PulteGroup Sees Unusually High Options Volume (NYSE:PHM)

PulteGroup, Inc. (NYSE:PHM) saw some unusual options trading on Wednesday. Stock traders bought 9,941 call options on the stock. This is an increase of approximately 1,498% compared to the typical volume of 622 call options.

Analysts Set New Price Targets

Several equities research analysts have recently commented on PHM shares. Seaport Res Ptn raised PulteGroup from a “strong sell” rating to a “hold” rating in a report on Thursday, March 6th. Royal Bank of Canada cut their price target on PulteGroup from $116.00 to $109.00 and set a “sector perform” rating for the company in a report on Wednesday, April 23rd. Barclays cut their price target on PulteGroup from $100.00 to $98.00 and set an “equal weight” rating for the company in a report on Wednesday, April 23rd. Bank of America cut their price target on PulteGroup from $135.00 to $134.00 and set a “buy” rating for the company in a report on Monday, January 27th. Finally, Evercore ISI raised their price target on PulteGroup from $161.00 to $165.00 and gave the company an “outperform” rating in a report on Wednesday, April 23rd. Seven equities research analysts have rated the stock with a hold rating and nine have given a buy rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $134.69.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the business. Hager Investment Management Services LLC bought a new position in PulteGroup in the fourth quarter valued at about $29,000. Ameriflex Group Inc. bought a new position in PulteGroup in the fourth quarter valued at about $37,000. TD Waterhouse Canada Inc. grew its position in PulteGroup by 43.0% in the fourth quarter. TD Waterhouse Canada Inc. now owns 349 shares of the construction company’s stock valued at $38,000 after acquiring an additional 105 shares during the last quarter. R Squared Ltd bought a new position in PulteGroup in the fourth quarter valued at about $39,000. Finally, American National Bank & Trust bought a new position in PulteGroup in the first quarter valued at about $39,000. Institutional investors own 89.90% of the company’s stock.

PulteGroup Stock Down 4.0%

Shares of NYSE PHM opened at $102.21 on Thursday. The company has a debt-to-equity ratio of 0.13, a quick ratio of 0.86 and a current ratio of 0.86. PulteGroup has a 52 week low of $88.07 and a 52 week high of $149.47. The stock has a market capitalization of $20.49 billion, a P/E ratio of 6.95, a PEG ratio of 0.29 and a beta of 1.37. The stock’s fifty day moving average is $100.98 and its 200 day moving average is $111.64.

PulteGroup (NYSE:PHM) last released its earnings results on Tuesday, April 22nd. The construction company reported $2.57 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.47 by $0.10. PulteGroup had a return on equity of 24.43% and a net margin of 17.18%. The firm had revenue of $3.89 billion for the quarter, compared to analysts’ expectations of $3.86 billion. During the same quarter in the previous year, the business posted $3.10 earnings per share. Sell-side analysts forecast that PulteGroup will post 12.32 earnings per share for the current fiscal year.

PulteGroup declared that its board has initiated a share buyback plan on Thursday, January 30th that allows the company to repurchase $1.50 billion in outstanding shares. This repurchase authorization allows the construction company to reacquire up to 6.2% of its stock through open market purchases. Stock repurchase plans are usually an indication that the company’s leadership believes its stock is undervalued.

PulteGroup Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, July 2nd. Shareholders of record on Tuesday, June 17th will be given a $0.22 dividend. This represents a $0.88 dividend on an annualized basis and a yield of 0.86%. The ex-dividend date of this dividend is Tuesday, June 17th. PulteGroup’s dividend payout ratio is presently 6.21%.

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.