Basswood Capital Management L.L.C. Buys New Position in KB Home $KBH

Basswood Capital Management L.L.C. bought a new stake in shares of KB Home (NYSE:KBH) during the 2nd quarter, according to the company in its most recent Form 13F filing with the SEC. The firm bought 29,532 shares of the construction company’s stock, valued at approximately $1,848,000.

A number of other hedge funds and other institutional investors also recently made changes to their positions in KBH. United Services Automobile Association acquired a new position in shares of KB Home during the first quarter valued at approximately $226,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its position in KB Home by 5.2% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 225,525 shares of the construction company’s stock worth $13,108,000 after purchasing an additional 11,103 shares during the period. EverSource Wealth Advisors LLC lifted its position in KB Home by 23.5% in the second quarter. EverSource Wealth Advisors LLC now owns 2,530 shares of the construction company’s stock worth $134,000 after purchasing an additional 482 shares during the period. Marshall Wace LLP lifted its position in KB Home by 341.2% in the second quarter. Marshall Wace LLP now owns 86,667 shares of the construction company’s stock worth $4,591,000 after purchasing an additional 67,023 shares during the period. Finally, Gamco Investors INC. ET AL bought a new position in KB Home during the 2nd quarter valued at $711,000. 96.09% of the stock is currently owned by institutional investors.

Insiders Place Their Bets

In other news, EVP Albert Z. Praw sold 22,015 shares of the business’s stock in a transaction on Wednesday, August 5th. The stock was sold at an average price of $58.70, for a total transaction of $1,292,280.50. Following the sale, the executive vice president directly owned 104,062 shares of the company’s stock, valued at $6,108,439.40. The trade was a 17.46% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Arthur Reginald Collins sold 4,000 shares of the company’s stock in a transaction on Thursday, August 6th. The shares were sold at an average price of $56.96, for a total value of $227,840.00. Following the sale, the director directly owned 9,157 shares of the company’s stock, valued at approximately $521,582.72. This represents a 30.40% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 4.69% of the stock is owned by insiders.

Analysts Set New Price Targets

Several equities analysts have recently issued reports on the company. Citizens Jmp reiterated a “market outperform” rating and set a $77.00 price target on shares of KB Home in a research report on Wednesday, June 24th. Citigroup restated a “market outperform” rating on shares of KB Home in a report on Wednesday, June 17th. Truist Financial raised their target price on KB Home from $50.00 to $56.00 and gave the company a “hold” rating in a research note on Wednesday, June 24th. Barclays lifted their target price on KB Home from $56.00 to $57.00 and gave the stock an “overweight” rating in a report on Thursday, June 25th. Finally, Weiss Ratings upgraded shares of KB Home from a “hold (c-)” rating to a “hold (c)” rating in a research report on Wednesday, August 19th. Four analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus target price of $60.17.

KB Home Stock Performance

Shares of NYSE:KBH opened at $56.08 on Thursday. The stock has a market capitalization of $3.44 billion, a price-to-earnings ratio of 19.54, a PEG ratio of 9.47 and a beta of 1.35. KB Home has a 1-year low of $44.03 and a 1-year high of $68.71. The company has a 50 day moving average price of $57.05 and a 200 day moving average price of $55.18.

KB Home (NYSE:KBH) last posted its quarterly earnings results on Tuesday, June 23rd. The construction company reported $0.43 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.44 by ($0.01). KB Home had a net margin of 4.94% and a return on equity of 7.67%. The company had revenue of $1.11 billion during the quarter, compared to the consensus estimate of $1.09 billion. During the same period in the prior year, the company posted $1.50 EPS. KB Home’s quarterly revenue was down 27.3% on a year-over-year basis. On average, sell-side analysts expect that KB Home will post 3.3 EPS for the current fiscal year.

KB Home Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, August 20th. Investors of record on Thursday, August 6th were issued a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a dividend yield of 1.8%. The ex-dividend date was Thursday, August 6th. KB Home’s payout ratio is presently 34.84%.

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.