Zacks Investment Research Upgrades LGI Homes (LGIH) to “Buy”

Zacks Investment Research upgraded shares of LGI Homes (NASDAQ:LGIH) from a hold rating to a buy rating in a report issued on Wednesday, Zacks.com reports. They currently have $77.00 price objective on the financial services provider’s stock.

According to Zacks, “LGI Homes, Inc. is engaged in the design and construction of entry-level homes across Texas, Arizona, Florida and Georgia. The company focuses on converting renters of apartments and single-family homes into homeowners by offering homes at affordable locations. LGI Homes, Inc. is headquartered in The Woodlands, Texas. “

Other research analysts also recently issued research reports about the company. JMP Securities reissued a buy rating and set a $68.00 target price on shares of LGI Homes in a research note on Wednesday, March 6th. BidaskClub downgraded LGI Homes from a strong-buy rating to a buy rating in a research note on Friday, March 15th. ValuEngine raised LGI Homes from a sell rating to a hold rating in a research note on Wednesday, March 27th. Finally, Wells Fargo & Co boosted their target price on LGI Homes from $58.00 to $66.00 and gave the stock an outperform rating in a research note on Wednesday, February 27th. Two research analysts have rated the stock with a hold rating, four have issued a buy rating and one has issued a strong buy rating to the company. The stock currently has an average rating of Buy and a consensus target price of $67.10.

LGIH stock traded up $1.43 during midday trading on Wednesday, reaching $71.08. The company had a trading volume of 162,960 shares, compared to its average volume of 218,983. The company has a market cap of $1.61 billion, a PE ratio of 11.19, a price-to-earnings-growth ratio of 0.92 and a beta of 0.61. LGI Homes has a 1-year low of $37.16 and a 1-year high of $81.88. The company has a quick ratio of 1.61, a current ratio of 15.92 and a debt-to-equity ratio of 1.00.

LGI Homes (NASDAQ:LGIH) last posted its quarterly earnings results on Tuesday, February 26th. The financial services provider reported $1.72 EPS for the quarter, missing the Zacks’ consensus estimate of $1.78 by ($0.06). The company had revenue of $425.20 million during the quarter, compared to analyst estimates of $429.46 million. LGI Homes had a net margin of 10.32% and a return on equity of 26.36%. The firm’s revenue for the quarter was up 5.0% compared to the same quarter last year. During the same period last year, the firm earned $1.43 EPS. On average, analysts anticipate that LGI Homes will post 7.02 EPS for the current fiscal year.

In other news, Director Robert Karnig Vahradian sold 4,000 shares of the business’s stock in a transaction dated Friday, March 22nd. The stock was sold at an average price of $55.43, for a total transaction of $221,720.00. Following the sale, the director now directly owns 24,453 shares in the company, valued at $1,355,429.79. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CMO Rachel Lyons Eaton sold 1,695 shares of the business’s stock in a transaction dated Friday, March 15th. The stock was sold at an average price of $57.20, for a total value of $96,954.00. Following the sale, the chief marketing officer now owns 39,967 shares in the company, valued at $2,286,112.40. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 123,611 shares of company stock worth $7,219,212. Company insiders own 13.40% of the company’s stock.

Several large investors have recently added to or reduced their stakes in the company. FMR LLC grew its holdings in shares of LGI Homes by 40.3% during the fourth quarter. FMR LLC now owns 2,371,309 shares of the financial services provider’s stock worth $107,231,000 after purchasing an additional 681,165 shares during the last quarter. Epoch Investment Partners Inc. boosted its holdings in LGI Homes by 12.6% in the fourth quarter. Epoch Investment Partners Inc. now owns 1,664,836 shares of the financial services provider’s stock valued at $75,283,000 after acquiring an additional 186,150 shares during the last quarter. Frontier Capital Management Co. LLC boosted its holdings in LGI Homes by 14.6% in the fourth quarter. Frontier Capital Management Co. LLC now owns 1,425,195 shares of the financial services provider’s stock valued at $64,447,000 after acquiring an additional 181,951 shares during the last quarter. Altshuler Shaham Ltd bought a new stake in LGI Homes in the fourth quarter valued at approximately $38,684,000. Finally, Lord Abbett & CO. LLC boosted its holdings in LGI Homes by 39.4% in the fourth quarter. Lord Abbett & CO. LLC now owns 265,962 shares of the financial services provider’s stock valued at $12,027,000 after acquiring an additional 75,104 shares during the last quarter. Institutional investors own 94.56% of the company’s stock.

About LGI Homes

LGI Homes, Inc engages in the design, construction, and sale of new homes in Texas, Arizona, Florida, Georgia, New Mexico, North Carolina, South Carolina, Colorado, Washington, Tennessee, Minnesota, Oklahoma, Alabama, California, Oregon, and Nevada. It offers entry-level homes, such as detached homes and townhomes, and move-up homes under the LGI Homes brand name; and luxury series homes under the Terrata Homes brand name.

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