PulteGroup (NYSE:PHM) Stock Price Up 4.1% - Still a Buy?

PulteGroup, Inc. (NYSE:PHM - Get Free Report) shares were up 4.1% on Friday . The stock traded as high as $104.07 and last traded at $101.81. Approximately 1,690,732 shares changed hands during trading, a decline of 25% from the average daily volume of 2,264,601 shares. The stock had previously closed at $97.75.

Analyst Upgrades and Downgrades

PHM has been the subject of several analyst reports. Citigroup lowered their target price on PulteGroup from $146.00 to $119.00 and set a "neutral" rating for the company in a research note on Monday, January 6th. Wedbush restated an "outperform" rating and issued a $135.00 price target on shares of PulteGroup in a research report on Friday, January 31st. UBS Group upped their price objective on PulteGroup from $148.00 to $151.00 and gave the stock a "buy" rating in a report on Friday, January 31st. Seaport Res Ptn raised PulteGroup from a "strong sell" rating to a "hold" rating in a research note on Thursday, March 6th. Finally, Bank of America reduced their price target on shares of PulteGroup from $135.00 to $134.00 and set a "buy" rating on the stock in a report on Monday, January 27th. Seven research analysts have rated the stock with a hold rating and eleven have assigned a buy rating to the company's stock. According to data from MarketBeat.com, PulteGroup presently has an average rating of "Moderate Buy" and a consensus price target of $139.64.

PulteGroup Stock Up 5.5 %

The firm has a market cap of $19.65 billion, a P/E ratio of 6.60, a PEG ratio of 0.29 and a beta of 1.44. The stock's 50-day simple moving average is $104.79 and its 200 day simple moving average is $119.03. The company has a quick ratio of 0.86, a current ratio of 0.86 and a debt-to-equity ratio of 0.13.

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PulteGroup (NYSE:PHM - Get Free Report) last posted its earnings results on Thursday, January 30th. The construction company reported $3.50 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.28 by $0.22. PulteGroup had a net margin of 17.18% and a return on equity of 24.43%. As a group, research analysts forecast that PulteGroup, Inc. will post 12.32 EPS for the current fiscal year.

PulteGroup Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, April 2nd. Shareholders of record on Tuesday, March 18th were given a dividend of $0.22 per share. The ex-dividend date of this dividend was Tuesday, March 18th. This represents a $0.88 dividend on an annualized basis and a yield of 0.91%. PulteGroup's payout ratio is 5.98%.

PulteGroup declared that its Board of Directors has approved a stock repurchase program on Thursday, January 30th that permits the company to repurchase $1.50 billion in outstanding shares. This repurchase authorization permits the construction company to repurchase up to 6.2% of its shares through open market purchases. Shares repurchase programs are usually an indication that the company's leadership believes its shares are undervalued.

Insider Activity

In related news, VP Brien P. O'meara sold 3,500 shares of the firm's stock in a transaction on Thursday, February 13th. The shares were sold at an average price of $106.40, for a total transaction of $372,400.00. Following the completion of the transaction, the vice president now directly owns 11,372 shares of the company's stock, valued at approximately $1,209,980.80. This trade represents a 23.53 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Brian P. Anderson sold 2,500 shares of the stock in a transaction dated Monday, February 10th. The shares were sold at an average price of $106.45, for a total transaction of $266,125.00. Following the completion of the transaction, the director now directly owns 56,617 shares of the company's stock, valued at approximately $6,026,879.65. The trade was a 4.23 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 21,191 shares of company stock valued at $2,256,367. Insiders own 0.76% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of PHM. Franklin Resources Inc. grew its position in PulteGroup by 6.1% in the 4th quarter. Franklin Resources Inc. now owns 11,937,866 shares of the construction company's stock valued at $1,300,034,000 after acquiring an additional 683,592 shares during the last quarter. Geode Capital Management LLC raised its position in shares of PulteGroup by 1.3% in the 4th quarter. Geode Capital Management LLC now owns 5,120,878 shares of the construction company's stock worth $556,465,000 after acquiring an additional 64,947 shares in the last quarter. Norges Bank purchased a new position in shares of PulteGroup in the 4th quarter worth approximately $427,562,000. Northern Trust Corp lifted its holdings in shares of PulteGroup by 14.9% during the 4th quarter. Northern Trust Corp now owns 2,425,941 shares of the construction company's stock valued at $264,185,000 after purchasing an additional 315,148 shares during the last quarter. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its stake in shares of PulteGroup by 9.1% during the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 2,033,776 shares of the construction company's stock worth $221,478,000 after acquiring an additional 169,736 shares during the last quarter. Institutional investors own 89.90% of the company's stock.

About PulteGroup

PulteGroup, Inc, through its subsidiaries, primarily engages in the homebuilding business in the United States. It acquires and develops land primarily for residential purposes; and constructs housing on such land. The company also offers various home designs, including single-family detached, townhomes, condominiums, and duplexes under the Centex, Pulte Homes, Del Webb, DiVosta Homes, John Wieland Homes and Neighborhoods, and American West brand names.