Wedbush Issues Pessimistic Estimate for LGI Homes Earnings

LGI Homes, Inc. (NASDAQ:LGIH) – Analysts at Wedbush reduced their Q1 2025 earnings estimates for shares of LGI Homes in a research note issued to investors on Tuesday, February 25th. Wedbush analyst J. Mccanless now forecasts that the financial services provider will post earnings per share of $0.86 for the quarter, down from their previous estimate of $1.48. Wedbush has a “Neutral” rating and a $115.00 price target on the stock. The consensus estimate for LGI Homes’ current full-year earnings is $8.46 per share. Wedbush also issued estimates for LGI Homes’ Q2 2025 earnings at $1.74 EPS, Q3 2025 earnings at $2.42 EPS, Q4 2025 earnings at $2.92 EPS, FY2025 earnings at $7.94 EPS, Q1 2026 earnings at $0.99 EPS, Q2 2026 earnings at $1.99 EPS, Q3 2026 earnings at $2.65 EPS, Q4 2026 earnings at $3.16 EPS and FY2026 earnings at $8.79 EPS.

LGIH has been the subject of several other reports. JPMorgan Chase & Co. reduced their target price on LGI Homes from $82.00 to $80.00 and set an “underweight” rating for the company in a research report on Tuesday, January 14th. Seaport Res Ptn upgraded shares of LGI Homes from a “strong sell” rating to a “hold” rating in a report on Monday, January 27th. Finally, JMP Securities reiterated a “market outperform” rating and issued a $160.00 price objective on shares of LGI Homes in a research report on Friday, January 10th. Two research analysts have rated the stock with a sell rating, two have given a hold rating and one has issued a buy rating to the company. According to MarketBeat.com, LGI Homes presently has a consensus rating of “Hold” and a consensus target price of $118.33.

LGI Homes Stock Down 2.9 %

LGIH stock opened at $73.63 on Friday. The stock has a 50-day simple moving average of $86.83 and a two-hundred day simple moving average of $100.60. The firm has a market capitalization of $1.73 billion, a PE ratio of 8.83 and a beta of 2.03. LGI Homes has a twelve month low of $72.55 and a twelve month high of $125.83. The company has a quick ratio of 0.54, a current ratio of 12.72 and a debt-to-equity ratio of 0.77.

LGI Homes (NASDAQ:LGIH) last announced its quarterly earnings results on Tuesday, February 25th. The financial services provider reported $2.15 earnings per share for the quarter, missing the consensus estimate of $2.31 by ($0.16). The company had revenue of $557.40 million during the quarter, compared to analysts’ expectations of $588.56 million. LGI Homes had a net margin of 8.75% and a return on equity of 10.32%. LGI Homes’s revenue for the quarter was down 8.4% compared to the same quarter last year. During the same quarter last year, the firm posted $2.19 earnings per share.

Institutional Investors Weigh In On LGI Homes

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Creative Planning bought a new position in shares of LGI Homes in the 3rd quarter worth about $375,000. Allspring Global Investments Holdings LLC bought a new position in shares of LGI Homes during the third quarter valued at approximately $43,000. Wealth Enhancement Advisory Services LLC increased its stake in shares of LGI Homes by 5.8% during the third quarter. Wealth Enhancement Advisory Services LLC now owns 3,232 shares of the financial services provider’s stock valued at $383,000 after purchasing an additional 176 shares in the last quarter. First Trust Direct Indexing L.P. purchased a new position in shares of LGI Homes during the third quarter valued at approximately $235,000. Finally, Meitav Investment House Ltd. bought a new stake in shares of LGI Homes in the 3rd quarter worth approximately $235,000. 84.89% of the stock is owned by hedge funds and other 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.