LGI Homes (NASDAQ:LGIH) Stock Price Down 4.2% - Here's Why

LGI Homes, Inc. (NASDAQ:LGIH - Get Free Report) was down 4.2% on Tuesday . The company traded as low as $104.79 and last traded at $104.79. Approximately 20,432 shares were traded during trading, a decline of 90% from the average daily volume of 209,947 shares. The stock had previously closed at $109.33.

Wall Street Analyst Weigh In

Several analysts have issued reports on the company. Wedbush reaffirmed a "neutral" rating and issued a $125.00 target price on shares of LGI Homes in a research note on Friday, October 4th. JPMorgan Chase & Co. cut their price target on shares of LGI Homes from $95.00 to $93.00 and set an "underweight" rating for the company in a research report on Wednesday, July 10th. Two analysts have rated the stock with a sell rating, two have issued a hold rating and one has issued a buy rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Hold" and a consensus target price of $126.00.

LGI Homes Price Performance

The stock has a market cap of $2.47 billion, a PE ratio of 13.67 and a beta of 1.95. The business has a fifty day simple moving average of $110.86 and a two-hundred day simple moving average of $101.98. The company has a current ratio of 12.63, a quick ratio of 0.49 and a debt-to-equity ratio of 0.78.

LGI Homes (NASDAQ:LGIH - Get Free Report) last released its earnings results on Tuesday, July 30th. The financial services provider reported $2.48 earnings per share for the quarter, topping analysts' consensus estimates of $2.24 by $0.24. LGI Homes had a net margin of 8.78% and a return on equity of 10.45%. The firm had revenue of $602.50 million for the quarter, compared to the consensus estimate of $617.44 million. During the same period in the prior year, the firm earned $2.25 EPS. The company's revenue was down 6.6% compared to the same quarter last year. Research analysts forecast that LGI Homes, Inc. will post 8.82 earnings per share for the current year.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of the business. Allspring Global Investments Holdings LLC purchased a new stake in LGI Homes during the 3rd quarter valued at $43,000. Mather Group LLC. purchased a new position in LGI Homes during the first quarter valued at $47,000. First Horizon Advisors Inc. grew its holdings in LGI Homes by 32.5% during the second quarter. First Horizon Advisors Inc. now owns 440 shares of the financial services provider's stock valued at $39,000 after purchasing an additional 108 shares during the period. Innealta Capital LLC bought a new position in shares of LGI Homes in the second quarter worth about $39,000. Finally, BI Asset Management Fondsmaeglerselskab A S purchased a new position in shares of LGI Homes during the 1st quarter valued at about $52,000. 84.89% of the stock is owned by institutional investors.

LGI Homes Company Profile

LGI Homes, Inc designs, constructs, and sells homes. It offers entry-level homes, such as attached and detached homes, and active adult homes under the LGI Homes brand name; and luxury series homes under the Terrata Homes brand name. The company also engages in the wholesale business, which include building and selling homes to large institutions looking to acquire single-family rental properties.