NVR (NYSE:NVR) Reaches New 12-Month Low – Here’s Why

NVR, Inc. (NYSE:NVR) hit a new 52-week low during mid-day trading on Tuesday . The stock traded as low as $7,207.42 and last traded at $7,206.50, with a volume of 13771 shares changing hands. The stock had previously closed at $7,365.72.

Analyst Upgrades and Downgrades

Several brokerages have recently issued reports on NVR. UBS Group upped their target price on shares of NVR from $8,750.00 to $8,900.00 and gave the company a “neutral” rating in a research report on Wednesday, January 29th. Bank of America decreased their target price on shares of NVR from $10,800.00 to $10,600.00 and set a “buy” rating on the stock in a research report on Wednesday, October 23rd. JPMorgan Chase & Co. decreased their target price on shares of NVR from $9,245.00 to $8,570.00 and set a “neutral” rating on the stock in a research report on Wednesday, January 29th. Seaport Res Ptn lowered shares of NVR from a “strong-buy” rating to a “hold” rating in a research report on Sunday, November 10th. Finally, StockNews.com lowered shares of NVR from a “buy” rating to a “hold” rating in a research report on Thursday, November 7th. Four analysts have rated the stock with a hold rating and one has assigned a buy rating to the company. According to data from MarketBeat, the company presently has an average rating of “Hold” and a consensus price target of $9,356.67.

NVR Price Performance

The company has a current ratio of 6.18, a quick ratio of 3.69 and a debt-to-equity ratio of 0.22. The company has a market capitalization of $21.67 billion, a PE ratio of 14.28, a price-to-earnings-growth ratio of 2.36 and a beta of 1.20. The stock’s 50-day moving average is $7,989.86 and its two-hundred day moving average is $8,778.62.

NVR (NYSE:NVR) last issued its earnings results on Tuesday, February 4th. The construction company reported $139.93 EPS for the quarter, topping analysts’ consensus estimates of $132.63 by $7.30. NVR had a net margin of 16.34% and a return on equity of 39.67%. On average, equities analysts predict that NVR, Inc. will post 512.33 EPS for the current year.

NVR declared that its Board of Directors has approved a share buyback program on Wednesday, December 11th that authorizes the company to buyback $750.00 million in outstanding shares. This buyback authorization authorizes the construction company to repurchase up to 2.8% of its shares through open market purchases. Shares buyback programs are usually an indication that the company’s board believes its stock is undervalued.

Insider Transactions at NVR

In other news, Director Thomas D. Eckert sold 143 shares of the firm’s stock in a transaction that occurred on Monday, February 10th. The shares were sold at an average price of $7,515.60, for a total transaction of $1,074,730.80. Following the transaction, the director now directly owns 1,050 shares of the company’s stock, valued at approximately $7,891,380. This trade represents a 11.99 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Corporate insiders own 7.00% of the company’s stock.

Hedge Funds Weigh In On NVR

Hedge funds and other institutional investors have recently modified their holdings of the business. Blue Trust Inc. bought a new position in shares of NVR during the third quarter valued at approximately $39,000. Peak Financial Advisors LLC bought a new position in shares of NVR during the fourth quarter valued at approximately $1,235,000. JPMorgan Chase & Co. boosted its stake in shares of NVR by 18.8% during the third quarter. JPMorgan Chase & Co. now owns 13,920 shares of the construction company’s stock valued at $136,580,000 after purchasing an additional 2,206 shares in the last quarter. Intech Investment Management LLC bought a new position in shares of NVR during the third quarter valued at approximately $9,341,000. Finally, Brown Brothers Harriman & Co. boosted its stake in shares of NVR by 11.0% during the third quarter. Brown Brothers Harriman & Co. now owns 2,514 shares of the construction company’s stock valued at $24,667,000 after purchasing an additional 250 shares in the last quarter. 83.67% of the stock is currently owned by institutional investors.

About NVR

NVR, Inc operates as a homebuilder in the United States. The company operates through, Homebuilding and Mortgage Banking segments. It engages in the construction and sale of single-family detached homes, townhomes, and condominium buildings under the Ryan Homes, NVHomes, and Heartland Homes names. The company markets its Ryan Homes products to first-time and first-time move-up buyers; and NVHomes and Heartland Homes products to move-up and luxury buyers.