Jeff Kaminski Sells 27,500 Shares of KB Home (NYSE:KBH) Stock

On January 28th, 2023, Jeff Kaminski, the Chief Financial Officer of KB Home (NYSE:KBH), executed a sale of 27,500 shares of the company’s stock. The shares were sold at an average price of $68.77, resulting in a transaction value of approximately $1,891,175. Following this sale, Kaminski now directly holds 34,473 shares, which are valued at around $2,370,708. This transaction reflects a significant decline of 44.37% in his overall holding of the company's stock. Details regarding this sale were reported in a filing with the Securities and Exchange Commission (SEC), which can be accessed through further regulatory documents.

Stock Performance of KB Home

As for the KB Home stock performance, the shares reached $68.80 after an increase of $1.68 as of Thursday. The trading volume was recorded at 907,247 shares, which is lower than the average volume of 1,627,802 shares. The stock’s 50-day moving average stands at $71.05, while its two-hundred-day moving average is $77.91. The market capitalization of KB Home is approximately $5.05 billion. Additionally, the company has a price-to-earnings (P/E) ratio of 8.12, a price-to-earnings growth (P/E/G) ratio of 0.93, and a beta of 1.86. Over the past year, KB Home has experienced a low of $58.15 and a high of $89.70.

Recent Earnings Results

KB Home last announced its earnings on January 13th, revealing earnings per share (EPS) of $2.52, which exceeded analysts’ expectations of $2.44 by $0.08. The company’s revenue for the quarter was reported at $2 billion, also surpassing the consensus estimate of $1.99 billion. With a net margin of 9.45% and a return on equity of 16.46%, the revenue represented a growth of 19.5% compared to the same quarter from the previous year. A year ago, the company had an EPS of $1.85. Analysts are currently forecasting an EPS of 8.5 for KB Home for the current fiscal year.

Dividend Announcement

Additionally, KB Home has declared a quarterly dividend of $0.25, which will be distributed on February 20th, 2023. Shareholders on record as of February 6th will be eligible for this dividend, with February 6th also marking the ex-dividend date. This annualized dividend will result in a yield of 1.45%, and KB Home's payout ratio stands at 11.81%.

Institutional Trading Activity

In terms of institutional trading, various investors have recently adjusted their stakes in KB Home. FMR LLC increased its investment in the company by 47.9% during the third quarter, owning over 5.4 million shares, valued at approximately $463.69 million. Holocene Advisors LP acquired a new stake worth about $89.9 million, while Hennessy Advisors Inc. made a new investment valued at around $44.12 million. Charles Schwab Investment Management also upped their stake by 22.1%, holding 906,236 shares valued at $77.66 million. Institutional investors now own 96.09% of KB Home's stock.

Analysts' Ratings and Recommendations

Several analysts have recently provided their insights on KB Home shares. Raymond James has reaffirmed an "outperform" rating with a revised price target of $80.00, previously set at $93.00. Bank of America lowered its target from $76.00 to $71.00, maintaining a "neutral" outlook. Wells Fargo & Company adjusted their price objective from $70.00 to $65.00 and assigned an "underweight" rating. Barclays reduced their target price from $85.00 to $60.00 and gave an "equal weight" rating. Additionally, Keefe, Bruyette & Woods set a target of $76.00, down from $85.00, marking a "market perform" rating for the stock. Overall, KB Home has received two sell ratings, nine holds, and three buy ratings from analysts, leading to an average rating of "Hold" with a target price of $76.21.

Company Overview

KB Home operates as a prominent homebuilding company within the United States, functioning through four segments: West Coast, Southwest, Central, and Southeast. The company specializes in building and selling various types of residences, including attached and detached single-family homes, townhomes, and condominiums that cater primarily to first-time homebuyers, those moving up to larger homes, and active adult buyers.

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