Smith Douglas Homes (NYSE:SDHC) Hits New 12-Month Low – Time to Sell?

Smith Douglas Homes Corp. (NYSE:SDHC) shares hit a new 52-week low during mid-day trading on Wednesday. The stock traded as low as $9.71 and last traded at $9.88, with a volume of 22,193 shares trading hands. The stock had previously closed at $10.08.

Wall Street Analysts Forecast Growth

SDHC has been the subject of several recent analyst reports. Royal Bank Of Canada dropped their price target on Smith Douglas Homes from $15.00 to $10.00 and set a “sector perform” rating for the company in a research note on Thursday. Weiss Ratings reiterated a “sell (d+)” rating on shares of Smith Douglas Homes in a report on Thursday. One investment analyst has rated the stock with a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Hold” and an average target price of $12.38.

Smith Douglas Homes Stock Performance

The company has a 50-day simple moving average of $11.37 and a 200 day simple moving average of $12.97. The company has a market cap of $531.15 million, a P/E ratio of 14.51 and a beta of 0.90.

Smith Douglas Homes (NYSE:SDHC) last released its earnings results on Thursday, August 6th. The company reported $0.03 earnings per share for the quarter, missing the consensus estimate of $0.11 by ($0.08). The business had revenue of $273.03 million for the quarter, compared to the consensus estimate of $258.10 million. Smith Douglas Homes had a negative return on equity of 0.19% and a net margin of 0.64%. On average, equities analysts forecast that Smith Douglas Homes Corp. will post 0.25 EPS for the current fiscal year.

Institutional Investors Weigh In On Smith Douglas Homes

A number of institutional investors and hedge funds have recently added to or reduced their stakes in SDHC. Conifer Management L.L.C. bought a new position in Smith Douglas Homes in the 2nd quarter worth about $22,274,259. Ruane Cunniff & Goldfarb L.P. increased its position in shares of Smith Douglas Homes by 18.7% during the first quarter. Ruane Cunniff & Goldfarb L.P. now owns 14,490 shares of the company’s stock worth $185,000 after acquiring an additional 2,281 shares during the period. Hsbc Holdings PLC bought a new stake in shares of Smith Douglas Homes during the first quarter valued at approximately $168,000. Dimensional Fund Advisors LP bought a new stake in shares of Smith Douglas Homes during the first quarter valued at approximately $324,000. Finally, Squarepoint Ops LLC raised its stake in shares of Smith Douglas Homes by 37.1% during the second quarter. Squarepoint Ops LLC now owns 31,818 shares of the company’s stock valued at $494,000 after acquiring an additional 8,606 shares in the last quarter.

Smith Douglas Homes Company Profile

Smith Douglas Homes Corp. is a residential homebuilder that designs, constructs and sells single-family homes in selected markets across the southeastern and southern United States. The company focuses primarily on building attainable homes for first-time and move-up buyers.

Its homes are offered in a range of floor plans and configurations, with options intended to address varying household sizes, lifestyles and budgets. In addition to constructing homes, Smith Douglas Homes typically acquires and develops residential lots, manages the homebuilding process and provides customer service to homebuyers.

Founded in 2008, the company has expanded its operations across several markets, including communities in Georgia, Alabama, Tennessee, North Carolina and Texas.