NVR (NYSE:NVR) Releases Earnings Results, Beats Estimates By $7.30 EPS

NVR (NYSE:NVR - Get Free Report) announced its quarterly earnings data on Tuesday. The construction company reported $139.93 earnings per share for the quarter, beating the consensus estimate of $132.63 by $7.30, Zacks reports. NVR had a return on equity of 38.20% and a net margin of 16.51%.

NVR Stock Down 4.0 %

NVR stock traded down $332.00 during midday trading on Tuesday, hitting $8,050.63. The stock had a trading volume of 30,007 shares, compared to its average volume of 29,136. The firm has a market cap of $24.63 billion, a price-to-earnings ratio of 16.46, a price-to-earnings-growth ratio of 1.67 and a beta of 1.20. The business has a 50-day moving average of $8,515.52 and a two-hundred day moving average of $8,893.06. NVR has a 52-week low of $6,999.44 and a 52-week high of $9,964.77. The company has a debt-to-equity ratio of 0.21, a current ratio of 6.21 and a quick ratio of 3.54.

Insider Buying and Selling

In related news, CAO Matthew B. Kelpy sold 400 shares of the company's stock in a transaction on Tuesday, November 5th. The stock was sold at an average price of $9,450.00, for a total value of $3,780,000.00. Following the sale, the chief accounting officer now directly owns 208 shares of the company's stock, valued at $1,965,600. This represents a 65.79 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director David A. Preiser sold 250 shares of the company's stock in a transaction on Friday, November 8th. The stock was sold at an average price of $9,302.64, for a total value of $2,325,660.00. Following the completion of the sale, the director now directly owns 239 shares in the company, valued at approximately $2,223,330.96. The trade was a 51.12 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 7.00% of the stock is owned by insiders.

Analysts Set New Price Targets

Several analysts have weighed in on the company. Bank of America lowered their price objective on NVR from $10,800.00 to $10,600.00 and set a "buy" rating for the company in a research report on Wednesday, October 23rd. JPMorgan Chase & Co. lowered their price objective on NVR from $9,820.00 to $9,245.00 and set a "neutral" rating for the company in a research report on Friday, December 13th. StockNews.com cut NVR from a "buy" rating to a "hold" rating in a research note on Thursday, November 7th. UBS Group reduced their target price on NVR from $9,450.00 to $8,750.00 and set a "neutral" rating on the stock in a research note on Wednesday, January 8th. Finally, Seaport Res Ptn cut NVR from a "strong-buy" rating to a "hold" rating in a research note on Sunday, November 10th. Four research analysts have rated the stock with a hold rating and one has issued a buy rating to the company's stock. According to data from MarketBeat, NVR has an average rating of "Hold" and a consensus target price of $9,531.67.

NVR announced that its Board of Directors has authorized a stock buyback program on Wednesday, December 11th that permits the company to repurchase $750.00 million in outstanding shares. This repurchase authorization permits the construction company to purchase up to 2.8% of its shares through open market purchases. Shares repurchase programs are usually an indication that the company's leadership believes its shares are undervalued.

NVR Company Profile

NVR, Inc operates as a homebuilder in the United States. The company operates through, Homebuilding and Mortgage Banking segments. It engages in the construction and sale of single-family detached homes, townhomes, and condominium buildings under the Ryan Homes, NVHomes, and Heartland Homes names. The company markets its Ryan Homes products to first-time and first-time move-up buyers; and NVHomes and Heartland Homes products to move-up and luxury buyers.