Royal Bank of Canada Reiterates “Underperform” Rating for D.R. Horton (NYSE:DHI)

Royal Bank of Canada reaffirmed their underperform rating on shares of D.R. Horton (NYSE:DHI) in a report published on Wednesday morning,Benzinga reports. Royal Bank of Canada currently has a $125.00 target price on the construction company’s stock.

Several other analysts also recently commented on DHI. BTIG Research reduced their target price on D.R. Horton from $190.00 to $186.00 and set a “buy” rating for the company in a research note on Wednesday, October 30th. Wells Fargo & Company reduced their target price on D.R. Horton from $190.00 to $175.00 and set an “overweight” rating for the company in a research note on Tuesday, December 17th. Wedbush reaffirmed a “neutral” rating and issued a $180.00 price target on shares of D.R. Horton in a research report on Friday, January 17th. The Goldman Sachs Group dropped their price target on shares of D.R. Horton from $200.00 to $171.00 and set a “buy” rating on the stock in a research report on Tuesday, January 14th. Finally, JMP Securities reaffirmed a “market outperform” rating and issued a $210.00 price target on shares of D.R. Horton in a research report on Wednesday. Two equities research analysts have rated the stock with a sell rating, seven have assigned a hold rating and seven have issued a buy rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus target price of $174.53.

D.R. Horton Stock Performance

Shares of D.R. Horton stock opened at $142.98 on Wednesday. The company has a current ratio of 6.92, a quick ratio of 1.61 and a debt-to-equity ratio of 0.20. The business has a 50-day moving average price of $150.44 and a two-hundred day moving average price of $168.84. The company has a market cap of $45.87 billion, a P/E ratio of 10.10, a PEG ratio of 0.56 and a beta of 1.75. D.R. Horton has a 1-year low of $133.02 and a 1-year high of $199.85.

D.R. Horton (NYSE:DHI) last issued its earnings results on Tuesday, January 21st. The construction company reported $2.61 EPS for the quarter, beating the consensus estimate of $2.37 by $0.24. The company had revenue of $7.61 billion during the quarter, compared to the consensus estimate of $7,120,170 billion. D.R. Horton had a return on equity of 18.48% and a net margin of 12.69%. The firm’s revenue for the quarter was down 1.5% compared to the same quarter last year. During the same period last year, the business posted $2.82 EPS. As a group, analysts anticipate that D.R. Horton will post 13.87 EPS for the current year.

D.R. Horton Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, February 14th. Shareholders of record on Friday, February 7th will be given a dividend of $0.40 per share. The ex-dividend date is Friday, February 7th. This represents a $1.60 annualized dividend and a dividend yield of 1.12%. D.R. Horton’s dividend payout ratio is currently 11.31%.

Insiders Place Their Bets

In related news, Director Barbara K. Allen sold 5,650 shares of D.R. Horton stock in a transaction that occurred on Thursday, November 21st. The shares were sold at an average price of $163.10, for a total value of $921,515.00. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. Insiders own 0.54% of the company’s stock.

Institutional Investors Weigh In On D.R. Horton

A number of hedge funds have recently modified their holdings of the stock. Coastline Trust Co purchased a new position in D.R. Horton in the 3rd quarter valued at approximately $26,000. Rakuten Securities Inc. grew its stake in D.R. Horton by 216.7% in the 3rd quarter. Rakuten Securities Inc. now owns 171 shares of the construction company’s stock valued at $33,000 after buying an additional 117 shares in the last quarter. Wolff Wiese Magana LLC grew its stake in D.R. Horton by 1,306.7% in the 3rd quarter. Wolff Wiese Magana LLC now owns 211 shares of the construction company’s stock valued at $40,000 after buying an additional 196 shares in the last quarter. Grove Bank & Trust grew its stake in D.R. Horton by 76.2% in the 3rd quarter. Grove Bank & Trust now owns 215 shares of the construction company’s stock valued at $41,000 after buying an additional 93 shares in the last quarter. Finally, FSA Wealth Management LLC purchased a new position in D.R. Horton in the 3rd quarter valued at approximately $47,000. Institutional investors own 90.63% of the company’s stock.

D.R. Horton Company Profile

D.R. Horton, Inc operates as a homebuilding company in East, North, Southeast, South Central, Southwest, and Northwest regions in the United States. It engages in the acquisition and development of land; and construction and sale of residential homes in 118 markets across 33 states under the names of D.R.