NVR (NYSE:NVR) Reaches New 52-Week Low – Should You Sell?

NVR, Inc. (NYSE:NVR)’s share price hit a new 52-week low on Wednesday . The company traded as low as $6,260.27 and last traded at $6,273.7090, with a volume of 4658 shares. The stock had previously closed at $6,442.36.

Analysts Set New Price Targets

A number of research analysts have weighed in on NVR shares. Seaport Research Partners reissued a “sell” rating and set a $5,664.00 price target on shares of NVR in a research note on Tuesday, April 7th. Bank of America reduced their price target on NVR from $8,600.00 to $8,225.00 and set a “buy” rating on the stock in a research note on Monday, April 20th. Wall Street Zen lowered NVR from a “hold” rating to a “sell” rating in a research report on Saturday, April 25th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of NVR in a research report on Thursday, January 22nd. Finally, UBS Group cut their target price on NVR from $8,100.00 to $7,700.00 and set a “neutral” rating on the stock in a research report on Thursday, April 23rd. Two research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Hold” and an average target price of $7,649.33.

NVR Stock Down 2.4%

The company has a current ratio of 6.21, a quick ratio of 3.71 and a debt-to-equity ratio of 0.24. The firm has a market capitalization of $17.14 billion, a PE ratio of 15.03, a price-to-earnings-growth ratio of 4.35 and a beta of 1.07. The firm has a 50-day moving average of $6,780.56 and a two-hundred day moving average of $7,251.55.

NVR (NYSE:NVR) last issued its earnings results on Wednesday, April 22nd. The construction company reported $67.76 earnings per share for the quarter, missing the consensus estimate of $79.97 by ($12.21). The firm had revenue of $1.91 billion during the quarter, compared to analysts’ expectations of $2.09 billion. NVR had a return on equity of 31.82% and a net margin of 12.93%.The company’s quarterly revenue was down 21.7% compared to the same quarter last year. During the same period last year, the business posted $94.83 earnings per share. On average, equities research analysts forecast that NVR, Inc. will post 393.81 EPS for the current year.

NVR declared that its Board of Directors has authorized a stock repurchase program on Wednesday, February 11th that permits the company to repurchase $750.00 million in outstanding shares. This repurchase authorization permits the construction company to purchase up to 3.3% of its shares through open market purchases. Shares repurchase programs are often a sign that the company’s management believes its stock is undervalued.

Insider Buying and Selling

In related news, Director Michael J. Devito acquired 11 shares of the business’s stock in a transaction on Friday, April 24th. The shares were bought at an average cost of $6,699.50 per share, with a total value of $73,694.50. Following the completion of the transaction, the director directly owned 25 shares of the company’s stock, valued at $167,487.50. This trade represents a 78.57% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Susan Williamson Ross sold 220 shares of the firm’s stock in a transaction dated Wednesday, February 4th. The shares were sold at an average price of $8,000.00, for a total value of $1,760,000.00. Following the completion of the transaction, the director directly owned 386 shares in the company, valued at $3,088,000. This trade represents a 36.30% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders have sold 1,120 shares of company stock valued at $9,012,736. 8.60% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the stock. Hsbc Holdings PLC raised its position in NVR by 8.4% in the first quarter. Hsbc Holdings PLC now owns 9,494 shares of the construction company’s stock valued at $62,389,000 after purchasing an additional 734 shares during the period. Kestra Advisory Services LLC raised its position in NVR by 56.8% in the first quarter. Kestra Advisory Services LLC now owns 334 shares of the construction company’s stock valued at $2,201,000 after purchasing an additional 121 shares during the period. Whittier Trust Co. of Nevada Inc. raised its position in NVR by 214.3% in the first quarter. Whittier Trust Co. of Nevada Inc. now owns 22 shares of the construction company’s stock valued at $148,000 after purchasing an additional 15 shares during the period. Whittier Trust Co. raised its position in NVR by 7.8% in the first quarter. Whittier Trust Co. now owns 111 shares of the construction company’s stock valued at $745,000 after purchasing an additional 8 shares during the period. Finally, V Square Quantitative Management LLC raised its position in NVR by 6.4% in the first quarter. V Square Quantitative Management LLC now owns 83 shares of the construction company’s stock valued at $547,000 after purchasing an additional 5 shares during the period. 83.67% of the stock is owned by hedge funds and other institutional investors.

NVR Company Profile

NVR, Inc is a U.S.-based homebuilding and mortgage banking company that designs, constructs and sells single-family detached homes, townhomes and condominiums. The company operates primarily through its homebuilding business and a mortgage banking subsidiary, providing financing and related closing services to its homebuyers. NVR’s homebuilding activities include land development, community planning, model home sales and construction management aimed at a range of buyer demographics.

Its homes are marketed under recognizable regional brands, including Ryan Homes and NVHomes, along with other market-specific trade names, and are offered across multiple geographic markets in the United States.