NVR (NYSE:NVR) Releases Quarterly Earnings Results, Beats Estimates By $7.30 EPS

NVR (NYSE:NVR) posted its quarterly earnings data on Tuesday. The construction company reported $139.93 EPS for the quarter, beating the consensus estimate of $132.63 by $7.30, Zacks reports. NVR had a net margin of 16.51% and a return on equity of 38.20%.

NVR Stock Performance

Shares of NVR stock traded down $78.94 during trading hours on Tuesday, hitting $8,303.70. 4,753 shares of the company’s stock traded hands, compared to its average volume of 27,577. The stock has a market capitalization of $25.41 billion, a price-to-earnings ratio of 16.98, a PEG ratio of 1.67 and a beta of 1.20. NVR has a 12-month low of $6,999.44 and a 12-month high of $9,964.77. The company has a debt-to-equity ratio of 0.21, a current ratio of 6.21 and a quick ratio of 3.54. The company has a fifty day simple moving average of $8,515.52 and a 200-day simple moving average of $8,893.06.

NVR declared that its Board of Directors has initiated a share repurchase plan on Wednesday, December 11th that allows the company to repurchase $750.00 million in shares. This repurchase authorization allows the construction company to buy up to 2.8% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company’s board of directors believes its shares are undervalued.

Insider Buying and Selling

In related news, Director David A. Preiser sold 250 shares of the company’s stock in a transaction that occurred on Friday, November 8th. The shares were sold at an average price of $9,302.64, for a total transaction of $2,325,660.00. Following the sale, the director now directly owns 239 shares in the company, valued at approximately $2,223,330.96. This represents a 51.12 % decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, CAO Matthew B. Kelpy sold 400 shares of the stock in a transaction dated Tuesday, November 5th. The stock was sold at an average price of $9,450.00, for a total value of $3,780,000.00. Following the sale, the chief accounting officer now directly owns 208 shares in the company, valued at $1,965,600. This trade represents a 65.79 % decrease in their position. The disclosure for this sale can be found here. 7.00% of the stock is owned by insiders.

Analyst Upgrades and Downgrades

NVR has been the subject of several recent research reports. UBS Group decreased their price target on shares of NVR from $9,450.00 to $8,750.00 and set a “neutral” rating for the company in a research report on Wednesday, January 8th. JPMorgan Chase & Co. decreased their target price on NVR from $9,820.00 to $9,245.00 and set a “neutral” rating for the company in a research note on Friday, December 13th. StockNews.com lowered NVR from a “buy” rating to a “hold” rating in a research note on Thursday, November 7th. Bank of America reduced their price objective on shares of NVR from $10,800.00 to $10,600.00 and set a “buy” rating for the company in a research report on Wednesday, October 23rd. Finally, Seaport Res Ptn cut shares of NVR from a “strong-buy” rating to a “hold” rating in a report on Sunday, November 10th. Four research analysts have rated the stock with a hold rating and one has issued a buy rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average price target of $9,531.67.

NVR Company Profile

NVR, Inc operates as a homebuilder in the United States. The company operates through, Homebuilding and Mortgage Banking segments. It engages in the construction and sale of single-family detached homes, townhomes, and condominium buildings under the Ryan Homes, NVHomes, and Heartland Homes names. The company markets its Ryan Homes products to first-time and first-time move-up buyers; and NVHomes and Heartland Homes products to move-up and luxury buyers.