KB Home Buy Hold or Sell Recommendation

KBH -- USA Stock  

USD 27.98  0.55  2.01%

Considering 30-days investment horizon, and your above average risk tolerance our recommendation regarding KB Home is 'Strong Buy'. 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 available fundamental, technical, and predictive indicators you will find on this site. The advice is provided from KB Home buy-and-hold prospective. Please see also KB Home Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for muliple equity instruments please use Instant Ratings tool.

Time Horizon

Risk Tolerance

Symbol
Execute Advice
Sell KB HomeBuy KB Home
Strong Buy

Hype Condition

Current Valuation

Odds of Distress

Economic Sensitivity

Analyst Consensus

Piotroski F Score

Financial Leverage

For the selected time horizon KB Home has a risk adjusted performance of 0.1013, jensen alpha of 0.2591, total risk alpha of 0.3551, sortino ratio of 0.1344 and treynor ratio of 0.3489
Macroaxis buy, hold, or sell suggestion module can be used to complement current analysts and expert consensus on KB Home. Our buy or sell advice engine harnesses analyzes the firm potential to grow using all fundamental data market data available at this moment. To make sure KB Home is not overpriced, please verify all KB Home fundamentals including its Current Valuation, Price to Book, Cash and Equivalents, as well as the relationship between Shares Owned by Institutions and Gross Profit . Given that KB Home has Price to Earning of 10.64X, we recommend you check KB Home market performance and probability of bankruptcy to make sure the company can sustain itself this quarter and beyond given your latest risk tolerance and investing horizon.

KB Home Trading Alerts and Improvement Suggestions

KB Home has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial commitments
KB HOME has about 178.88M in cash with (106.56M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 2.03.
Over 92.0% of the company shares are owned by institutional investors

KB Home current analysts recommendations

Target Median Price30.00
Target Mean Price29.38
Recommendation Mean2.40
Target High Price35.00
Number Of Analyst Opinions13
Target Low Price23.00

KB Home Returns Distribution Density

Mean Return0.24Value At Risk3.06
Potential Upside3.23Standard Deviation2.27
 Return Density 
      Distribution 

Institutional Investors

Security TypeSharesValue
Blackrock IncCommon Shares10.5 M271.2 M
Vanguard Group IncCommon Shares8.2 M212.1 M
Capital World InvestorsCommon Shares3.8 M98.5 M
Millennium Management LlcCommon Shares3.7 M94.3 M
Bank Of New York Mellon CorpCommon Shares3.1 M78.5 M
Fisher Asset Management LlcCommon Shares3 M78.4 M
Goldman Sachs Group IncCommon Shares3 M76.7 M
Susquehanna International Group LlpPut Options1.5 M39.1 M

KB Home Greeks

α
Alpha over DOW
=0.26
β
Beta against DOW=0.65
σ
Overall volatility
=2.23
Ir
Information ratio =0.12

KB Home Volatility Alert

KB Home currently demonstrates below average downside deviation of 2.07. It has Information Ratio of 0.12 and Jensen Alpha of 0.26. However, we do advice investors to further question KB Home expected returns to make sure all indicators are consistent with the current outlook about its relatively low value at risk.
    
 Better Than Average     
    
 Worse Than Average Compare KB Home to competition

KB Home Fundamental Vs Peers

FundamentalsKB HomePeer Average
Return On Equity12.74% (0.31)%
Return On Asset4.43% (0.14)%
Profit Margin5.94% (1.27)%
Operating Margin8.37% (5.51)%
Current Valuation4.04B16.62B
Shares Outstanding86.96M571.82M
Shares Owned by Insiders11.69% 10.09%
Shares Owned by Institutions91.68% 39.21%
Number of Shares Shorted3.89M4.71M
Price to Earning10.64X28.72X
Price to Book1.08X9.51X
Price to Sales0.54X11.42X
Revenue4.41B9.43B
Gross Profit835.53M27.38B
EBITDA369.08M3.9B
Net Income260.32M570.98M
Cash and Equivalents178.88M2.7B
Cash per Share2.03X5.01X
Total Debt1.85B5.32B
Debt to Equity84.40% 48.70%
Current Ratio3.81X2.16X
Book Value Per Share24.88X1.93K
Cash Flow from Operations(106.56M)971.22M
Short Ratio2.65X4.00X
Earnings Per Share2.52X3.12X
Price to Earnings To Growth1.49X4.89X
Number of Employees2K18.84K
Beta1.24-0.15
Market Capitalization2.37B19.03B
Total Asset5.13B29.47B
Retained Earnings727.67M9.33B
Working Capital3.93B1.48B
Current Asset4.23B9.34B
   Acquisition by Silk Thomas S of 5000 shares of KB Home subject to Rule 16b-3 [view details]
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