LGI Homes (NASDAQ:LGIH) Shares Gap Down – Here’s Why

LGI Homes, Inc. (NASDAQ:LGIH) gapped down prior to trading on Thursday . The stock had previously closed at $93.58, but opened at $91.65. LGI Homes shares last traded at $94.35, with a volume of 58,053 shares.

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on LGIH shares. JPMorgan Chase & Co. reduced their target price on shares of LGI Homes from $100.00 to $82.00 and set an “underweight” rating for the company in a research note on Friday, December 13th. Wedbush reaffirmed a “neutral” rating and issued a $125.00 price objective on shares of LGI Homes in a research note on Wednesday, November 6th.

LGI Homes Stock Down 3.7 %

The firm has a market cap of $2.12 billion, a PE ratio of 10.80 and a beta of 1.99. The company has a debt-to-equity ratio of 0.77, a current ratio of 12.72 and a quick ratio of 0.54. The business has a fifty day moving average price of $106.66 and a two-hundred day moving average price of $104.33.

LGI Homes (NASDAQ:LGIH) last released its quarterly earnings data on Tuesday, November 5th. The financial services provider reported $2.95 EPS for the quarter, topping analysts’ consensus estimates of $2.54 by $0.41. LGI Homes had a return on equity of 10.32% and a net margin of 8.75%. The firm had revenue of $651.85 million for the quarter, compared to the consensus estimate of $645.27 million. During the same quarter in the prior year, the company posted $2.84 earnings per share. The firm’s revenue was up 5.6% on a year-over-year basis. On average, analysts anticipate that LGI Homes, Inc. will post 8.72 EPS for the current fiscal year.

Institutional Trading of LGI Homes

Several large investors have recently modified their holdings of LGIH. Sanctuary Advisors LLC acquired a new position in shares of LGI Homes during the 3rd quarter worth about $334,000. Geode Capital Management LLC increased its stake in LGI Homes by 1.5% during the third quarter. Geode Capital Management LLC now owns 497,039 shares of the financial services provider’s stock valued at $58,920,000 after acquiring an additional 7,129 shares during the period. Disciplined Growth Investors Inc. MN raised its holdings in LGI Homes by 3.7% in the 3rd quarter. Disciplined Growth Investors Inc. MN now owns 939,504 shares of the financial services provider’s stock valued at $111,350,000 after acquiring an additional 33,306 shares in the last quarter. Covalent Partners LLC acquired a new position in LGI Homes in the 3rd quarter valued at approximately $2,655,000. Finally, XTX Topco Ltd bought a new stake in shares of LGI Homes in the 3rd quarter worth approximately $288,000. 84.89% of the stock is owned by institutional investors.

About LGI Homes

LGI Homes, Inc designs, constructs, and sells homes. It offers entry-level homes, such as attached and detached homes, and active adult homes under the LGI Homes brand name; and luxury series homes under the Terrata Homes brand name. The company also engages in the wholesale business, which include building and selling homes to large institutions looking to acquire single-family rental properties.