Boston, MA 07/26/2013 (wallstreetpr) – After KB Homes (NASDAQ:KBH) declared its second quarter results on June 27, 2013, the analysts have held a “hold” recommendation for the stock. Few analysts have even recommended “buy” for the particular stock. The consensus price target for the stock is $21.08.
The company has been performing exceptionally, beating the consensus estimated revenue of $450.8 million to earn revenue of $524.4 million for Q2. Earnings per share also outperformed the estimates by $0.02 to be reported at ($0.04). The company had reported EPS of ($0.31) in the same quarter last year. The company’s revenue was also up 73.1% on year-to-year basis.
KB Homes is consumed in construction of residential homes and townhomes. It serves to the markets across United States. It builds variety of new homes especially catering to first-time buyers, move-up and active adult buyers. The company also provides financial service for financing the home purchase also providing insurance for the same.
In spite of the constant growth in the company’s revenues and overall performance, the stock movement is not showing a positive boost. The price of the stock as on the closing of June 27, 2013 was $20.52 which ended at a price of $16.8 on July 25, 2013. The fall accounted for almost 13%. The stock has a 52 week high of $25.14 and low of $9.04. The housing segment on a whole is seeing a downfall. Other rival companies such as Toll Brothers, Pulte Group and Beazer Homes have also seen downgrading in their stocks. The recent data for the home sales has shown that it has missed the targets. Majority of the home building stocks were down on the charts.
The company also recently announced Tom Sewitsky as its new president of the Carolina division. He will be responsible for home-building operations in Triangle area.
