Hovnanian Enterprises (NYSE:HOV) Trading Down 4.5% on Insider Selling

Hovnanian Enterprises, Inc. (NYSE:HOV) dropped 4.5% during mid-day trading on Monday following insider selling activity. The stock traded as low as $135.53 and last traded at $135.53. Approximately 19,006 shares were traded during trading, a decline of 76% from the average daily volume of 80,406 shares. The stock had previously closed at $141.92.

Specifically, Director Robin Stone Sellers sold 1,459 shares of the firm’s stock in a transaction that occurred on Thursday, June 13th. The shares were sold at an average price of $154.20, for a total value of $224,977.80. Following the sale, the director now directly owns 22,716 shares in the company, valued at approximately $3,502,807.20. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. In related news, Director Robin Stone Sellers sold 1,459 shares of the business’s stock in a transaction on Thursday, June 13th. The stock was sold at an average price of $154.20, for a total transaction of $224,977.80. Following the sale, the director now owns 22,716 shares in the company, valued at approximately $3,502,807.20. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Ara K. Hovnanian sold 24,686 shares of the stock in a transaction dated Friday, June 28th. The shares were sold at an average price of $141.04, for a total value of $3,481,713.44. Following the completion of the transaction, the chief executive officer now owns 32,890 shares of the company’s stock, valued at $4,638,805.60. The disclosure for this sale can be found here. Insiders have sold a total of 33,816 shares of company stock worth $4,820,417 over the last 90 days. Insiders own 17.67% of the company’s stock.

Wall Street Analysts Forecast Growth

Several research analysts have commented on the company. Zelman & Associates raised Hovnanian Enterprises from an “underperform” rating to a “neutral” rating and set a $155.00 target price on the stock in a report on Thursday, May 23rd. StockNews.com raised shares of Hovnanian Enterprises from a “hold” rating to a “buy” rating in a research report on Monday, June 3rd.

Hovnanian Enterprises Price Performance

The business has a 50 day moving average price of $151.97 and a 200-day moving average price of $152.27. The company has a market capitalization of $819.73 million, a price-to-earnings ratio of 4.56 and a beta of 2.58. The company has a debt-to-equity ratio of 0.17, a quick ratio of 0.32 and a current ratio of 1.35.

Hovnanian Enterprises (NYSE:HOV) last released its quarterly earnings data on Wednesday, May 22nd. The construction company reported $6.66 earnings per share for the quarter. The company had revenue of $708.38 million during the quarter. Hovnanian Enterprises had a net margin of 8.02% and a return on equity of 54.85%. Research analysts predict that Hovnanian Enterprises, Inc. will post 27 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in the company. Price T Rowe Associates Inc. MD raised its position in shares of Hovnanian Enterprises by 2.4% during the first quarter. Price T Rowe Associates Inc. MD now owns 7,917 shares of the construction company’s stock worth $1,243,000 after purchasing an additional 188 shares during the period. EntryPoint Capital LLC lifted its stake in shares of Hovnanian Enterprises by 309.9% in the first quarter. EntryPoint Capital LLC now owns 828 shares of the construction company’s stock valued at $130,000 after buying an additional 626 shares in the last quarter. Vanguard Group Inc. lifted its stake in shares of Hovnanian Enterprises by 6.1% in the first quarter. Vanguard Group Inc. now owns 280,435 shares of the construction company’s stock valued at $44,011,000 after buying an additional 16,012 shares in the last quarter. Foundry Partners LLC acquired a new position in shares of Hovnanian Enterprises during the first quarter valued at about $4,259,000. Finally, Entropy Technologies LP acquired a new stake in shares of Hovnanian Enterprises in the 1st quarter worth about $205,000. 65.40% of the stock is owned by institutional investors and hedge funds.

About Hovnanian Enterprises

Hovnanian Enterprises, Inc, through its subsidiaries, designs, constructs, markets, and sells residential homes in the United States. It offers single-family detached homes, attached townhomes and condominiums, urban infill, and active lifestyle homes with amenities, such as clubhouses, swimming pools, tennis courts, tot lots, and open areas.