Hovnanian Enterprises (NYSE:HOV) Stock Price Down 6.1% – Should You Sell?

Hovnanian Enterprises Inc (NYSE:HOV) shares were down 6.1% during trading on Tuesday . The company traded as low as $106.78 and last traded at $106.01. Approximately 69,501 shares were traded during mid-day trading, a decline of 33% from the average daily volume of 103,849 shares. The stock had previously closed at $112.91.

Analyst Ratings Changes

Several equities research analysts have issued reports on the company. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Hovnanian Enterprises in a research note on Thursday, January 22nd. Wall Street Zen raised shares of Hovnanian Enterprises from a “sell” rating to a “hold” rating in a research note on Saturday, February 28th. Finally, Citizens Jmp started coverage on shares of Hovnanian Enterprises in a research report on Thursday. They issued a “market underperform” rating and a $74.00 target price on the stock. Three equities research analysts have rated the stock with a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock presently has an average rating of “Reduce” and an average target price of $97.00.

Hovnanian Enterprises Price Performance

The company has a debt-to-equity ratio of 0.04, a quick ratio of 0.43 and a current ratio of 1.50. The stock has a market cap of $668.47 million, a P/E ratio of 17.23 and a beta of 2.08. The firm has a 50-day moving average price of $116.69 and a 200-day moving average price of $117.68.

Hovnanian Enterprises (NYSE:HOV) last released its earnings results on Wednesday, February 25th. The construction company reported $2.62 earnings per share for the quarter, topping analysts’ consensus estimates of ($0.98) by $3.60. The firm had revenue of $631.95 million for the quarter, compared to the consensus estimate of $628.50 million. Hovnanian Enterprises had a net margin of 1.92% and a return on equity of 14.14%.

Institutional Investors Weigh In On Hovnanian Enterprises

A number of large investors have recently added to or reduced their stakes in HOV. Allianz Asset Management GmbH grew its holdings in shares of Hovnanian Enterprises by 82.6% in the third quarter. Allianz Asset Management GmbH now owns 10,844 shares of the construction company’s stock valued at $1,393,000 after purchasing an additional 4,906 shares during the period. Teacher Retirement System of Texas boosted its holdings in Hovnanian Enterprises by 292.2% in the 3rd quarter. Teacher Retirement System of Texas now owns 59,080 shares of the construction company’s stock valued at $7,591,000 after purchasing an additional 44,017 shares during the last quarter. Pacer Advisors Inc. acquired a new position in Hovnanian Enterprises in the 3rd quarter valued at about $4,460,000. Cadent Capital Advisors LLC purchased a new stake in shares of Hovnanian Enterprises in the 3rd quarter valued at approximately $1,145,000. Finally, Penn Capital Management Company LLC acquired a new stake in shares of Hovnanian Enterprises during the 3rd quarter worth approximately $683,000. Institutional investors own 65.40% of the company’s stock.

About Hovnanian Enterprises

Hovnanian Enterprises, Inc is a publicly traded homebuilding company primarily engaged in the acquisition, development and construction of residential properties. Headquartered in Red Bank, New Jersey, the company operates through a network of regional homebuilding divisions that design and deliver a range of housing solutions, including single-family detached homes, townhomes and condominiums. Hovnanian combines land development, architectural design and construction services with in-house mortgage and insurance offerings to provide a comprehensive homebuying experience.

The company markets its communities under several branded product lines tailored to different buyer segments and price points.