NVR (NYSE:NVR) Hits New 52-Week Low – Should You Sell?

NVR, Inc. (NYSE:NVR)’s share price hit a new 52-week low during trading on Thursday . The stock traded as low as $6,463.25 and last traded at $6,446.9080, with a volume of 4115 shares traded. The stock had previously closed at $6,610.91.

Wall Street Analysts Forecast Growth

NVR has been the topic of a number of research analyst reports. UBS Group set a $8,100.00 price objective on shares of NVR in a research report on Friday, February 13th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of NVR in a research note on Thursday, January 22nd. Truist Financial initiated coverage on NVR in a report on Wednesday, March 4th. They set a “hold” rating and a $7,700.00 price objective for the company. BTIG Research initiated coverage on NVR in a research report on Monday, December 1st. They set a “buy” rating and a $9,022.00 price objective for the company. Finally, Wall Street Zen upgraded NVR from a “sell” rating to a “hold” rating in a research note on Saturday, January 31st. One equities research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating and five have assigned a Hold rating to the company. Based on data from MarketBeat.com, NVR currently has an average rating of “Hold” and an average target price of $8,182.83.

NVR Stock Performance

The company has a quick ratio of 3.71, a current ratio of 6.21 and a debt-to-equity ratio of 0.24. The stock has a market cap of $18.31 billion, a P/E ratio of 15.01, a price-to-earnings-growth ratio of 2.31 and a beta of 1.04. The firm’s 50-day moving average is $7,517.90 and its two-hundred day moving average is $7,624.50.

NVR (NYSE:NVR) last released its quarterly earnings results on Wednesday, January 28th. The construction company reported $121.54 earnings per share for the quarter, beating analysts’ consensus estimates of $105.42 by $16.12. The business had revenue of $2.74 billion for the quarter, compared to the consensus estimate of $2.41 billion. NVR had a net margin of 13.27% and a return on equity of 34.28%. NVR’s revenue for the quarter was down 5.2% on a year-over-year basis. During the same quarter last year, the firm earned $139.93 EPS. As a group, research analysts expect that NVR, Inc. will post 505.2 EPS for the current year.

NVR declared that its board has authorized a share buyback program on Wednesday, February 11th that permits the company to buyback $750.00 million in shares. This buyback authorization permits the construction company to buy up to 3.3% of its shares through open market purchases. Shares buyback programs are generally an indication that the company’s board of directors believes its shares are undervalued.

Insider Transactions at NVR

In other news, CAO Matthew B. Kelpy sold 500 shares of the firm’s stock in a transaction dated Tuesday, February 10th. The stock was sold at an average price of $8,100.00, for a total value of $4,050,000.00. Following the sale, the chief accounting officer directly owned 208 shares of the company’s stock, valued at approximately $1,684,800. This trade represents a 70.62% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Susan Williamson Ross sold 200 shares of NVR stock in a transaction dated Friday, February 13th. The stock was sold at an average price of $7,922.06, for a total value of $1,584,412.00. Following the completion of the transaction, the director owned 386 shares in the company, valued at $3,057,915.16. The trade was a 34.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 1,120 shares of company stock valued at $9,012,736 over the last 90 days. Corporate insiders own 7.00% of the company’s stock.

Hedge Funds Weigh In On NVR

Hedge funds and other institutional investors have recently made changes to their positions in the business. Capital Research Global Investors raised its position in NVR by 0.4% in the fourth quarter. Capital Research Global Investors now owns 133,554 shares of the construction company’s stock worth $973,979,000 after purchasing an additional 551 shares in the last quarter. Boston Partners lifted its position in shares of NVR by 9.9% during the 2nd quarter. Boston Partners now owns 64,952 shares of the construction company’s stock worth $479,900,000 after buying an additional 5,875 shares during the period. Principal Financial Group Inc. boosted its stake in NVR by 4.0% in the 3rd quarter. Principal Financial Group Inc. now owns 60,307 shares of the construction company’s stock valued at $484,546,000 after buying an additional 2,331 shares in the last quarter. M&T Bank Corp raised its stake in NVR by 34,923.5% during the fourth quarter. M&T Bank Corp now owns 56,738 shares of the construction company’s stock worth $413,777,000 after acquiring an additional 56,576 shares in the last quarter. Finally, Corient Private Wealth LLC lifted its holdings in shares of NVR by 407.5% during the fourth quarter. Corient Private Wealth LLC now owns 45,572 shares of the construction company’s stock valued at $332,346,000 after acquiring an additional 36,592 shares during the period. 83.67% of the stock is owned by institutional investors.

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.