Hovnanian Enterprises (NYSE:HOV) Shares Up 11% – Should You Buy?

Hovnanian Enterprises Inc (NYSE:HOV)’s stock price rose 11% during trading on Thursday . The company traded as high as $133.14 and last traded at $134.1340. Approximately 92,815 shares changed hands during mid-day trading, a decline of 15% from the average daily volume of 108,988 shares. The stock had previously closed at $120.87.

Analysts Set New Price Targets

A number of equities analysts recently commented on the company. Citizens Jmp initiated coverage on Hovnanian Enterprises in a research note on Thursday, April 9th. They set a “market underperform” rating and a $74.00 price target for the company. Weiss Ratings cut Hovnanian Enterprises from a “hold (c)” rating to a “hold (c-)” rating in a report on Friday, May 8th. Finally, Wall Street Zen upgraded Hovnanian Enterprises from a “sell” rating to a “hold” rating in a research report on Saturday, February 28th. Three analysts have rated the stock with a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Reduce” and a consensus target price of $97.00.

Hovnanian Enterprises Price Performance

The company has a current ratio of 1.50, a quick ratio of 0.40 and a debt-to-equity ratio of 0.05. The firm’s 50-day moving average price is $111.72 and its 200-day moving average price is $112.92. The stock has a market capitalization of $765.37 million, a PE ratio of 35.88 and a beta of 1.84.

Hovnanian Enterprises (NYSE:HOV) last issued its quarterly earnings data on Thursday, May 21st. The construction company reported ($0.46) earnings per share for the quarter, topping the consensus estimate of ($2.04) by $1.58. Hovnanian Enterprises had a return on equity of 11.23% and a net margin of 1.25%.The company had revenue of $667.65 million for the quarter, compared to analysts’ expectations of $626.40 million.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of HOV. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its stake in shares of Hovnanian Enterprises by 5.5% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 2,979 shares of the construction company’s stock valued at $312,000 after acquiring an additional 156 shares during the period. Jane Street Group LLC grew its holdings in Hovnanian Enterprises by 436.3% during the 1st quarter. Jane Street Group LLC now owns 9,106 shares of the construction company’s stock valued at $953,000 after purchasing an additional 7,408 shares during the last quarter. Cetera Investment Advisers bought a new position in Hovnanian Enterprises during the 2nd quarter valued at about $506,000. Legal & General Group Plc raised its position in Hovnanian Enterprises by 6.9% in the 2nd quarter. Legal & General Group Plc now owns 5,239 shares of the construction company’s stock worth $548,000 after purchasing an additional 337 shares during the period. Finally, Russell Investments Group Ltd. raised its position in Hovnanian Enterprises by 26.1% in the 2nd quarter. Russell Investments Group Ltd. now owns 2,422 shares of the construction company’s stock worth $253,000 after purchasing an additional 502 shares during the period. 65.40% of the stock is owned by hedge funds and other institutional investors.

About Hovnanian Enterprises

Hovnanian Enterprises, Inc is a publicly traded homebuilding company primarily engaged in the acquisition, development and construction of residential properties. Headquartered in Red Bank, New Jersey, the company operates through a network of regional homebuilding divisions that design and deliver a range of housing solutions, including single-family detached homes, townhomes and condominiums. Hovnanian combines land development, architectural design and construction services with in-house mortgage and insurance offerings to provide a comprehensive homebuying experience.

The company markets its communities under several branded product lines tailored to different buyer segments and price points.