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KB Home (KBH) Stock Sinks As Market Gains: Here's Why
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In the latest market close, KB Home (KBH - Free Report) reached $53.02, with a -0.02% movement compared to the previous day. This move lagged the S&P 500's daily gain of 0.41%. Elsewhere, the Dow gained 0.53%, while the tech-heavy Nasdaq added 0.46%.
Shares of the homebuilder witnessed a gain of 23.04% over the previous month, beating the performance of the Construction sector with its gain of 14.21% and the S&P 500's gain of 7.62%.
The investment community will be closely monitoring the performance of KB Home in its forthcoming earnings report. It is anticipated that the company will report an EPS of $1.67, marking a 32.39% fall compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $1.61 billion, down 17.11% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $6.90 per share and a revenue of $6.34 billion, signifying shifts of -24.34% and -8.1%, respectively, from the last year.
Investors should also note any recent changes to analyst estimates for KB Home. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.25% lower. KB Home presently features a Zacks Rank of #3 (Hold).
In terms of valuation, KB Home is currently trading at a Forward P/E ratio of 7.69. This expresses a discount compared to the average Forward P/E of 8.61 of its industry.
The Building Products - Home Builders industry is part of the Construction sector. This industry currently has a Zacks Industry Rank of 87, which puts it in the top 35% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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KB Home (KBH) Stock Sinks As Market Gains: Here's Why
In the latest market close, KB Home (KBH - Free Report) reached $53.02, with a -0.02% movement compared to the previous day. This move lagged the S&P 500's daily gain of 0.41%. Elsewhere, the Dow gained 0.53%, while the tech-heavy Nasdaq added 0.46%.
Shares of the homebuilder witnessed a gain of 23.04% over the previous month, beating the performance of the Construction sector with its gain of 14.21% and the S&P 500's gain of 7.62%.
The investment community will be closely monitoring the performance of KB Home in its forthcoming earnings report. It is anticipated that the company will report an EPS of $1.67, marking a 32.39% fall compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $1.61 billion, down 17.11% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $6.90 per share and a revenue of $6.34 billion, signifying shifts of -24.34% and -8.1%, respectively, from the last year.
Investors should also note any recent changes to analyst estimates for KB Home. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.25% lower. KB Home presently features a Zacks Rank of #3 (Hold).
In terms of valuation, KB Home is currently trading at a Forward P/E ratio of 7.69. This expresses a discount compared to the average Forward P/E of 8.61 of its industry.
The Building Products - Home Builders industry is part of the Construction sector. This industry currently has a Zacks Industry Rank of 87, which puts it in the top 35% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.