KB Home Sees Unusually High Options Volume (NYSE:KBH)

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KB Home (NYSE:KBH) was the recipient of some unusual options trading on Friday. Stock traders purchased 7,256 put options on the company. This represents an increase of 75% compared to the average daily volume of 4,141 put options.

KBH stock opened at $49.04 on Friday. KB Home has a 1 year low of $34.92 and a 1 year high of $52.48. The stock’s 50 day moving average price is $43.04 and its 200 day moving average price is $41.86. The firm has a market cap of $4.29 billion, a P/E ratio of 8.13, a PEG ratio of 0.15 and a beta of 1.76.

KB Home (NYSE:KBH) last posted its earnings results on Wednesday, January 12th. The construction company reported $1.91 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.77 by $0.14. KB Home had a return on equity of 20.13% and a net margin of 9.86%. The firm had revenue of $1.68 billion for the quarter, compared to analyst estimates of $1.71 billion. During the same quarter in the prior year, the company earned $1.12 EPS. KB Home’s revenue was up 40.3% on a year-over-year basis. On average, analysts anticipate that KB Home will post 7.88 EPS for the current year.

In other KB Home news, CEO Jeffrey T. Mezger sold 166,861 shares of KB Home stock in a transaction dated Tuesday, November 9th. The stock was sold at an average price of $42.66, for a total transaction of $7,118,290.26. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Jeffrey T. Mezger sold 121,408 shares of KB Home stock in a transaction dated Thursday, November 11th. The stock was sold at an average price of $41.90, for a total value of $5,086,995.20. The disclosure for this sale can be found here. Over the last quarter, insiders sold 352,032 shares of company stock valued at $14,837,469. 4.40% of the stock is currently owned by company insiders.

Several institutional investors have recently modified their holdings of the business. Stonnington Group LLC purchased a new position in shares of KB Home during the 4th quarter worth $236,000. Vigilare Wealth Management lifted its stake in shares of KB Home by 2.6% during the 4th quarter. Vigilare Wealth Management now owns 15,990 shares of the construction company’s stock worth $715,000 after purchasing an additional 404 shares during the period. Hudson Bay Capital Management LP lifted its stake in shares of KB Home by 2.1% during the 3rd quarter. Hudson Bay Capital Management LP now owns 81,713 shares of the construction company’s stock worth $3,180,000 after purchasing an additional 1,713 shares during the period. UBS Asset Management Americas Inc. raised its position in shares of KB Home by 1.5% in the 3rd quarter. UBS Asset Management Americas Inc. now owns 103,264 shares of the construction company’s stock worth $4,019,000 after buying an additional 1,504 shares during the period. Finally, Moors & Cabot Inc. purchased a new position in shares of KB Home in the 3rd quarter worth $127,000. 88.54% of the stock is currently owned by institutional investors.

Several analysts have recently weighed in on KBH shares. Barclays boosted their target price on KB Home from $56.00 to $57.00 and gave the company an “overweight” rating in a report on Wednesday, December 15th. Raymond James boosted their target price on KB Home from $55.00 to $63.00 and gave the company a “strong-buy” rating in a report on Friday. Zelman & Associates upgraded KB Home from a “hold” rating to a “buy” rating in a research report on Monday, December 13th. Wedbush boosted their price target on KB Home from $60.00 to $73.00 in a research report on Thursday. Finally, Zacks Investment Research upgraded KB Home from a “sell” rating to a “hold” rating and set a $43.00 price target on the stock in a research report on Tuesday, September 28th. Four research analysts have rated the stock with a hold rating, ten have given a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Buy” and an average target price of $54.73.

KB Home Company Profile

KB Home engages in selling and building a variety of new homes. It builds various types of homes, including attached and detached single-family homes, townhomes, and condominiums. The firm operates through the following segments: West Coast, Southwest, Central, and Southeast. It offer homes in development communities, at urban in-fill locations and as part of mixed-use projects.

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