LGI Homes (NASDAQ:LGIH) Share Price Passes Below 50 Day Moving Average – Should You Sell?

LGI Homes, Inc. (NASDAQ:LGIH)’s share price passed below its 50 day moving average during trading on Monday . The stock has a 50 day moving average of $101.07 and traded as low as $86.38. LGI Homes shares last traded at $86.89, with a volume of 189,542 shares trading hands.

Wall Street Analyst Weigh In

LGIH has been the subject of a number of research reports. Wedbush restated a “neutral” rating and issued a $125.00 price target on shares of LGI Homes in a report on Wednesday, November 6th. JPMorgan Chase & Co. decreased their target price on LGI Homes from $100.00 to $82.00 and set an “underweight” rating for the company in a research report on Friday, December 13th.

LGI Homes Price Performance

The company has a debt-to-equity ratio of 0.77, a current ratio of 12.72 and a quick ratio of 0.54. The stock has a market capitalization of $2.04 billion, a price-to-earnings ratio of 10.42 and a beta of 2.02. The business’s fifty day moving average price is $101.07 and its 200-day moving average price is $103.88.

LGI Homes (NASDAQ:LGIH) last released its quarterly earnings results on Tuesday, November 5th. The financial services provider reported $2.95 EPS for the quarter, beating analysts’ consensus estimates of $2.54 by $0.41. LGI Homes had a return on equity of 10.32% and a net margin of 8.75%. The business had revenue of $651.85 million during the quarter, compared to analyst estimates of $645.27 million. During the same period in the prior year, the firm posted $2.84 EPS. LGI Homes’s quarterly revenue was up 5.6% compared to the same quarter last year. On average, research analysts forecast that LGI Homes, Inc. will post 8.72 EPS for the current year.

Hedge Funds Weigh In On LGI Homes

Several hedge funds have recently modified their holdings of LGIH. Allspring Global Investments Holdings LLC purchased a new stake in shares of LGI Homes during the third quarter valued at approximately $43,000. KBC Group NV increased its position in shares of LGI Homes by 29.8% during the 3rd quarter. KBC Group NV now owns 732 shares of the financial services provider’s stock valued at $87,000 after purchasing an additional 168 shares during the last quarter. CWM LLC raised its stake in shares of LGI Homes by 27.5% during the 3rd quarter. CWM LLC now owns 867 shares of the financial services provider’s stock worth $103,000 after purchasing an additional 187 shares during the period. Heritage Family Offices LLP purchased a new position in shares of LGI Homes in the 3rd quarter worth about $218,000. Finally, HighTower Advisors LLC bought a new position in LGI Homes during the third quarter valued at about $229,000. Institutional investors own 84.89% of the company’s stock.

About LGI Homes

LGI Homes, Inc designs, constructs, and sells homes. It offers entry-level homes, such as attached and detached homes, and active adult homes under the LGI Homes brand name; and luxury series homes under the Terrata Homes brand name. The company also engages in the wholesale business, which include building and selling homes to large institutions looking to acquire single-family rental properties.