KB Home (KBH) Stock News

Melius Research began coverage of homebuilder KB Home with a Sell rating. No price target was provided.

Melius initiates KB Home coverage with Sell, $43 target.

KB Home (NYSE: KBH) opened Arroyo, a new-home community within the Griffin Park master plan in Manteca, California. Priced from the mid $500,000s, the community offers one- and two-story single-family homes with up to six bedrooms and 4.5 baths. Planned amenities include a park, children's playground, and walking paths. The location provides access to Highways 99 and 120, Interstates 5 and 580, and major employers in the Central Valley and San Francisco East Bay. KB Home's president for the North Bay and Central Valley divisions said the opening gives buyers more floor-plan choices. Homes are designed to be ENERGY STAR certified.

KB Home (NYSE: KBH) announced the opening of Brighton, a new single-family home community in Hockley, Texas. Prices start in the low $200,000s. The community includes amenities such as a pool, pickleball court, and playground, and is located near major highways. Homes are designed to be ENERGY STAR certified.

KB Home Price Target Cut to $50.00 From $55.00 by Truist Securities.

KB Home (KBH) traded lower after management abandoned its prior expectation for sequential Q4 margin improvement. Adjusted housing gross margin is now expected at 16.3% in Q4, down from 16.8% in Q3, pressured by pricing, costs, and an unfavorable Southern California mix. Net orders fell 12% yr/yr as higher mortgage rates and resale inventory weighed on demand. Q3 EPS beat but the weaker Q4 outlook overshadowed it.

RBC Capital lowered its price target on KB Home to $50.00 per share from $53.00, according to a ratings note.

KB Home Q3 revenue falls 20% to $1.30B; EPS $1.05 beats estimates.