American Homes 4 Rent (NYSE:AMH) Trading Down 7.4% Following Analyst Downgrade

American Homes 4 Rent (NYSE:AMH) fell 7.4% during mid-day trading on Wednesday after Mizuho downgraded the stock from an outperform rating to a neutral rating. Mizuho now has a $32.00 price target on the stock, down from their previous price target of $33.00. American Homes 4 Rent traded as low as $28.85 and last traded at $29.9930. 6,461,807 shares traded hands during trading, an increase of 63% from the average session volume of 3,954,738 shares. The stock had previously closed at $32.40.

AMH has been the subject of a number of other reports. Barclays lowered their price objective on shares of American Homes 4 Rent from $39.00 to $34.00 and set an “equal weight” rating for the company in a research report on Tuesday, November 25th. Weiss Ratings reiterated a “hold (c)” rating on shares of American Homes 4 Rent in a report on Wednesday, October 8th. Morgan Stanley reduced their price target on shares of American Homes 4 Rent from $41.00 to $40.00 and set an “overweight” rating for the company in a report on Thursday, November 13th. Wall Street Zen downgraded shares of American Homes 4 Rent from a “hold” rating to a “sell” rating in a report on Sunday, December 21st. Finally, Evercore ISI dropped their price target on shares of American Homes 4 Rent from $40.00 to $39.00 and set an “outperform” rating on the stock in a research report on Friday, October 31st. Eight research analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company’s stock. According to MarketBeat, American Homes 4 Rent presently has an average rating of “Hold” and an average target price of $37.63.

Insider Activity at American Homes 4 Rent

In related news, Director Douglas N. Benham bought 1,000 shares of the company’s stock in a transaction dated Wednesday, November 19th. The stock was purchased at an average cost of $31.65 per share, with a total value of $31,650.00. Following the transaction, the director owned 7,991 shares in the company, valued at approximately $252,915.15. This trade represents a 14.30% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Jack E. Corrigan bought 5,000 shares of the stock in a transaction dated Tuesday, December 9th. The shares were acquired at an average price of $22.96 per share, with a total value of $114,800.00. Following the completion of the acquisition, the director directly owned 17,300 shares of the company’s stock, valued at approximately $397,208. The trade was a 40.65% increase in their position. The SEC filing for this purchase provides additional information. 6.32% of the stock is currently owned by insiders.

Key Headlines Impacting American Homes 4 Rent

Here are the key news stories impacting American Homes 4 Rent this week:

• Positive Sentiment: BMO Capital Markets reaffirmed a “market perform” rating and set a $37 price target, signaling a sizable upside view from that shop which may limit further downside. BMO reaffirms Market Perform, $37 PT
• Neutral Sentiment: Mizuho reconfirmed a “neutral” rating with a $32 target in a separate note (a reiteration that keeps expectations muted). Mizuho reaffirms neutral, $32 PT
• Negative Sentiment: Mizuho also lowered its stance from “outperform” to “neutral” in another update, reflecting increased caution and reducing analyst conviction. Mizuho downgrade to neutral
• Negative Sentiment: UBS cut its price target from $38 to $33 and kept a “neutral” rating, narrowing upside and signaling more conservative fair‑value assumptions. UBS lowers PT to $33
• Negative Sentiment: Policy headlines: President Trump floated banning large institutional investors from buying single‑family homes, and coverage suggests the proposal triggered a sectorwide sell‑off and raised AMH’s perceived regulatory risk; analysts and markets are now repricing that risk even though some argue REITs could be exempt. Wall Street Isn’t The Housing Problem How Trump’s Proposed Institutional Home Buying Ban Could Impact AMH

Institutional Investors Weigh In On American Homes 4 Rent

Large investors have recently added to or reduced their stakes in the stock. Vanguard Group Inc. raised its stake in shares of American Homes 4 Rent by 0.6% in the third quarter. Vanguard Group Inc. now owns 44,715,728 shares of the real estate investment trust’s stock worth $1,486,798,000 after purchasing an additional 246,713 shares during the last quarter. Norges Bank acquired a new stake in shares of American Homes 4 Rent in the second quarter valued at about $796,706,000. State Street Corp increased its position in shares of American Homes 4 Rent by 2.2% during the third quarter. State Street Corp now owns 18,424,196 shares of the real estate investment trust’s stock worth $612,605,000 after purchasing an additional 399,894 shares in the last quarter. Geode Capital Management LLC boosted its position in American Homes 4 Rent by 0.4% during the second quarter. Geode Capital Management LLC now owns 6,964,813 shares of the real estate investment trust’s stock worth $250,566,000 after acquiring an additional 31,179 shares during the last quarter. Finally, Centersquare Investment Management LLC grew its position in shares of American Homes 4 Rent by 25.9% in the third quarter. Centersquare Investment Management LLC now owns 5,271,280 shares of the real estate investment trust’s stock valued at $175,270,000 after purchasing an additional 1,082,972 shares in the last quarter. 91.87% of the stock is owned by hedge funds and other institutional investors.

American Homes 4 Rent Trading Down 1.9%

The stock has a market capitalization of $11.51 billion, a price-to-earnings ratio of 17.10, a PEG ratio of 2.82 and a beta of 0.79. The company has a quick ratio of 0.41, a current ratio of 0.41 and a debt-to-equity ratio of 0.62. The company’s 50-day moving average is $31.69 and its 200-day moving average is $33.48.

American Homes 4 Rent (NYSE:AMH) last released its quarterly earnings results on Wednesday, October 29th. The real estate investment trust reported $0.47 earnings per share for the quarter, topping analysts’ consensus estimates of $0.46 by $0.01. The business had revenue of $478.46 million during the quarter, compared to analysts’ expectations of $475.75 million. American Homes 4 Rent had a return on equity of 5.90% and a net margin of 24.70%.The company’s revenue was up 7.5% compared to the same quarter last year. During the same period in the prior year, the business posted $0.44 EPS. American Homes 4 Rent has set its FY 2025 guidance at 1.860-1.88 EPS. Research analysts anticipate that American Homes 4 Rent will post 1.85 earnings per share for the current fiscal year.

American Homes 4 Rent Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Wednesday, December 31st. Investors of record on Monday, December 15th were issued a $0.30 dividend. The ex-dividend date was Monday, December 15th. This represents a $1.20 dividend on an annualized basis and a yield of 3.9%. American Homes 4 Rent’s dividend payout ratio (DPR) is 101.69%.

About American Homes 4 Rent

American Homes 4 Rent (NYSE: AMH) is a publicly traded real estate investment trust (REIT) specializing in the acquisition, development and management of single-family rental homes. Since its initial public offering in April 2013, the company has focused on building a large-scale, professionally managed portfolio of homes designed to meet the needs of today’s renters. Its business model emphasizes the acquisition of well-located properties coupled with consistent, in-house property management to drive occupancy and long-term value.

As of the most recent reporting, American Homes 4 Rent owns and operates tens of thousands of homes across the United States, with concentration in key Sun Belt and high-growth markets.