KB Home (NYSE:KBH) Lowered to Underperform at Royal Bank of Canada

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

KBH has been the subject of several other research reports. The Goldman Sachs Group lifted their price objective on KB Home from $72.00 to $82.00 and gave the company a neutral rating in a research report on Tuesday. Evercore ISI boosted their target price on KB Home from $86.00 to $89.00 and gave the stock an outperform rating in a research report on Monday, July 15th. Keefe, Bruyette & Woods boosted their target price on KB Home from $74.00 to $77.00 and gave the stock a market perform rating in a research report on Thursday, June 20th. Zelman & Associates restated an underperform rating and set a $69.00 target price on shares of KB Home in a research report on Monday, May 13th. Finally, Wedbush boosted their target price on KB Home from $64.00 to $67.00 and gave the stock a neutral rating in a research report on Thursday, June 20th. Three equities research 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 MarketBeat, KB Home has an average rating of Hold and an average target price of $72.88.

KB Home Stock Performance

Shares of KBH opened at $78.86 on Thursday. The stock has a fifty day moving average price of $78.54 and a two-hundred day moving average price of $71.51. KB Home has a 52-week low of $42.11 and a 52-week high of $88.31. The company has a market cap of $5.93 billion, a price-to-earnings ratio of 10.43, a PEG ratio of 0.84 and a beta of 1.80.

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, beating the consensus estimate of $1.78 by $0.37. KB Home had a return on equity of 15.66% and a net margin of 9.43%. The firm had revenue of $1.71 billion during the quarter, compared to the consensus estimate of $1.64 billion. As a group, research analysts predict that KB Home will post 8.38 EPS for the current fiscal year.

KB Home Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, August 22nd. Investors of record on Thursday, August 8th were paid a dividend of $0.25 per share. The ex-dividend date was Thursday, August 8th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 1.27%. KB Home’s dividend payout ratio (DPR) is presently 13.23%.

Institutional Investors Weigh In On KB Home

A number of institutional investors have recently made changes to their positions in the stock. International Assets Investment Management LLC acquired a new position in KB Home in the fourth quarter valued at about $733,000. Van ECK Associates Corp grew its stake in KB Home by 32.8% in the fourth quarter. Van ECK Associates Corp now owns 20,207 shares of the construction company’s stock valued at $1,262,000 after acquiring an additional 4,990 shares during the period. Victory Capital Management Inc. grew its stake in KB Home by 55.2% in the fourth quarter. Victory Capital Management Inc. now owns 70,746 shares of the construction company’s stock valued at $4,419,000 after acquiring an additional 25,161 shares during the period. Natixis Advisors L.P. grew its stake in KB Home by 1.7% in the fourth quarter. Natixis Advisors L.P. now owns 25,453 shares of the construction company’s stock valued at $1,589,000 after acquiring an additional 419 shares during the period. Finally, M&T Bank Corp acquired a new position in KB Home in the fourth quarter valued at about $764,000. 96.09% of the stock is owned by institutional investors and hedge funds.

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.