Stock Buyback Plan Initiated by NVR (NYSE:NVR)

NVR (NYSE:NVR) declared that its board has authorized a share repurchase program on Wednesday, December 11th, RTT News reports. The company plans to repurchase $750.00 million in shares. This repurchase authorization allows the construction company to reacquire up to 2.8% of its shares through open market purchases. Shares repurchase programs are often a sign that the company’s management believes its stock is undervalued.

Wall Street Analyst Weigh In

Several brokerages have commented on NVR. Seaport Res Ptn lowered NVR from a “strong-buy” rating to a “hold” rating in a report on Sunday, November 10th. Bank of America cut their price target on shares of NVR from $10,800.00 to $10,600.00 and set a “buy” rating for the company in a report on Wednesday, October 23rd. StockNews.com cut shares of NVR from a “buy” rating to a “hold” rating in a research report on Thursday, November 7th. Finally, UBS Group lifted their target price on shares of NVR from $8,450.00 to $9,450.00 and gave the company a “neutral” rating in a research report on Wednesday, October 23rd.

NVR Trading Down 0.6 %

Shares of NVR stock opened at $8,796.60 on Friday. The stock has a 50 day moving average of $9,268.62 and a 200 day moving average of $8,730.59. The company has a debt-to-equity ratio of 0.21, a quick ratio of 3.54 and a current ratio of 6.21. The firm has a market capitalization of $26.95 billion, a price-to-earnings ratio of 17.98, a PEG ratio of 1.92 and a beta of 1.18. NVR has a fifty-two week low of $6,521.06 and a fifty-two week high of $9,964.77.

NVR (NYSE:NVR) last announced its quarterly earnings results on Tuesday, October 22nd. The construction company reported $130.50 earnings per share for the quarter, missing analysts’ consensus estimates of $131.00 by ($0.50). The company had revenue of $2.68 billion for the quarter, compared to analyst estimates of $2.71 billion. NVR had a net margin of 16.51% and a return on equity of 38.20%. NVR’s revenue was up 6.6% on a year-over-year basis. During the same quarter in the prior year, the business earned $125.26 earnings per share. As a group, research analysts predict that NVR will post 494.48 earnings per share for the current year.

Insider Activity

In other NVR news, CAO Matthew B. Kelpy sold 125 shares of the firm’s stock in a transaction that occurred on Thursday, October 24th. The shares were sold at an average price of $9,507.30, for a total value of $1,188,412.50. Following the completion of the transaction, the chief accounting officer now owns 230 shares of the company’s stock, valued at $2,186,679. This trade represents a 35.21 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, Director David A. Preiser sold 250 shares of the company’s stock in a transaction on Friday, November 8th. The stock was sold at an average price of $9,302.64, for a total value of $2,325,660.00. Following the sale, the director now directly owns 239 shares in the company, valued at $2,223,330.96. This represents a 51.12 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 775 shares of company stock valued at $7,294,073. 7.00% of the stock is currently owned by corporate insiders.

About NVR

NVR, Inc operates as a homebuilder in the United States. The company operates through, Homebuilding and Mortgage Banking segments. It engages in the construction and sale of single-family detached homes, townhomes, and condominium buildings under the Ryan Homes, NVHomes, and Heartland Homes names. The company markets its Ryan Homes products to first-time and first-time move-up buyers; and NVHomes and Heartland Homes products to move-up and luxury buyers.