PulteGroup (NYSE:PHM) Reaches New 52-Week Low – Here’s What Happened

PulteGroup, Inc. (NYSE:PHM) shares reached a new 52-week low during trading on Monday . The stock traded as low as $101.03 and last traded at $101.47, with a volume of 87581 shares changing hands. The stock had previously closed at $103.11.

Analyst Upgrades and Downgrades

A number of analysts recently weighed in on PHM shares. Bank of America lowered their price target on shares of PulteGroup from $135.00 to $134.00 and set a “buy” rating for the company in a report on Monday, January 27th. The Goldman Sachs Group lowered their target price on PulteGroup from $140.00 to $124.00 and set a “neutral” rating for the company in a research note on Tuesday, January 14th. Wells Fargo & Company cut their price target on PulteGroup from $165.00 to $140.00 and set an “overweight” rating on the stock in a research note on Tuesday, December 17th. Wedbush reiterated an “outperform” rating and issued a $135.00 price target on shares of PulteGroup in a report on Friday, January 31st. Finally, Seaport Res Ptn cut PulteGroup from a “hold” rating to a “strong sell” rating in a report on Monday, January 27th. One investment analyst has rated the stock with a sell rating, six have assigned a hold rating and eleven have assigned a buy rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $140.86.

PulteGroup Stock Up 4.7 %

The firm has a market cap of $21.55 billion, a P/E ratio of 7.24, a price-to-earnings-growth ratio of 0.29 and a beta of 1.68. The firm’s 50 day moving average is $110.37 and its two-hundred day moving average is $125.14. The company has a current ratio of 0.86, a quick ratio of 0.86 and a debt-to-equity ratio of 0.13.

PulteGroup (NYSE:PHM) last announced its quarterly earnings results on Thursday, January 30th. The construction company reported $3.50 earnings per share for the quarter, topping analysts’ consensus estimates of $3.28 by $0.22. PulteGroup had a net margin of 17.18% and a return on equity of 24.43%. As a group, research analysts anticipate that PulteGroup, Inc. will post 12.32 EPS for the current fiscal year.

PulteGroup Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, April 2nd. Shareholders of record on Tuesday, March 18th will be issued a dividend of $0.22 per share. The ex-dividend date of this dividend is Tuesday, March 18th. This represents a $0.88 annualized dividend and a yield of 0.83%. PulteGroup’s dividend payout ratio is presently 5.98%.

PulteGroup announced that its Board of Directors has initiated a stock repurchase program on Thursday, January 30th that allows the company to repurchase $1.50 billion in shares. This repurchase authorization allows the construction company to purchase up to 6.2% of its stock through open market purchases. Stock repurchase programs are typically a sign that the company’s board of directors believes its shares are undervalued.

Insider Transactions at PulteGroup

In related news, EVP Todd N. Sheldon sold 15,191 shares of the firm’s stock in a transaction on Thursday, February 13th. The shares were sold at an average price of $106.50, for a total transaction of $1,617,841.50. Following the sale, the executive vice president now directly owns 74,758 shares in the company, valued at $7,961,727. This trade represents a 16.89 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, VP Brien P. O’meara sold 3,500 shares of the company’s stock in a transaction on Thursday, February 13th. The stock was sold at an average price of $106.40, for a total transaction of $372,400.00. Following the completion of the transaction, the vice president now directly owns 11,372 shares of the company’s stock, valued at approximately $1,209,980.80. The trade was a 23.53 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 21,191 shares of company stock valued at $2,256,367 over the last 90 days. 0.75% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of the company. Logan Capital Management Inc. boosted its position in PulteGroup by 67.7% during the 3rd quarter. Logan Capital Management Inc. now owns 14,797 shares of the construction company’s stock worth $2,124,000 after acquiring an additional 5,976 shares during the last quarter. Sanctuary Advisors LLC raised its holdings in shares of PulteGroup by 38.1% in the third quarter. Sanctuary Advisors LLC now owns 121,299 shares of the construction company’s stock valued at $17,410,000 after purchasing an additional 33,472 shares during the last quarter. Trustmark National Bank Trust Department lifted its position in shares of PulteGroup by 39.8% in the third quarter. Trustmark National Bank Trust Department now owns 39,589 shares of the construction company’s stock worth $5,682,000 after purchasing an additional 11,269 shares in the last quarter. Systematic Financial Management LP boosted its holdings in PulteGroup by 3.9% during the third quarter. Systematic Financial Management LP now owns 130,257 shares of the construction company’s stock worth $18,696,000 after purchasing an additional 4,840 shares during the last quarter. Finally, Nilsine Partners LLC grew its position in PulteGroup by 929.2% in the fourth quarter. Nilsine Partners LLC now owns 20,574 shares of the construction company’s stock valued at $2,240,000 after purchasing an additional 18,575 shares in the last quarter. 89.90% of the stock is currently owned by institutional investors.

About PulteGroup

PulteGroup, Inc, through its subsidiaries, primarily engages in the homebuilding business in the United States. It acquires and develops land primarily for residential purposes; and constructs housing on such land. The company also offers various home designs, including single-family detached, townhomes, condominiums, and duplexes under the Centex, Pulte Homes, Del Webb, DiVosta Homes, John Wieland Homes and Neighborhoods, and American West brand names.