Smith Douglas Homes Corp. (NYSE:SDHC) Receives $18.90 Average Target Price from Brokerages

Smith Douglas Homes Corp. (NYSE:SDHC) has received a consensus recommendation of “Reduce” from the five ratings firms that are covering the firm, Marketbeat Ratings reports. One analyst has rated the stock with a sell rating and four have given a hold rating to the company. The average twelve-month price target among analysts that have issued ratings on the stock in the last year is $18.90.

Several equities analysts have commented on the stock. JPMorgan Chase & Co. lowered their price objective on shares of Smith Douglas Homes from $24.00 to $18.50 and set a “neutral” rating for the company in a research report on Wednesday, May 21st. Royal Bank Of Canada set a $16.00 price objective on shares of Smith Douglas Homes and gave the company a “sector perform” rating in a research report on Tuesday, May 20th. Wedbush reiterated a “neutral” rating and set a $18.00 price objective on shares of Smith Douglas Homes in a research report on Wednesday, May 14th. Finally, Wall Street Zen lowered shares of Smith Douglas Homes from a “hold” rating to a “sell” rating in a research report on Saturday, August 9th.

Smith Douglas Homes Stock Performance

SDHC opened at $20.94 on Wednesday. The stock has a market capitalization of $1.08 billion, a price-to-earnings ratio of 13.17, a PEG ratio of 12.54 and a beta of 1.06. The company has a fifty day moving average of $19.94 and a 200 day moving average of $19.65. Smith Douglas Homes has a fifty-two week low of $16.28 and a fifty-two week high of $39.50.

Smith Douglas Homes (NYSE:SDHC) last posted its earnings results on Wednesday, August 6th. The company reported ($0.13) earnings per share for the quarter, missing the consensus estimate of $0.25 by ($0.38). The company had revenue of $223.92 million for the quarter, compared to analysts’ expectations of $216.01 million. Smith Douglas Homes had a net margin of 1.43% and a return on equity of 1.74%. On average, equities research analysts forecast that Smith Douglas Homes will post 1.73 earnings per share for the current year.

Smith Douglas Homes declared that its board has approved a stock buyback plan on Wednesday, May 28th that allows the company to buyback $50.00 million in shares. This buyback authorization allows the company to reacquire up to 5.1% of its stock through open market purchases. Stock buyback plans are usually a sign that the company’s leadership believes its shares are undervalued.

Insider Buying and Selling

In other Smith Douglas Homes news, Director George Ervin Perdue III acquired 3,500 shares of the stock in a transaction on Wednesday, June 11th. The stock was acquired at an average price of $19.74 per share, for a total transaction of $69,090.00. Following the completion of the transaction, the director directly owned 38,484 shares of the company’s stock, valued at $759,674.16. This trade represents a 10.00% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Insiders have acquired a total of 5,400 shares of company stock worth $104,340 in the last three months. 82.71% of the stock is owned by company insiders.

Institutional Investors Weigh In On Smith Douglas Homes

Institutional investors have recently made changes to their positions in the company. M&T Bank Corp lifted its holdings in shares of Smith Douglas Homes by 8.4% in the 1st quarter. M&T Bank Corp now owns 11,001 shares of the company’s stock worth $215,000 after acquiring an additional 848 shares during the last quarter. Two Sigma Investments LP lifted its holdings in shares of Smith Douglas Homes by 366.3% in the 4th quarter. Two Sigma Investments LP now owns 27,550 shares of the company’s stock worth $706,000 after acquiring an additional 21,642 shares during the last quarter. New York State Common Retirement Fund lifted its holdings in shares of Smith Douglas Homes by 1.0% in the 1st quarter. New York State Common Retirement Fund now owns 185,119 shares of the company’s stock worth $3,614,000 after acquiring an additional 1,744 shares during the last quarter. Massachusetts Financial Services Co. MA lifted its holdings in shares of Smith Douglas Homes by 11.6% in the 1st quarter. Massachusetts Financial Services Co. MA now owns 486,509 shares of the company’s stock worth $9,497,000 after acquiring an additional 50,713 shares during the last quarter. Finally, Beck Mack & Oliver LLC lifted its holdings in shares of Smith Douglas Homes by 20.2% in the 1st quarter. Beck Mack & Oliver LLC now owns 840,975 shares of the company’s stock worth $16,416,000 after acquiring an additional 141,545 shares during the last quarter.

Smith Douglas Homes Company Profile

Smith Douglas Homes Corp., together with its subsidiaries, engages in the design, construction, and sale of single-family homes in the southeastern United States. It also provides closing, escrow, and title insurance services. The company sells its products to entry-level and empty-nest homebuyers. Smith Douglas Homes Corp.