NVR (NYSE:NVR) Announces Earnings Results, Misses Estimates By $6.02 EPS

NVR (NYSE:NVR) announced its quarterly earnings data on Thursday. The construction company reported $83.96 EPS for the quarter, missing the consensus estimate of $89.98 by ($6.02), RTT News reports. NVR had a net margin of 12.93% and a return on equity of 32.66%. During the same period in the prior year, the company posted $108.54 earnings per share.

NVR Stock Down 2.7%

NYSE:NVR traded down $171.84 during trading hours on Thursday, hitting $6,177.44. The company’s stock had a trading volume of 16,690 shares, compared to its average volume of 27,871. NVR has a 52-week low of $5,501.01 and a 52-week high of $8,618.28. The company has a current ratio of 5.19, a quick ratio of 2.67 and a debt-to-equity ratio of 0.26. The stock has a market capitalization of $16.68 billion, a P/E ratio of 15.01, a price-to-earnings-growth ratio of 16.23 and a beta of 0.90. The stock has a fifty day moving average of $6,343.46 and a 200-day moving average of $6,797.21.

Insider Activity

In other NVR news, Director Michael J. Devito acquired 11 shares of the stock in a transaction dated Friday, April 24th. The stock was acquired at an average cost of $6,699.50 per share, with a total value of $73,694.50. Following the transaction, the director owned 25 shares in the company, valued at $167,487.50. The trade was a 78.57% increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Corporate insiders own 8.60% of the company’s stock.

Institutional Investors Weigh In On NVR

Several institutional investors have recently added to or reduced their stakes in NVR. Newport Capital Group LLC purchased a new stake in NVR in the fourth quarter valued at $106,372,000. Deutsche Bank AG boosted its stake in NVR by 65.4% in the fourth quarter. Deutsche Bank AG now owns 24,289 shares of the construction company’s stock valued at $177,134,000 after acquiring an additional 9,604 shares in the last quarter. Citadel Advisors LLC grew its holdings in shares of NVR by 49.5% during the fourth quarter. Citadel Advisors LLC now owns 28,730 shares of the construction company’s stock worth $209,521,000 after purchasing an additional 9,515 shares during the last quarter. Jane Street Group LLC grew its holdings in shares of NVR by 252.2% during the fourth quarter. Jane Street Group LLC now owns 12,693 shares of the construction company’s stock worth $92,567,000 after purchasing an additional 9,089 shares during the last quarter. Finally, Quadrature Capital Ltd acquired a new stake in shares of NVR during the fourth quarter worth about $65,650,000. Hedge funds and other institutional investors own 83.67% of the company’s stock.

Wall Street Analyst Weigh In

NVR has been the subject of a number of recent analyst reports. Zacks Research lowered shares of NVR from a “hold” rating to a “strong sell” rating in a research note on Tuesday. Weiss Ratings cut shares of NVR from a “hold (c)” rating to a “sell (d+)” rating in a research report on Thursday, May 7th. UBS Group dropped their target price on shares of NVR from $8,100.00 to $7,700.00 and set a “neutral” rating on the stock in a research note on Thursday, April 23rd. Wall Street Zen raised shares of NVR from a “sell” rating to a “hold” rating in a research report on Saturday, May 9th. Finally, Zelman & Associates raised shares of NVR from a “hold” rating to a “buy” rating in a research note on Tuesday, July 7th. Three equities research analysts have rated the stock with a Buy rating, three have given a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, NVR presently has an average rating of “Hold” and a consensus target price of $7,478.50.

Key NVR News

Here are the key news stories impacting NVR this week:

• Positive Sentiment: NVR continues to post strong profitability metrics, with a return on equity of 32.66% and a net margin of 12.93%, which may help support the long-term investment case.
• Neutral Sentiment: Zacks Research made only modest downward revisions to some longer-term earnings estimates, while slightly raising one quarter’s forecast, suggesting analysts still see meaningful earnings power ahead.
• Negative Sentiment: Second-quarter EPS missed Wall Street estimates and fell sharply from last year, a key reason the stock is trading lower today. NVR, INC. ANNOUNCES SECOND QUARTER RESULTS
• Negative Sentiment: Zacks Research downgraded NVR to strong sell, adding to the bearish tone around the shares. Zacks.com downgrade coverage

About NVR

NVR, Inc is a U.S.-based homebuilding and mortgage banking company that designs, constructs and sells single-family detached homes, townhomes and condominiums. The company operates primarily through its homebuilding business and a mortgage banking subsidiary, providing financing and related closing services to its homebuyers. NVR’s homebuilding activities include land development, community planning, model home sales and construction management aimed at a range of buyer demographics.

Its homes are marketed under recognizable regional brands, including Ryan Homes and NVHomes, along with other market-specific trade names, and are offered across multiple geographic markets in the United States.