Zacks Research Downgrades NVR (NYSE:NVR) to Strong Sell

NVR (NYSE:NVR) was downgraded by analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a research note issued on Tuesday,Zacks.com reports. Zacks Research also issued estimates for NVR’s Q1 2027 earnings at $85.66 EPS, Q2 2027 earnings at $105.30 EPS, Q3 2027 earnings at $115.67 EPS, Q4 2027 earnings at $123.01 EPS, FY2027 earnings at $429.65 EPS, Q1 2028 earnings at $91.22 EPS and FY2028 earnings at $461.91 EPS.

NVR has been the topic of several other research reports. Wall Street Zen raised NVR from a “sell” rating to a “hold” rating in a research report on Saturday, May 9th. Weiss Ratings cut NVR from a “hold (c)” rating to a “sell (d+)” rating in a report on Thursday, May 7th. Zelman & Associates upgraded NVR from a “hold” rating to a “buy” rating in a research note on Tuesday, July 7th. Truist Financial lowered their price objective on NVR from $7,100.00 to $6,600.00 and set a “hold” rating on the stock in a research report on Thursday, April 23rd. Finally, UBS Group decreased their price target on shares of NVR from $8,100.00 to $7,700.00 and set a “neutral” rating on the stock in a research note on Thursday, April 23rd. Three analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average price target of $7,478.50.

NVR Price Performance

Shares of NVR opened at $6,363.37 on Tuesday. NVR has a twelve month low of $5,501.01 and a twelve month high of $8,618.28. The company has a 50 day moving average of $6,343.46 and a 200-day moving average of $6,797.21. The stock has a market capitalization of $17.18 billion, a P/E ratio of 15.51, a P/E/G ratio of 16.23 and a beta of 0.90. The company has a quick ratio of 2.67, a current ratio of 5.19 and a debt-to-equity ratio of 0.26.

NVR (NYSE:NVR) last issued its quarterly earnings results on Wednesday, April 22nd. The construction company reported $67.76 earnings per share (EPS) for the quarter, missing the consensus estimate of $79.97 by ($12.21). NVR had a net margin of 12.93% and a return on equity of 32.66%. The business had revenue of $1.91 billion during the quarter, compared to analyst estimates of $2.09 billion. During the same quarter in the previous year, the firm posted $94.83 earnings per share. The firm’s quarterly revenue was down 21.7% on a year-over-year basis. As a group, equities research analysts forecast that NVR will post 371.11 EPS for the current fiscal year.

Insider Activity

In related news, Director Michael J. Devito acquired 11 shares of the business’s stock in a transaction dated Friday, April 24th. The shares were bought at an average price of $6,699.50 per share, with a total value of $73,694.50. Following the transaction, the director directly owned 25 shares of the company’s stock, valued at $167,487.50. This trade represents a 78.57% increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Insiders own 8.60% of the company’s stock.

Hedge Funds Weigh In On NVR

Several hedge funds have recently modified their holdings of the company. Brighton Jones LLC increased its stake in shares of NVR by 68.9% during the 4th quarter. Brighton Jones LLC now owns 76 shares of the construction company’s stock worth $622,000 after purchasing an additional 31 shares during the last quarter. Woodline Partners LP grew its holdings in NVR by 28.4% during the first quarter. Woodline Partners LP now owns 253 shares of the construction company’s stock valued at $1,833,000 after purchasing an additional 56 shares during the period. EverSource Wealth Advisors LLC increased its position in NVR by 100.0% in the second quarter. EverSource Wealth Advisors LLC now owns 10 shares of the construction company’s stock worth $75,000 after buying an additional 5 shares during the last quarter. Cerity Partners LLC lifted its position in shares of NVR by 7.9% during the 2nd quarter. Cerity Partners LLC now owns 409 shares of the construction company’s stock valued at $3,021,000 after buying an additional 30 shares during the last quarter. Finally, Daiwa Securities Group Inc. grew its stake in shares of NVR by 3.7% during the 2nd quarter. Daiwa Securities Group Inc. now owns 449 shares of the construction company’s stock worth $3,316,000 after acquiring an additional 16 shares during the period. Institutional investors own 83.67% of the company’s stock.

NVR News Summary

Here are the key news stories impacting NVR this week:

• Positive Sentiment: Zacks Research modestly raised its Q3 2027 EPS estimate to $115.67 from $113.34, suggesting some strength in later-period earnings expectations.
• Neutral Sentiment: Despite the revisions, Zacks’ forecasts for FY2027 ($429.65 EPS) and FY2028 ($461.91 EPS) remain well above the current-year consensus estimate of $371.11, indicating continued long-term profitability expectations.
• Negative Sentiment: Analysts cut near-term and longer-term EPS estimates for NVR, including Q1 2027, Q2 2027, Q4 2027, FY2027, and FY2028, which can pressure investor sentiment on the homebuilder. NVR analyst estimates update
• Negative Sentiment: Bank of America reportedly lowered its expectations for NVR’s stock price, reinforcing a more cautious outlook. Bank of America Has Lowered Expectations for NVR (NYSE:NVR) Stock Price

About NVR

NVR, Inc is a U.S.-based homebuilding and mortgage banking company that designs, constructs and sells single-family detached homes, townhomes and condominiums. The company operates primarily through its homebuilding business and a mortgage banking subsidiary, providing financing and related closing services to its homebuyers. NVR’s homebuilding activities include land development, community planning, model home sales and construction management aimed at a range of buyer demographics.

Its homes are marketed under recognizable regional brands, including Ryan Homes and NVHomes, along with other market-specific trade names, and are offered across multiple geographic markets in the United States.