Brokerages Set PulteGroup, Inc. (NYSE:PHM) Target Price at $140.71

PulteGroup, Inc. (NYSE:PHM) has been assigned a consensus recommendation of “Moderate Buy” from the seventeen brokerages that are covering the company, MarketBeat.com reports. Seven investment analysts have rated the stock with a hold rating and ten have issued a buy rating on the company. The average 1 year target price among brokerages that have issued ratings on the stock in the last year is $140.7143.

PHM has been the subject of several recent research reports. Royal Bank Of Canada increased their price target on PulteGroup from $111.00 to $115.00 and gave the company a “sector perform” rating in a research report on Friday, January 30th. Citigroup increased their price target on PulteGroup from $136.00 to $138.00 and gave the company a “neutral” rating in a research report on Friday, April 24th. JPMorgan Chase & Co. cut their price objective on PulteGroup from $149.00 to $131.00 and set an “overweight” rating for the company in a research report on Tuesday, February 3rd. UBS Group raised their price objective on PulteGroup from $159.00 to $162.00 and gave the company a “buy” rating in a research report on Friday, April 24th. Finally, Weiss Ratings cut PulteGroup from a “buy (b-)” rating to a “hold (c)” rating in a research report on Monday, April 27th.

PulteGroup Stock Performance

Shares of NYSE PHM opened at $110.35 on Friday. The stock has a 50 day moving average price of $120.44 and a 200 day moving average price of $124.25. PulteGroup has a 52 week low of $95.20 and a 52 week high of $144.49. The company has a debt-to-equity ratio of 0.14, a quick ratio of 0.94 and a current ratio of 0.94. The stock has a market capitalization of $21.02 billion, a PE ratio of 10.67, a price-to-earnings-growth ratio of 1.44 and a beta of 1.23.

PulteGroup (NYSE:PHM) last issued its quarterly earnings results on Thursday, April 23rd. The construction company reported $1.79 EPS for the quarter, missing the consensus estimate of $1.80 by ($0.01). PulteGroup had a net margin of 12.14% and a return on equity of 16.41%. The company had revenue of $3.41 billion for the quarter, compared to analyst estimates of $3.40 billion. During the same period last year, the company posted $2.57 earnings per share. The business’s revenue for the quarter was down 12.4% on a year-over-year basis. Analysts predict that PulteGroup will post 10 earnings per share for the current fiscal year.

PulteGroup announced that its board has initiated a share buyback plan on Thursday, April 23rd that allows the company to repurchase $1.50 billion in shares. This repurchase authorization allows the construction company to repurchase up to 6.1% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s leadership believes its stock is undervalued.

PulteGroup Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, July 2nd. Stockholders of record on Tuesday, June 16th will be given a $0.26 dividend. This represents a $1.04 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date of this dividend is Tuesday, June 16th. PulteGroup’s dividend payout ratio (DPR) is presently 10.06%.

Insider Buying and Selling

In other news, EVP Kevin A. Henry sold 5,173 shares of the firm’s stock in a transaction that occurred on Tuesday, February 24th. The stock was sold at an average price of $141.03, for a total value of $729,548.19. Following the completion of the sale, the executive vice president directly owned 14,673 shares of the company’s stock, valued at $2,069,333.19. This trade represents a 26.07% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, Director Lila Snyder sold 3,339 shares of the firm’s stock in a transaction that occurred on Friday, May 8th. The shares were sold at an average price of $117.18, for a total value of $391,264.02. Following the completion of the sale, the director directly owned 3,540 shares of the company’s stock, valued at approximately $414,817.20. The trade was a 48.54% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Company insiders own 0.75% of the company’s stock.

Institutional Trading of PulteGroup

Several hedge funds have recently added to or reduced their stakes in PHM. Focus Partners Wealth lifted its holdings in PulteGroup by 20.5% during the 1st quarter. Focus Partners Wealth now owns 12,517 shares of the construction company’s stock worth $1,287,000 after purchasing an additional 2,128 shares during the last quarter. EverSource Wealth Advisors LLC lifted its holdings in PulteGroup by 197.1% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,212 shares of the construction company’s stock worth $128,000 after purchasing an additional 804 shares during the last quarter. Guggenheim Capital LLC lifted its holdings in PulteGroup by 12.9% during the 2nd quarter. Guggenheim Capital LLC now owns 8,519 shares of the construction company’s stock worth $898,000 after purchasing an additional 975 shares during the last quarter. Baird Financial Group Inc. lifted its holdings in PulteGroup by 8.0% during the 2nd quarter. Baird Financial Group Inc. now owns 29,060 shares of the construction company’s stock worth $3,065,000 after purchasing an additional 2,164 shares during the last quarter. Finally, Cerity Partners LLC lifted its holdings in PulteGroup by 17.6% during the 2nd quarter. Cerity Partners LLC now owns 41,677 shares of the construction company’s stock worth $4,395,000 after purchasing an additional 6,240 shares during the last quarter. 89.90% of the stock is owned by institutional investors and hedge funds.

PulteGroup Company Profile

PulteGroup, Inc (NYSE: PHM) is a U.S.-based residential homebuilder that designs, constructs and sells single-family homes and develops master-planned communities. The company operates multiple national and regional brands that target different buyer segments, including first-time buyers, move-up buyers and active-adult customers. Its operations encompass land acquisition and development, home design and construction, community amenities and ongoing customer service and warranty programs.

PulteGroup markets homes under several well-known brands, such as Pulte Homes, Centex and Del Webb, among others, offering a range of product types from entry-level detached homes to larger, higher-end residences and age-restricted active-adult communities.