Wells Fargo & Company Cuts KB Home (NYSE:KBH) Price Target to $65.00

KB Home (NYSE:KBH - Get Free Report) had its target price lowered by Wells Fargo & Company from $70.00 to $65.00 in a research note issued to investors on Tuesday,Benzinga reports. The brokerage presently has an "underweight" rating on the construction company's stock. Wells Fargo & Company's price target would suggest a potential downside of 4.92% from the stock's current price.

Other equities analysts have also issued research reports about the company. Bank of America reduced their price objective on KB Home from $76.00 to $71.00 and set a "neutral" rating on the stock in a research note on Monday. Keefe, Bruyette & Woods decreased their price objective on shares of KB Home from $85.00 to $76.00 and set a "market perform" rating on the stock in a report on Friday, January 17th. JPMorgan Chase & Co. dropped their target price on shares of KB Home from $82.00 to $74.50 and set a "neutral" rating for the company in a research note on Wednesday, January 15th. Royal Bank of Canada raised shares of KB Home from an "underperform" rating to a "sector perform" rating and decreased their price target for the company from $70.00 to $67.00 in a research note on Friday, January 10th. Finally, Barclays lowered their price target on shares of KB Home from $85.00 to $60.00 and set an "equal weight" rating for the company in a report on Tuesday, January 14th. Two research analysts have rated the stock with a sell rating, nine have given a hold rating and three have assigned a buy rating to the company's stock. According to MarketBeat.com, the stock has an average rating of "Hold" and a consensus target price of $76.21.

KB Home Price Performance

Shares of KBH traded down $1.69 during trading hours on Tuesday, hitting $68.36. The stock had a trading volume of 1,470,596 shares, compared to its average volume of 1,683,782. The stock has a market capitalization of $5.01 billion, a price-to-earnings ratio of 8.07, a P/E/G ratio of 0.93 and a beta of 1.86. The company's fifty day moving average is $71.45 and its two-hundred day moving average is $78.04. KB Home has a 52 week low of $58.15 and a 52 week high of $89.70.

KB Home (NYSE:KBH - Get Free Report) last issued its quarterly earnings data on Monday, January 13th. The construction company reported $2.52 earnings per share for the quarter, topping the consensus estimate of $2.44 by $0.08. KB Home had a net margin of 9.45% and a return on equity of 16.46%. The firm had revenue of $2 billion for the quarter, compared to analysts' expectations of $1.99 billion. During the same period in the prior year, the firm earned $1.85 earnings per share. The company's quarterly revenue was up 19.5% compared to the same quarter last year. Equities analysts predict that KB Home will post 8.5 EPS for the current fiscal year.

Hedge Funds Weigh In On KB Home

Institutional investors have recently modified their holdings of the stock. FMR LLC raised its holdings in shares of KB Home by 47.9% during the third quarter. FMR LLC now owns 5,411,255 shares of the construction company's stock worth $463,690,000 after acquiring an additional 1,752,498 shares during the period. Holocene Advisors LP bought a new position in KB Home during the 3rd quarter worth about $89,899,000. Hennessy Advisors Inc. acquired a new stake in shares of KB Home in the 4th quarter valued at about $44,118,000. Charles Schwab Investment Management Inc. lifted its holdings in shares of KB Home by 22.1% in the third quarter. Charles Schwab Investment Management Inc. now owns 906,236 shares of the construction company's stock valued at $77,655,000 after purchasing an additional 164,010 shares in the last quarter. Finally, Empowered Funds LLC boosted its position in shares of KB Home by 201.8% during the third quarter. Empowered Funds LLC now owns 216,645 shares of the construction company's stock worth $18,564,000 after buying an additional 144,854 shares during the period. 96.09% of the stock is currently owned by institutional investors and hedge funds.

About KB Home

KB Home operates as a homebuilding company in the United States. It operates through four segments: West Coast, Southwest, Central, and Southeast. It builds and sells various homes, including attached and detached single-family residential homes, townhomes, and condominiums primarily for first-time, first move-up, second move-up, and active adult homebuyers.