Zacks Research Issues Negative Outlook for KB Home Earnings

KB Home (NYSE:KBH) – Equities researchers at Zacks Research cut their Q3 2025 earnings per share estimates for shares of KB Home in a report released on Monday, January 27th. Zacks Research analyst S. Mukherjee now forecasts that the construction company will earn $2.32 per share for the quarter, down from their prior estimate of $2.40. The consensus estimate for KB Home’s current full-year earnings is $8.50 per share. Zacks Research also issued estimates for KB Home’s Q4 2025 earnings at $2.55 EPS, FY2025 earnings at $8.72 EPS, Q1 2026 earnings at $1.89 EPS, Q3 2026 earnings at $2.60 EPS, Q4 2026 earnings at $2.89 EPS and FY2026 earnings at $9.82 EPS.

KB Home (NYSE:KBH) last posted its quarterly earnings results on Monday, January 13th. The construction company reported $2.52 earnings per share for the quarter, topping the consensus estimate of $2.44 by $0.08. The business had revenue of $2 billion during the quarter, compared to the consensus estimate of $1.99 billion. KB Home had a return on equity of 16.46% and a net margin of 9.45%. The firm’s revenue for the quarter was up 19.5% compared to the same quarter last year. During the same period in the prior year, the company posted $1.85 EPS.

A number of other research firms have also weighed in on KBH. Evercore ISI raised their target price on shares of KB Home from $88.00 to $95.00 and gave the company an “outperform” rating in a report on Tuesday, January 14th. Bank of America reduced their target price on shares of KB Home from $76.00 to $71.00 and set a “neutral” rating on the stock in a report on Monday. Raymond James reaffirmed an “outperform” rating and issued a $80.00 price target (down previously from $93.00) on shares of KB Home in a report on Tuesday, January 21st. Wells Fargo & Company reduced their price objective on KB Home from $70.00 to $65.00 and set an “underweight” rating on the stock in a research note on Tuesday. Finally, Keefe, Bruyette & Woods dropped their target price on KB Home from $85.00 to $76.00 and set a “market perform” rating for the company in a report on Friday, January 17th. Two equities research analysts have rated the stock with a sell rating, nine have assigned a hold rating and three have given a buy rating to the company. According to data from MarketBeat, KB Home currently has a consensus rating of “Hold” and an average price target of $76.21.

KB Home Trading Down 1.8 %

Shares of KB Home stock opened at $67.15 on Thursday. The firm has a market cap of $4.92 billion, a PE ratio of 7.93, a PEG ratio of 0.93 and a beta of 1.86. The stock has a 50 day moving average of $71.27 and a 200 day moving average of $77.98. KB Home has a 12 month low of $58.15 and a 12 month high of $89.70.

Institutional Investors Weigh In On KB Home

Hedge funds have recently made changes to their positions in the stock. Barclays PLC boosted its holdings in shares of KB Home by 24.5% in the 3rd quarter. Barclays PLC now owns 196,229 shares of the construction company’s stock valued at $16,816,000 after buying an additional 38,638 shares in the last quarter. Charles Schwab Investment Management Inc. grew its holdings in KB Home by 22.1% in the third quarter. Charles Schwab Investment Management Inc. now owns 906,236 shares of the construction company’s stock worth $77,655,000 after purchasing an additional 164,010 shares during the last quarter. Neo Ivy Capital Management purchased a new stake in shares of KB Home during the 3rd quarter valued at $956,000. Cerity Partners LLC boosted its position in shares of KB Home by 24.7% in the 3rd quarter. Cerity Partners LLC now owns 38,742 shares of the construction company’s stock worth $3,320,000 after purchasing an additional 7,679 shares in the last quarter. Finally, Citigroup Inc. grew its stake in KB Home by 62.1% during the 3rd quarter. Citigroup Inc. now owns 107,051 shares of the construction company’s stock worth $9,173,000 after buying an additional 40,992 shares during the last quarter. 96.09% of the stock is currently owned by hedge funds and other institutional investors.

KB Home Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, February 20th. Stockholders of record on Thursday, February 6th will be issued a $0.25 dividend. The ex-dividend date is Thursday, February 6th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 1.49%. KB Home’s dividend payout ratio is presently 11.81%.

KB Home Company Profile

KB Home operates as a homebuilding company in the United States. It operates through four segments: West Coast, Southwest, Central, and Southeast. It builds and sells various homes, including attached and detached single-family residential homes, townhomes, and condominiums primarily for first-time, first move-up, second move-up, and active adult homebuyers.