Kb Home Stock Buy Hold or Sell Recommendation
| KBH Stock | USD 65.61 2.92 4.66% |
Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding KB Home is 'Hold'. Macroaxis provides KB Home buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding KB Home positions. The advice algorithm takes into account all of KB Home's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting KB Home's buy or sell advice are summarized below:
Real Value 60.16 | Target Price 55.08 | Hype Value 65.69 | Market Value 65.61 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell KB Home given historical horizon and risk tolerance towards KB Home. When Macroaxis issues a 'buy' or 'sell' recommendation for KB Home, the advice is generated through an automated system that utilizes algorithms and statistical models.
KBH |
Execute KB Home Buy or Sell Advice
The KBH recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on KB Home. Macroaxis does not own or have any residual interests in KB Home or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute KB Home's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Hold
Market Performance | Modest | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Hyperactively responds to market trends | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
KB Home Trading Alerts and Improvement Suggestions
| Over 88.0% of the company shares are owned by institutional investors | |
| Latest headline from MacroaxisInsider: Acquisition by Arthur Collins of 3020 shares of KB Home subject to Rule 16b-3 |
KB Home Returns Distribution Density
The distribution of KB Home's historical returns is an attempt to chart the uncertainty of KB Home's future price movements. The chart of the probability distribution of KB Home daily returns describes the distribution of returns around its average expected value. We use KB Home price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of KB Home returns is essential to provide solid investment advice for KB Home.
| Mean Return | 0.06 | Value At Risk | -4.67 | Potential Upside | 2.72 | Standard Deviation | 2.06 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of KB Home historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
KBH Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as KB Home is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading KB Home backward and forwards among themselves. KB Home's institutional investor refers to the entity that pools money to purchase KB Home's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Balyasny Asset Management Llc | 2023-12-31 | 1.8 M | Geode Capital Management, Llc | 2023-12-31 | 1.8 M | Amvescap Plc. | 2023-12-31 | 1.4 M | American Century Companies Inc | 2023-12-31 | 1.4 M | Northern Trust Corp | 2023-12-31 | 1.1 M | Morgan Stanley - Brokerage Accounts | 2023-12-31 | 988.1 K | Bank Of New York Mellon Corp | 2023-12-31 | 930.2 K | Jacobs Levy Equity Management, Inc. | 2023-09-30 | 895.3 K | Pictet Asset Manangement Sa | 2023-12-31 | 786.9 K | Blackrock Inc | 2023-12-31 | 10.7 M | Vanguard Group Inc | 2023-12-31 | 7.8 M |
KB Home Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change To Inventory | (183.2M) | (897.8M) | (785.6M) | 426.8M | 384.1M | 403.3M | |
| Change In Cash | 227.7M | (390.4M) | 38.1M | 397.1M | 357.4M | 375.3M | |
| Free Cash Flow | 281.8M | (76.7M) | 138.2M | 1.0B | 1.2B | 1.3B | |
| Depreciation | 28.4M | 28.6M | 32.3M | 36.4M | 32.8M | 34.4M | |
| Other Non Cash Items | 33.2M | 15.2M | 34.3M | 23.0M | 26.4M | 25.1M | |
| Dividends Paid | 38.1M | 54.1M | 52.5M | 56.8M | 65.4M | 32.8M | |
| Capital Expenditures | 28.8M | 39.4M | 45.2M | 35.5M | 40.8M | 42.8M | |
| Net Income | 296.2M | 564.7M | 816.7M | 590.2M | 678.7M | 712.6M | |
| End Period Cash Flow | 682.5M | 292.1M | 330.2M | 727.3M | 836.4M | 432.8M | |
| Investments | 2.3M | 1.3M | (26.5M) | (58.1M) | (52.3M) | (49.6M) | |
| Change Receivables | 44.4M | (59.3M) | (32.0M) | (19.9M) | (17.9M) | (17.0M) | |
| Net Borrowings | (333.2M) | (24.9M) | (72.1M) | 144.8M | 130.3M | 136.8M | |
| Change To Netincome | 94.2M | (73.9M) | 83.1M | 40.7M | 46.8M | 49.1M |
KB Home Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to KB Home or Household Durables sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that KB Home's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a KBH stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | -0.13 | |
β | Beta against NYSE Composite | 2.31 | |
σ | Overall volatility | 2.02 | |
Ir | Information ratio | -0.01 |
KB Home Volatility Alert
KB Home currently demonstrates below-average downside deviation. It has Information Ratio of -0.01 and Jensen Alpha of -0.13. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure KB Home's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact KB Home's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.KB Home Fundamentals Vs Peers
Comparing KB Home's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze KB Home's direct or indirect competition across all of the common fundamentals between KB Home and the related equities. This way, we can detect undervalued stocks with similar characteristics as KB Home or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of KB Home's fundamental indicators could also be used in its relative valuation, which is a method of valuing KB Home by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare KB Home to competition |
| Fundamentals | KB Home | Peer Average |
| Return On Equity | 0.16 | -0.31 |
| Return On Asset | 0.0732 | -0.14 |
| Profit Margin | 0.09 % | (1.27) % |
| Operating Margin | 0.12 % | (5.51) % |
| Current Valuation | 5.68 B | 16.62 B |
| Shares Outstanding | 75.92 M | 571.82 M |
| Shares Owned By Insiders | 12.03 % | 10.09 % |
| Shares Owned By Institutions | 87.97 % | 39.21 % |
| Number Of Shares Shorted | 4.68 M | 4.71 M |
| Price To Earning | 8.76 X | 28.72 X |
| Price To Book | 1.25 X | 9.51 X |
| Price To Sales | 0.75 X | 11.42 X |
| Revenue | 6.41 B | 9.43 B |
| Gross Profit | 1.74 B | 27.38 B |
| EBITDA | 718.74 M | 3.9 B |
| Net Income | 590.18 M | 570.98 M |
| Cash And Equivalents | 330.2 M | 2.7 B |
| Cash Per Share | 2.28 X | 5.01 X |
| Total Debt | 1.72 B | 5.32 B |
| Debt To Equity | 0.59 % | 48.70 % |
| Current Ratio | 3.65 X | 2.16 X |
| Book Value Per Share | 51.15 X | 1.93 K |
| Cash Flow From Operations | 1.08 B | 971.22 M |
| Short Ratio | 3.65 X | 4.00 X |
| Earnings Per Share | 7.34 X | 3.12 X |
| Price To Earnings To Growth | 0.63 X | 4.89 X |
| Target Price | 71.92 | |
| Number Of Employees | 2.21 K | 18.84 K |
| Beta | 1.73 | -0.15 |
| Market Capitalization | 4.76 B | 19.03 B |
| Total Asset | 6.65 B | 29.47 B |
| Retained Earnings | 3.68 B | 9.33 B |
| Working Capital | 5.44 B | 1.48 B |
Note: Acquisition by Arthur Collins of 3020 shares of KB Home subject to Rule 16b-3 [view details]
KB Home Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as KBH . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About KB Home Buy or Sell Advice
When is the right time to buy or sell KB Home? Buying financial instruments such as KBH Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.| 2021 | 2022 | 2023 | 2024 (projected) | Short and Long Term Debt Total | 2.3B | 1.7B | 2.0B | 1.6B | Total Assets | 6.7B | 6.6B | 7.6B | 3.8B |
Use Investing Ideas to Build Portfolios
In addition to having KB Home in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Large Growth Funds Thematic Idea Now
Large Growth Funds
Funds or Etfs that invest in stocks of large-sized companies with above-average risk and growth rate. The Large Growth Funds theme has 44 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Large Growth Funds Theme or any other thematic opportunities.
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Check out KB Home Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For more detail on how to invest in KBH Stock please use our How to Invest in KB Home guide.Note that the KB Home information on this page should be used as a complementary analysis to other KB Home's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Watchlist Optimization module to optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm.
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When running KB Home's price analysis, check to measure KB Home's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy KB Home is operating at the current time. Most of KB Home's value examination focuses on studying past and present price action to predict the probability of KB Home's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move KB Home's price. Additionally, you may evaluate how the addition of KB Home to your portfolios can decrease your overall portfolio volatility.
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Is KB Home's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of KB Home. If investors know KBH will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about KB Home listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.213 | Dividend Share 0.75 | Earnings Share 7.34 | Revenue Per Share 82.257 | Quarterly Revenue Growth 0.06 |
The market value of KB Home is measured differently than its book value, which is the value of KBH that is recorded on the company's balance sheet. Investors also form their own opinion of KB Home's value that differs from its market value or its book value, called intrinsic value, which is KB Home's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because KB Home's market value can be influenced by many factors that don't directly affect KB Home's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between KB Home's value and its price as these two are different measures arrived at by different means. Investors typically determine if KB Home is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, KB Home's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.