50 per share. The deal values Beazer at approximately $2.2 billion including debt, or about $915 million on an equity-value basis. Reuters acquisition article
• Positive Sentiment: Quarterly results exceeded expectations: Beazer reported a fiscal third-quarter loss of $0.09 per share according to Zacks, beating the $0.34-per-share loss analysts expected. Revenue of approximately $516.3 million also topped estimates of $510.6 million. Zacks earnings article
• Neutral Sentiment: Deal completion remains the key focus: The proposed merger is subject to customary closing conditions and approvals. Because the offer is all cash and close to the current market value, trading is likely to be driven primarily by merger-certainty, closing-risk and the possibility of revised terms.
• Negative Sentiment: Underlying results remain soft: Quarterly revenue declined 5.3% from the prior year, while Beazer swung to a loss from year-ago earnings of $0.26 per share. The company also reported a negative net margin, highlighting continued operating pressure. Beazer Homes quarterly results
• Negative Sentiment: Shareholder investigations add uncertainty: Multiple law firms are investigating whether Beazer’s board fulfilled its fiduciary duties and obtained a fair price in the Dream Finders transaction. Such reviews could create legal costs, delay the merger or pressure the companies to improve deal terms. Halper Sadeh investigation

Beazer Homes USA Company Profile

Beazer Homes USA, Inc is a national homebuilder specializing in the design, construction and sale of single-family homes. The company serves a diverse range of buyers, offering product lines that span from entry-level homes to move-up and active adult communities. In addition to its core homebuilding operations, Beazer provides mortgage financing, title and closing services through its subsidiaries, aiming to simplify the home-buying process and manage risk across the transaction.

Operating in key growth markets across the United States, Beazer Homes maintains a presence in more than a dozen metropolitan areas, including select markets in the Southeast, Southwest and West.