Insider Buying: Smith Douglas Homes Corp. (NYSE:SDHC) Director Buys 2,412 Shares of Stock

Smith Douglas Homes Corp. (NYSE:SDHC) Director George Ervin Perdue III acquired 2,412 shares of Smith Douglas Homes stock in a transaction on Wednesday, June 4th. The shares were bought at an average price of $18.83 per share, with a total value of $45,417.96. Following the purchase, the director now directly owns 26,757 shares in the company, valued at approximately $503,834.31. The trade was a 9.91% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available at this hyperlink.

George Ervin Perdue III also recently made the following trade(s):

• On Tuesday, June 3rd, George Ervin Perdue III acquired 10,000 shares of Smith Douglas Homes stock. The shares were bought at an average price of $19.09 per share, with a total value of $190,900.00.
• On Monday, June 2nd, George Ervin Perdue III bought 6,840 shares of Smith Douglas Homes stock. The shares were acquired at an average price of $18.34 per share, for a total transaction of $125,445.60.

Smith Douglas Homes Trading Down 1.8%

Shares of SDHC stock opened at $19.50 on Friday. The firm has a fifty day moving average price of $18.88 and a 200 day moving average price of $23.05. The company has a market cap of $1.00 billion, a P/E ratio of 11.27, a PEG ratio of 6.87 and a beta of 1.05. Smith Douglas Homes Corp. has a 12 month low of $16.28 and a 12 month high of $39.50.

Smith Douglas Homes (NYSE:SDHC) last released its quarterly earnings data on Wednesday, March 12th. The company reported $0.46 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.46. Smith Douglas Homes had a net margin of 4.60% and a return on equity of 21.01%. The company had revenue of $287.49 million during the quarter, compared to the consensus estimate of $265.85 million. On average, equities analysts forecast that Smith Douglas Homes Corp. will post 1.73 EPS for the current year.

Smith Douglas Homes declared that its board has initiated a stock repurchase plan on Wednesday, May 28th that authorizes the company to repurchase $50.00 million in shares. This repurchase authorization authorizes the company to reacquire up to 5.1% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company’s board of directors believes its stock is undervalued.

Hedge Funds Weigh In On Smith Douglas Homes

Several large investors have recently bought and sold shares of the stock. PDT Partners LLC boosted its stake in shares of Smith Douglas Homes by 10.7% during the first quarter. PDT Partners LLC now owns 13,988 shares of the company’s stock worth $273,000 after buying an additional 1,349 shares during the period. Beck Mack & Oliver LLC boosted its stake in shares of Smith Douglas Homes by 20.2% during the first quarter. Beck Mack & Oliver LLC now owns 840,975 shares of the company’s stock worth $16,416,000 after buying an additional 141,545 shares during the period. Trexquant Investment LP boosted its stake in shares of Smith Douglas Homes by 93.1% during the first quarter. Trexquant Investment LP now owns 16,420 shares of the company’s stock worth $321,000 after buying an additional 7,916 shares during the period. Wellington Management Group LLP boosted its stake in shares of Smith Douglas Homes by 32.7% during the first quarter. Wellington Management Group LLP now owns 1,211,274 shares of the company’s stock worth $23,644,000 after buying an additional 298,227 shares during the period. Finally, Victory Capital Management Inc. boosted its stake in shares of Smith Douglas Homes by 80.2% during the first quarter. Victory Capital Management Inc. now owns 14,395 shares of the company’s stock worth $281,000 after buying an additional 6,406 shares during the period.

Analysts Set New Price Targets

Several research firms recently issued reports on SDHC. Wedbush reiterated a “neutral” rating and issued a $18.00 price objective on shares of Smith Douglas Homes in a report on Wednesday, May 14th. Royal Bank of Canada set a $16.00 price target on shares of Smith Douglas Homes and gave the company a “sector perform” rating in a research report on Tuesday, May 20th. JPMorgan Chase & Co. cut their target price on Smith Douglas Homes from $24.00 to $18.50 and set a “neutral” rating on the stock in a research report on Wednesday, May 21st. Finally, Wells Fargo & Company cut their target price on Smith Douglas Homes from $21.00 to $20.00 and set an “equal weight” rating on the stock in a research report on Monday, April 14th. One equities research analyst has rated the stock with a sell rating and four have assigned a hold rating to the stock. According to MarketBeat, Smith Douglas Homes has an average rating of “Hold” and a consensus price target of $18.90.

About Smith Douglas Homes

Smith Douglas Homes Corp., together with its subsidiaries, engages in the design, construction, and sale of single-family homes in the southeastern United States. It also provides closing, escrow, and title insurance services. The company sells its products to entry-level and empty-nest homebuyers. Smith Douglas Homes Corp.