NVR (NYSE:NVR) to Buyback $750.00 million in Outstanding Stock

NVR (NYSE:NVR) announced that its board has authorized a stock buyback program on Tuesday, May 7th, RTT News reports. The company plans to buyback $750.00 million in shares. This buyback authorization permits the construction company to reacquire up to 3.1% of its shares through open market purchases. Shares buyback programs are typically an indication that the company’s management believes its stock is undervalued.

Analyst Upgrades and Downgrades

A number of research firms recently commented on NVR. StockNews.com upgraded NVR from a “hold” rating to a “buy” rating in a research report on Wednesday, April 24th. UBS Group increased their target price on NVR from $7,600.00 to $8,175.00 and gave the stock a “neutral” rating in a report on Wednesday, April 24th.

NVR Price Performance

Shares of NVR stock traded up $95.91 during trading hours on Thursday, reaching $7,670.91. 16,588 shares of the company were exchanged, compared to its average volume of 18,960. The company has a debt-to-equity ratio of 0.21, a current ratio of 6.52 and a quick ratio of 3.97. The company has a market cap of $24.30 billion, a price-to-earnings ratio of 15.76, a P/E/G ratio of 3.20 and a beta of 1.13. The stock’s fifty day moving average is $7,750.05 and its two-hundred day moving average is $7,079.95. NVR has a fifty-two week low of $5,210.49 and a fifty-two week high of $8,211.40.

NVR (NYSE:NVR) last posted its quarterly earnings data on Tuesday, April 23rd. The construction company reported $116.41 earnings per share (EPS) for the quarter, topping the consensus estimate of $103.97 by $12.44. The firm had revenue of $2.29 billion for the quarter, compared to the consensus estimate of $2.25 billion. NVR had a return on equity of 38.54% and a net margin of 17.33%. The business’s revenue for the quarter was up 7.3% compared to the same quarter last year. During the same quarter in the prior year, the business earned $99.89 EPS. Sell-side analysts forecast that NVR will post 487.53 earnings per share for the current fiscal year.

Insider Activity at NVR

In related news, Director William Grady Rosier sold 600 shares of the business’s stock in a transaction that occurred on Wednesday, May 8th. The shares were sold at an average price of $7,665.63, for a total transaction of $4,599,378.00. Following the completion of the sale, the director now directly owns 1,701 shares of the company’s stock, valued at $13,039,236.63. The transaction was disclosed in a legal filing with the SEC, which is available at this link. In other news, Chairman Paul C. Saville sold 300 shares of the business’s stock in a transaction dated Friday, February 9th. The stock was sold at an average price of $7,443.82, for a total transaction of $2,233,146.00. Following the completion of the transaction, the chairman now directly owns 106,860 shares in the company, valued at approximately $795,446,605.20. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, Director William Grady Rosier sold 600 shares of NVR stock in a transaction that occurred on Wednesday, May 8th. The stock was sold at an average price of $7,665.63, for a total transaction of $4,599,378.00. Following the transaction, the director now directly owns 1,701 shares in the company, valued at approximately $13,039,236.63. The disclosure for this sale can be found here. Insiders have sold a total of 6,102 shares of company stock worth $45,905,870 over the last 90 days. Insiders own 7.00% of the company’s stock.

About NVR

NVR, Inc operates as a homebuilder in the United States. The company operates through, Homebuilding and Mortgage Banking segments. It engages in the construction and sale of single-family detached homes, townhomes, and condominium buildings under the Ryan Homes, NVHomes, and Heartland Homes names. The company markets its Ryan Homes products to first-time and first-time move-up buyers; and NVHomes and Heartland Homes products to move-up and luxury buyers.