KB Home (KBH) stock dropped Tuesday as analysts updated their coverage of the homebuilding company following its latest earnings report. As a quick refresher, KB Home reported earnings per share of $1.49 alongside revenue of $1.39 billion. Both of these were below Wall Street’s estimates of $1.58 per share and a revenue of $1.5 billion.
The lackluster earnings report resulted in updated analyst coverage today. Of the five-star analysts covering the stock, Barclays’ Matthew Bouley and KBW’s Jade Rahmani reiterated Hold ratings for KBH stock. Four-star Bank of America analyst Rafe Jadrosich also maintained a Hold rating for the shares.
Rahmani also maintained a $76 price target for KBH stock after its latest earnings report. On the other hand, Bouley dropped his price target for the shares from $60 to $56, while Jadrosich reduced his price target from $71 to $62. A lowered 2025 outlook and sliding deliveries also affected the analysts’ opinions.
How This Affects KBH Stock Today
Investors aren’t pleased about the recent KB Home earnings report or the analyst coverage that followed. This has KBH stock down 4.29% as of this writing, building on a 9.68% drop year-to-date and an 11.96% decrease over the last 52 weeks. The earnings miss also appears to have triggered a selloff, with some 2 million shares traded, compared to a three-month daily average of 1.33 million units.
Is KBH Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus estimate for KB Home is Moderate Buy based on four Buy, six Hold, and one Sell ratings over the last three months. With that comes an average price target of $76.35, a high of $97, and a low of $60. These ratings and price targets will likely change alongside additional analyst updates.
