LGI Homes, Inc. (NASDAQ:LGIH) Receives Average Recommendation of “Reduce” from Brokerages

LGI Homes, Inc. (NASDAQ:LGIH) has been given a consensus rating of “Reduce” by the five research firms that are presently covering the stock, Marketbeat Ratings reports. Two equities research analysts have rated the stock with a sell rating, two have given a hold rating and one has given a buy rating to the company. The average 12-month target price among brokerages that have issued a report on the stock in the last year is $110.50.

Several research firms have recently weighed in on LGIH. JMP Securities reissued a “market outperform” rating and issued a $160.00 price objective on shares of LGI Homes in a research report on Friday, April 5th. StockNews.com cut LGI Homes from a “hold” rating to a “sell” rating in a research report on Wednesday. Finally, Wedbush reissued an “underperform” rating and issued a $74.00 price objective (down from $88.00) on shares of LGI Homes in a research report on Tuesday, April 2nd.

LGI Homes Stock Up 0.9 %

Shares of LGI Homes stock opened at $93.43 on Friday. The stock has a market capitalization of $2.20 billion, a P/E ratio of 11.10 and a beta of 1.83. The company has a quick ratio of 0.42, a current ratio of 10.66 and a debt-to-equity ratio of 0.67. The stock has a 50 day moving average price of $110.99 and a two-hundred day moving average price of $113.53. LGI Homes has a 12-month low of $84.15 and a 12-month high of $141.91.

LGI Homes (NASDAQ:LGIH) last announced its earnings results on Tuesday, February 20th. The financial services provider reported $2.19 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.54 by ($0.35). The company had revenue of $608.41 million for the quarter, compared to the consensus estimate of $663.95 million. LGI Homes had a return on equity of 11.28% and a net margin of 8.45%. The firm’s revenue for the quarter was up 24.6% compared to the same quarter last year. During the same period in the previous year, the company earned $1.45 EPS. Equities analysts expect that LGI Homes will post 9.24 earnings per share for the current year.

Insider Activity at LGI Homes

In related news, COO Michael Larry Snider sold 7,993 shares of the company’s stock in a transaction on Monday, March 11th. The stock was sold at an average price of $110.06, for a total value of $879,709.58. Following the completion of the transaction, the chief operating officer now directly owns 19,016 shares in the company, valued at $2,092,900.96. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. In related news, General Counsel Scott James Garber sold 1,212 shares of the company’s stock in a transaction on Monday, March 11th. The stock was sold at an average price of $111.95, for a total value of $135,683.40. Following the completion of the transaction, the general counsel now directly owns 13,824 shares in the company, valued at $1,547,596.80. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, COO Michael Larry Snider sold 7,993 shares of the stock in a transaction on Monday, March 11th. The stock was sold at an average price of $110.06, for a total value of $879,709.58. Following the transaction, the chief operating officer now owns 19,016 shares of the company’s stock, valued at $2,092,900.96. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 26,435 shares of company stock worth $2,944,291. 12.40% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of LGIH. Goldman Sachs Group Inc. raised its stake in LGI Homes by 51.0% during the second quarter. Goldman Sachs Group Inc. now owns 563,123 shares of the financial services provider’s stock worth $75,960,000 after acquiring an additional 190,075 shares in the last quarter. Wasatch Advisors LP increased its position in LGI Homes by 9.9% in the first quarter. Wasatch Advisors LP now owns 1,460,245 shares of the financial services provider’s stock worth $169,929,000 after purchasing an additional 131,467 shares during the period. Bank of America Corp DE increased its position in LGI Homes by 173.6% in the first quarter. Bank of America Corp DE now owns 167,427 shares of the financial services provider’s stock worth $19,092,000 after purchasing an additional 106,232 shares during the period. CDAM UK Ltd increased its position in LGI Homes by 14.7% in the fourth quarter. CDAM UK Ltd now owns 674,960 shares of the financial services provider’s stock worth $89,878,000 after purchasing an additional 86,265 shares during the period. Finally, Barclays PLC increased its position in LGI Homes by 213.0% in the third quarter. Barclays PLC now owns 125,904 shares of the financial services provider’s stock worth $12,525,000 after purchasing an additional 85,682 shares during the period. 84.89% of the stock is currently owned by institutional investors and hedge funds.

About LGI Homes

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.