Tri Pointe Homes (NYSE:TPH) Downgraded by Royal Bank of Canada to “Sector Perform”

Royal Bank of Canada lowered shares of Tri Pointe Homes (NYSE:TPH) from an outperform rating to a sector perform rating in a report published on Wednesday, MarketBeat.com reports. Royal Bank of Canada currently has $37.00 target price on the construction company’s stock, down from their prior target price of $41.00.

A number of other brokerages have also recently issued reports on TPH. StockNews.com cut shares of Tri Pointe Homes from a “buy” rating to a “hold” rating in a research report on Tuesday, December 17th. Oppenheimer cut their target price on shares of Tri Pointe Homes from $56.00 to $53.00 and set an “outperform” rating for the company in a research report on Friday, October 25th. Finally, Wedbush reissued a “neutral” rating and issued a $38.00 price objective (down previously from $44.00) on shares of Tri Pointe Homes in a research report on Tuesday. Four analysts have rated the stock with a hold rating and two have assigned a buy rating to the company. According to MarketBeat.com, the stock currently has an average rating of “Hold” and an average price target of $40.60.

Tri Pointe Homes Trading Down 4.4 %

Shares of Tri Pointe Homes stock opened at $30.88 on Wednesday. The company has a market capitalization of $2.89 billion, a P/E ratio of 6.41, a PEG ratio of 0.58 and a beta of 1.64. The company’s fifty day moving average is $36.69 and its two-hundred day moving average is $40.76. The company has a debt-to-equity ratio of 0.28, a quick ratio of 1.64 and a current ratio of 1.64. Tri Pointe Homes has a 1 year low of $30.67 and a 1 year high of $47.78.

Tri Pointe Homes (NYSE:TPH) last announced its quarterly earnings data on Tuesday, February 18th. The construction company reported $1.37 EPS for the quarter, beating the consensus estimate of $1.30 by $0.07. Tri Pointe Homes had a net margin of 10.41% and a return on equity of 14.83%. The firm had revenue of $1.22 billion during the quarter, compared to analysts’ expectations of $1.22 billion. Analysts forecast that Tri Pointe Homes will post 4.72 earnings per share for the current year.

Tri Pointe Homes declared that its board has authorized a share repurchase plan on Wednesday, December 18th that permits the company to repurchase $250.00 million in shares. This repurchase authorization permits the construction company to reacquire up to 7.3% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s board of directors believes its stock is undervalued.

Insider Activity

In related news, COO Thomas J. Mitchell sold 77,384 shares of the business’s stock in a transaction that occurred on Monday, December 16th. The shares were sold at an average price of $39.15, for a total value of $3,029,583.60. Following the completion of the sale, the chief operating officer now directly owns 708,159 shares in the company, valued at approximately $27,724,424.85. The trade was a 9.85 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Company insiders own 2.00% of the company’s stock.

Institutional Investors Weigh In On Tri Pointe Homes

A number of institutional investors have recently bought and sold shares of the stock. Vanguard Group Inc. grew its holdings in Tri Pointe Homes by 1.3% in the fourth quarter. Vanguard Group Inc. now owns 11,573,813 shares of the construction company’s stock valued at $419,666,000 after purchasing an additional 143,365 shares during the period. Pacer Advisors Inc. purchased a new stake in Tri Pointe Homes in the fourth quarter valued at approximately $118,407,000. Geode Capital Management LLC grew its holdings in Tri Pointe Homes by 1.8% in the fourth quarter. Geode Capital Management LLC now owns 2,529,823 shares of the construction company’s stock valued at $91,748,000 after purchasing an additional 44,160 shares during the period. GW&K Investment Management LLC grew its holdings in Tri Pointe Homes by 5.3% in the fourth quarter. GW&K Investment Management LLC now owns 2,036,689 shares of the construction company’s stock valued at $73,850,000 after purchasing an additional 102,187 shares during the period. Finally, American Century Companies Inc. grew its holdings in Tri Pointe Homes by 14.0% in the fourth quarter. American Century Companies Inc. now owns 1,946,471 shares of the construction company’s stock valued at $70,579,000 after purchasing an additional 238,807 shares during the period. 97.01% of the stock is currently owned by hedge funds and other institutional investors.

Tri Pointe Homes Company Profile

Tri Pointe Homes, Inc engages in the design, construction, and sale of single-family attached and detached homes in the United States. The company operates through a portfolio of six regional home building brands comprising Maracay in Arizona; Pardee Homes in California and Nevada; Quadrant Homes in Washington; Trendmaker Homes in Texas; TRI Pointe Homes in California, Colorado, and the Carolinas; and Winchester Homes in Maryland and Northern Virginia.