D.R. Horton (NYSE:DHI) Downgraded by StockNews.com to Sell

StockNews.com lowered shares of D.R. Horton (NYSE:DHI) from a hold rating to a sell rating in a research report released on Thursday morning.

Several other brokerages have also recently issued reports on DHI. Wedbush upgraded D.R. Horton from an “underperform” rating to a “neutral” rating and set a $165.00 target price for the company in a research report on Tuesday, October 15th. Raymond James downgraded shares of D.R. Horton from an “outperform” rating to a “market perform” rating in a research note on Thursday, November 7th. Wells Fargo & Company dropped their price objective on shares of D.R. Horton from $190.00 to $175.00 and set an “overweight” rating for the company in a research note on Tuesday, December 17th. Bank of America upped their target price on shares of D.R. Horton from $196.00 to $215.00 and gave the company a “buy” rating in a research report on Thursday, September 19th. Finally, Citigroup dropped their price target on D.R. Horton from $185.00 to $152.00 and set a “neutral” rating for the company in a research report on Monday, January 6th. Three investment analysts have rated the stock with a sell rating, seven have given a hold rating and six have given a buy rating to the stock. According to data from MarketBeat, D.R. Horton currently has an average rating of “Hold” and a consensus price target of $176.93.

D.R. Horton Stock Performance

Shares of NYSE DHI opened at $136.52 on Thursday. The company has a debt-to-equity ratio of 0.23, a quick ratio of 1.61 and a current ratio of 7.32. The company has a market cap of $43.85 billion, a P/E ratio of 9.51, a P/E/G ratio of 0.56 and a beta of 1.71. The firm’s fifty day moving average is $154.38 and its two-hundred day moving average is $168.61. D.R. Horton has a 52-week low of $133.02 and a 52-week high of $199.85.

D.R. Horton (NYSE:DHI) last issued its earnings results on Tuesday, October 29th. The construction company reported $3.92 earnings per share (EPS) for the quarter, missing the consensus estimate of $4.17 by ($0.25). D.R. Horton had a return on equity of 19.24% and a net margin of 12.93%. The firm had revenue of $10 billion during the quarter, compared to the consensus estimate of $10.22 billion. During the same period last year, the firm posted $4.45 earnings per share. The company’s revenue for the quarter was down 4.7% compared to the same quarter last year. As a group, analysts anticipate that D.R. Horton will post 14.03 EPS for the current fiscal year.

D.R. Horton Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, November 19th. Stockholders of record on Tuesday, November 12th were given a dividend of $0.40 per share. This represents a $1.60 annualized dividend and a dividend yield of 1.17%. This is an increase from D.R. Horton’s previous quarterly dividend of $0.30. The ex-dividend date of this dividend was Tuesday, November 12th. D.R. Horton’s dividend payout ratio (DPR) is 11.14%.

Insider Activity

In related news, Director Barbara K. Allen sold 5,650 shares of D.R. Horton stock in a transaction dated Thursday, November 21st. The shares were sold at an average price of $163.10, for a total transaction of $921,515.00. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders own 1.74% of the company’s stock.

Hedge Funds Weigh In On D.R. Horton

Institutional investors have recently modified their holdings of the stock. Coastline Trust Co purchased a new stake in shares of D.R. Horton in the third quarter valued at approximately $26,000. Rakuten Securities Inc. raised its position in D.R. Horton by 216.7% during the 3rd quarter. Rakuten Securities Inc. now owns 171 shares of the construction company’s stock valued at $33,000 after purchasing an additional 117 shares in the last quarter. Wolff Wiese Magana LLC lifted its holdings in shares of D.R. Horton by 1,306.7% in the 3rd quarter. Wolff Wiese Magana LLC now owns 211 shares of the construction company’s stock worth $40,000 after buying an additional 196 shares during the period. Grove Bank & Trust grew its position in shares of D.R. Horton by 76.2% during the 3rd quarter. Grove Bank & Trust now owns 215 shares of the construction company’s stock worth $41,000 after buying an additional 93 shares in the last quarter. Finally, FSA Wealth Management LLC purchased a new position in shares of D.R. Horton during the third quarter valued at $47,000. 90.63% of the stock is owned by hedge funds and other institutional investors.

About D.R. Horton

D.R. Horton, Inc operates as a homebuilding company in East, North, Southeast, South Central, Southwest, and Northwest regions in the United States. It engages in the acquisition and development of land; and construction and sale of residential homes in 118 markets across 33 states under the names of D.R.