LGI Homes (NASDAQ:LGIH) Lowered to “Sell” Rating by Wall Street Zen

LGI Homes (NASDAQ:LGIH) was downgraded by Wall Street Zen from a “hold” rating to a “sell” rating in a report issued on Saturday.

LGIH has been the topic of several other research reports. Zacks Research raised shares of LGI Homes from a “strong sell” rating to a “hold” rating in a research report on Tuesday, April 21st. JPMorgan Chase & Co. boosted their price target on shares of LGI Homes from $38.00 to $41.00 and gave the company an “underweight” rating in a research report on Thursday, April 30th. Two investment analysts have rated the stock with a Buy rating, two have given a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Hold” and an average target price of $72.75.

LGI Homes Stock Performance

Shares of LGIH stock opened at $46.11 on Friday. The firm has a market cap of $1.07 billion, a price-to-earnings ratio of 15.12 and a beta of 1.90. The company has a debt-to-equity ratio of 0.81, a quick ratio of 0.70 and a current ratio of 18.56. LGI Homes has a 52 week low of $33.55 and a 52 week high of $69.50. The firm’s 50-day simple moving average is $41.98 and its two-hundred day simple moving average is $47.00.

LGI Homes (NASDAQ:LGIH) last announced its quarterly earnings data on Tuesday, April 28th. The financial services provider reported $0.24 EPS for the quarter, topping the consensus estimate of $0.02 by $0.22. The business had revenue of $319.74 million for the quarter, compared to analyst estimates of $328.22 million. LGI Homes had a net margin of 4.22% and a return on equity of 3.80%. The company’s revenue for the quarter was down 9.0% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.17 earnings per share. As a group, equities analysts forecast that LGI Homes will post 2.76 earnings per share for the current year.

Insider Activity

In other news, COO Michael Larry Snider sold 6,000 shares of the business’s stock in a transaction that occurred on Monday, March 9th. The shares were sold at an average price of $42.04, for a total value of $252,240.00. Following the sale, the chief operating officer owned 175,556 shares of the company’s stock, valued at $7,380,374.24. The trade was a 3.30% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, General Counsel Scott James Garber sold 1,353 shares of the business’s stock in a transaction that occurred on Monday, March 9th. The shares were sold at an average price of $42.04, for a total transaction of $56,880.12. Following the transaction, the general counsel directly owned 21,716 shares of the company’s stock, valued at approximately $912,940.64. This represents a 5.87% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 22,451 shares of company stock valued at $943,840 over the last quarter. Company insiders own 12.60% of the company’s stock.

Hedge Funds Weigh In On LGI Homes

Hedge funds have recently bought and sold shares of the company. Caitong International Asset Management Co. Ltd grew its stake in LGI Homes by 75.5% during the third quarter. Caitong International Asset Management Co. Ltd now owns 551 shares of the financial services provider’s stock valued at $28,000 after acquiring an additional 237 shares in the last quarter. Los Angeles Capital Management LLC purchased a new position in LGI Homes during the fourth quarter valued at approximately $29,000. Russell Investments Group Ltd. grew its stake in LGI Homes by 106.6% during the second quarter. Russell Investments Group Ltd. now owns 591 shares of the financial services provider’s stock valued at $30,000 after acquiring an additional 305 shares in the last quarter. Kemnay Advisory Services Inc. purchased a new position in LGI Homes in the 4th quarter worth approximately $32,000. Finally, Rockefeller Capital Management L.P. grew its stake in LGI Homes by 1,759.6% in the 4th quarter. Rockefeller Capital Management L.P. now owns 874 shares of the financial services provider’s stock worth $38,000 after buying an additional 827 shares in the last quarter. Hedge funds and other institutional investors own 84.89% of the company’s stock.

About LGI Homes

LGI Homes, Inc (NASDAQ: LGIH) is a residential homebuilder primarily focused on serving first-time and first-time move-up homebuyers in the United States. The company specializes in the acquisition, development and sale of affordable single-family homes and townhomes. LGI Homes operates through an integrated model that encompasses land sourcing, lot development, home construction, and post-closing customer support including warranty services.

In addition to its core homebuilding activities, LGI Homes offers ancillary services to streamline the homebuying process for its customers.