NVR (NYSE:NVR) to Repurchase $750.00 million in Outstanding Stock

NVR (NYSE:NVR) announced that its Board of Directors has initiated a stock repurchase program on Wednesday, February 11th, RTT News reports. The company plans to repurchase $750.00 million in outstanding shares. This repurchase authorization authorizes the construction company to buy up to 3.3% of its stock through open market purchases. Stock repurchase programs are usually an indication that the company’s management believes its stock is undervalued.

Analysts Set New Price Targets

A number of brokerages have weighed in on NVR. UBS Group reissued a “neutral” rating and issued a $8,350.00 price target on shares of NVR in a report on Thursday, January 29th. Zelman & Associates upgraded shares of NVR from a “sell” rating to a “hold” rating and set a $7,675.00 price objective on the stock in a report on Thursday, January 29th. BTIG Research began coverage on shares of NVR in a research note on Monday, December 1st. They issued a “buy” rating and a $9,022.00 target price for the company. Wall Street Zen raised NVR from a “sell” rating to a “hold” rating in a research report on Saturday, January 31st. Finally, Weiss Ratings restated a “hold (c+)” rating on shares of NVR in a research note on Thursday, January 22nd. One equities research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating and four have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $8,329.40.

NVR Price Performance

NYSE NVR traded up $10.25 on Wednesday, reaching $8,104.53. The company’s stock had a trading volume of 24,688 shares, compared to its average volume of 29,263. NVR has a 52 week low of $6,562.85 and a 52 week high of $8,618.28. The company has a current ratio of 6.21, a quick ratio of 3.71 and a debt-to-equity ratio of 0.24. The firm has a market cap of $23.02 billion, a PE ratio of 18.54, a price-to-earnings-growth ratio of 2.60 and a beta of 1.03. The business has a 50-day moving average price of $7,559.92 and a 200 day moving average price of $7,711.36.

NVR (NYSE:NVR) last issued its earnings results on Wednesday, January 28th. The construction company reported $121.54 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $105.42 by $16.12. The business had revenue of $2.74 billion during the quarter, compared to analysts’ expectations of $2.41 billion. NVR had a return on equity of 34.28% and a net margin of 13.27%.NVR’s quarterly revenue was down 5.2% compared to the same quarter last year. During the same period in the prior year, the firm posted $139.93 EPS. Sell-side analysts expect that NVR will post 505.2 EPS for the current year.

Insider Buying and Selling at NVR

In related news, CAO Matthew B. Kelpy sold 500 shares of the stock in a transaction dated Tuesday, February 10th. The shares were sold at an average price of $8,100.00, for a total transaction of $4,050,000.00. Following the completion of the sale, the chief accounting officer owned 208 shares in the company, valued at $1,684,800. This trade represents a 70.62% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Susan Williamson Ross sold 220 shares of NVR stock in a transaction dated Wednesday, February 4th. The shares were sold at an average price of $8,000.00, for a total transaction of $1,760,000.00. Following the transaction, the director directly owned 386 shares of the company’s stock, valued at $3,088,000. This represents a 36.30% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 920 shares of company stock valued at $7,428,324 over the last quarter. Corporate insiders own 7.00% of the company’s stock.

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.