KB Home (NYSE:KBH) Plans Quarterly Dividend of $0.25

KB Home (NYSE:KBH) declared a quarterly dividend on Thursday, October 10th,Wall Street Journal reports. Shareholders of record on Thursday, November 14th will be given a dividend of 0.25 per share by the construction company on Wednesday, November 27th. This represents a $1.00 annualized dividend and a yield of 1.23%. The ex-dividend date is Thursday, November 14th.

KB Home has raised its dividend payment by an average of 18.6% annually over the last three years. KB Home has a payout ratio of 11.0% meaning its dividend is sufficiently covered by earnings. Analysts expect KB Home to earn $9.15 per share next year, which means the company should continue to be able to cover its $1.00 annual dividend with an expected future payout ratio of 10.9%.

KB Home Stock Up 2.5 %

Shares of KB Home stock opened at $81.18 on Wednesday. KB Home has a twelve month low of $51.53 and a twelve month high of $89.70. The company’s 50 day moving average is $82.11 and its 200 day moving average is $76.90. The company has a market cap of $5.95 billion, a price-to-earnings ratio of 10.15, a price-to-earnings-growth ratio of 0.71 and a beta of 1.81.

KB Home (NYSE:KBH) last released its quarterly earnings results on Tuesday, September 24th. The construction company reported $2.04 earnings per share for the quarter, missing the consensus estimate of $2.06 by ($0.02). KB Home had a net margin of 9.31% and a return on equity of 15.69%. The firm had revenue of $1.75 billion for the quarter, compared to the consensus estimate of $1.73 billion. During the same period in the previous year, the company earned $1.80 earnings per share. KB Home’s quarterly revenue was up 10.3% compared to the same quarter last year. Sell-side analysts expect that KB Home will post 8.44 EPS for the current fiscal year.

Insider Buying and Selling

In other KB Home news, CFO Jeff Kaminski sold 27,500 shares of KB Home stock in a transaction on Monday, October 14th. The shares were sold at an average price of $79.40, for a total value of $2,183,500.00. Following the sale, the chief financial officer now directly owns 34,473 shares in the company, valued at approximately $2,737,156.20. The trade was a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. 3.52% of the stock is owned by company insiders.

Analysts Set New Price Targets

A number of research firms have issued reports on KBH. Royal Bank of Canada downgraded KB Home from a “sector perform” rating to an “underperform” rating and set a $70.00 price target for the company. in a research note on Thursday, September 5th. Barclays upped their target price on shares of KB Home from $78.00 to $99.00 and gave the company an “overweight” rating in a report on Wednesday, September 25th. Wedbush lifted their price target on shares of KB Home from $67.00 to $75.00 and gave the stock a “neutral” rating in a research note on Wednesday, September 25th. Wells Fargo & Company lowered KB Home from an “equal weight” rating to an “underweight” rating and upped their price objective for the stock from $80.00 to $83.00 in a research note on Monday, October 7th. Finally, The Goldman Sachs Group lifted their target price on KB Home from $72.00 to $82.00 and gave the company a “neutral” rating in a research report on Tuesday, September 3rd. Four equities research analysts have rated the stock with a sell rating, six have assigned a hold rating and four have issued a buy rating to the company. According to data from MarketBeat, KB Home has a consensus rating of “Hold” and an average price target of $77.50.

About KB Home

KB Home operates as a homebuilding company in the United States. It operates through four segments: West Coast, Southwest, Central, and Southeast. It builds and sells various homes, including attached and detached single-family residential homes, townhomes, and condominiums primarily for first-time, first move-up, second move-up, and active adult homebuyers.