KB Home (NYSE:KBH) Reaches New 52-Week Low – Should You Sell?

KB Home (NYSE:KBH) shares hit a new 52-week low during trading on Tuesday . The stock traded as low as $48.58 and last traded at $48.8520, with a volume of 396936 shares trading hands. The stock had previously closed at $51.34.

Wall Street Analyst Weigh In

Several brokerages recently weighed in on KBH. Truist Financial dropped their price target on shares of KB Home from $65.00 to $54.00 and set a “hold” rating on the stock in a research report on Wednesday, March 25th. The Goldman Sachs Group lowered their price target on shares of KB Home from $65.00 to $56.00 and set a “neutral” rating on the stock in a report on Wednesday, March 25th. Barclays lowered their price target on shares of KB Home from $62.00 to $56.00 and set an “overweight” rating on the stock in a report on Wednesday, March 25th. Royal Bank Of Canada lowered their price target on shares of KB Home from $54.00 to $53.00 and set a “sector perform” rating on the stock in a report on Wednesday, March 25th. Finally, Zacks Research cut shares of KB Home from a “hold” rating to a “strong sell” rating in a report on Tuesday, December 23rd. Three equities research analysts have rated the stock with a Buy rating, ten have given a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $59.50.

KB Home Price Performance

The firm has a market capitalization of $3.05 billion, a PE ratio of 12.43, a price-to-earnings-growth ratio of 7.82 and a beta of 1.50. The company has a debt-to-equity ratio of 0.43, a quick ratio of 0.20 and a current ratio of 2.20. The business’s 50 day moving average is $58.05 and its two-hundred day moving average is $60.14.

KB Home (NYSE:KBH) last released its quarterly earnings data on Tuesday, March 24th. The construction company reported $0.52 earnings per share for the quarter, meeting analysts’ consensus estimates of $0.52. KB Home had a net margin of 5.96% and a return on equity of 9.63%. The business had revenue of $1.08 billion during the quarter, compared to analyst estimates of $1.10 billion. During the same period in the previous year, the business earned $1.49 EPS. KB Home’s revenue was down 22.6% compared to the same quarter last year. Equities research analysts anticipate that KB Home will post 8.42 earnings per share for the current fiscal year.

KB Home Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, February 19th. Investors of record on Thursday, February 5th were paid a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a yield of 2.0%. The ex-dividend date was Thursday, February 5th. KB Home’s payout ratio is currently 25.38%.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of KBH. United Services Automobile Association purchased a new position in KB Home in the 1st quarter valued at approximately $226,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its position in shares of KB Home by 5.2% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 225,525 shares of the construction company’s stock valued at $13,108,000 after purchasing an additional 11,103 shares in the last quarter. New York State Common Retirement Fund grew its position in shares of KB Home by 6.2% during the 2nd quarter. New York State Common Retirement Fund now owns 34,275 shares of the construction company’s stock valued at $1,816,000 after purchasing an additional 2,000 shares in the last quarter. EverSource Wealth Advisors LLC grew its position in shares of KB Home by 23.5% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 2,530 shares of the construction company’s stock valued at $134,000 after purchasing an additional 482 shares in the last quarter. Finally, Marshall Wace LLP grew its position in shares of KB Home by 341.2% during the 2nd quarter. Marshall Wace LLP now owns 86,667 shares of the construction company’s stock valued at $4,591,000 after purchasing an additional 67,023 shares in the last quarter. 96.09% of the stock is currently owned by hedge funds and other institutional investors.

About KB Home

KB Home is an American homebuilding company headquartered in Los Angeles, California. Founded in 1957, it was among the first homebuilders to go public, offering investors access to one of the nation’s largest residential construction platforms. The company is structured to serve a broad spectrum of homebuyers, with a particular focus on first-time, first move-up and active adult segments. As a public company trading on the New York Stock Exchange under the symbol KBH, KB Home draws on decades of experience in land acquisition, construction and community planning.

At its core, KB Home designs and constructs single-family detached and attached homes, townhomes and condominium units.