Stock Buyback Program Declared by Tri Pointe Homes (NYSE:TPH) Board of Directors

Tri Pointe Homes (NYSE:TPH) announced that its Board of Directors has initiated a share buyback program on Wednesday, December 18th, RTT News reports. The company plans to buyback $250.00 million in shares. This buyback authorization allows the construction company to repurchase up to 7.3% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s board believes its shares are undervalued.

Tri Pointe Homes Stock Performance

TPH stock opened at $37.03 on Friday. Tri Pointe Homes has a 1-year low of $33.24 and a 1-year high of $47.78. The business has a 50-day moving average price of $41.89 and a 200 day moving average price of $41.81. The company has a market capitalization of $3.47 billion, a P/E ratio of 7.68, a PEG ratio of 0.64 and a beta of 1.60. The company has a debt-to-equity ratio of 0.28, a current ratio of 1.64 and a quick ratio of 1.64.

Tri Pointe Homes (NYSE:TPH) last posted its quarterly earnings results on Thursday, October 24th. The construction company reported $1.18 EPS for the quarter, beating the consensus estimate of $1.07 by $0.11. Tri Pointe Homes had a net margin of 10.41% and a return on equity of 14.83%. The business had revenue of $1.11 billion during the quarter, compared to analyst estimates of $1.05 billion. During the same quarter in the previous year, the business posted $0.76 EPS. The company’s quarterly revenue was up 34.9% compared to the same quarter last year. As a group, equities research analysts forecast that Tri Pointe Homes will post 4.72 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on TPH shares. Wedbush reiterated a “neutral” rating and issued a $42.00 target price on shares of Tri Pointe Homes in a research note on Thursday, October 24th. StockNews.com downgraded shares of Tri Pointe Homes from a “buy” rating to a “hold” rating in a research note on Tuesday. Zelman & Associates upgraded shares of Tri Pointe Homes from an “underperform” rating to a “neutral” rating and set a $43.00 price objective for the company in a report on Tuesday, September 17th. Oppenheimer dropped their target price on shares of Tri Pointe Homes from $56.00 to $53.00 and set an “outperform” rating on the stock in a research note on Friday, October 25th. Finally, Royal Bank of Canada decreased their price target on shares of Tri Pointe Homes from $48.00 to $45.00 and set an “outperform” rating for the company in a research note on Friday, October 25th. Three equities research analysts have rated the stock with a hold rating, two have given a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat.com, Tri Pointe Homes presently has an average rating of “Moderate Buy” and a consensus price target of $45.75.

Insider Activity at Tri Pointe Homes

In related news, COO Thomas J. Mitchell sold 77,384 shares of the firm’s stock in a transaction dated Monday, December 16th. The stock was sold at an average price of $39.15, for a total transaction of $3,029,583.60. Following the sale, the chief operating officer now owns 708,159 shares of the company’s stock, valued at $27,724,424.85. This trade represents a 9.85 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. 2.00% of the stock is currently owned by corporate insiders.

About Tri Pointe Homes

Tri Pointe Homes, Inc engages in the design, construction, and sale of single-family attached and detached homes in the United States. The company operates through a portfolio of six regional home building brands comprising Maracay in Arizona; Pardee Homes in California and Nevada; Quadrant Homes in Washington; Trendmaker Homes in Texas; TRI Pointe Homes in California, Colorado, and the Carolinas; and Winchester Homes in Maryland and Northern Virginia.