American Homes 4 Rent (NYSE:AMH) Shares Down 7.4% – What’s Next?

American Homes 4 Rent (NYSE:AMH)’s stock price was down 7.4% on Wednesday . The stock traded as low as $28.85 and last traded at $29.9930. Approximately 6,461,807 shares traded hands during trading, an increase of 63% from the average daily volume of 3,954,738 shares. The stock had previously closed at $32.40.

Wall Street Analyst Weigh In

A number of equities analysts have recently issued reports on AMH shares. Wolfe Research raised American Homes 4 Rent from a “peer perform” rating to an “outperform” rating and set a $38.00 price target on the stock in a research report on Thursday, October 2nd. Morgan Stanley decreased their price target on American Homes 4 Rent from $41.00 to $40.00 and set an “overweight” rating for the company in a research note on Thursday, November 13th. Keefe, Bruyette & Woods raised American Homes 4 Rent from a “market perform” rating to an “outperform” rating and set a $37.00 target price on the stock in a research report on Monday, December 15th. Scotiabank reduced their price target on shares of American Homes 4 Rent from $41.00 to $35.00 and set a “sector perform” rating for the company in a research report on Monday, November 10th. Finally, Wells Fargo & Company decreased their price objective on American Homes 4 Rent from $38.00 to $37.00 and set an “overweight” rating for the company in a report on Tuesday, November 25th. Nine analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $38.14.

American Homes 4 Rent Trading Down 2.8%

The company has a quick ratio of 0.41, a current ratio of 0.41 and a debt-to-equity ratio of 0.62. The company’s 50-day moving average price is $31.73 and its 200-day moving average price is $33.55. The firm has a market cap of $11.69 billion, a price-to-earnings ratio of 26.72, a price-to-earnings-growth ratio of 2.81 and a beta of 0.79.

American Homes 4 Rent (NYSE:AMH) last posted its quarterly earnings data on Wednesday, October 29th. The real estate investment trust reported $0.47 EPS for the quarter, beating the consensus estimate of $0.46 by $0.01. The firm had revenue of $478.46 million during the quarter, compared to the consensus estimate of $475.75 million. American Homes 4 Rent had a return on equity of 5.90% and a net margin of 24.70%.The firm’s revenue was up 7.5% compared to the same quarter last year. During the same period in the prior year, the company earned $0.44 EPS. American Homes 4 Rent has set its FY 2025 guidance at 1.860-1.88 EPS. Equities analysts expect that American Homes 4 Rent will post 1.85 EPS for the current fiscal year.

American Homes 4 Rent Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, December 31st. Investors of record on Monday, December 15th were issued a $0.30 dividend. This represents a $1.20 annualized dividend and a dividend yield of 3.8%. The ex-dividend date of this dividend was Monday, December 15th. American Homes 4 Rent’s dividend payout ratio (DPR) is currently 101.69%.

Insider Buying and Selling at American Homes 4 Rent

In related news, Director Jack E. Corrigan purchased 5,000 shares of American Homes 4 Rent stock in a transaction dated Tuesday, December 9th. The shares were acquired at an average price of $22.96 per share, for a total transaction of $114,800.00. Following the acquisition, the director directly owned 17,300 shares in the company, valued at approximately $397,208. The trade was a 40.65% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Douglas N. Benham bought 1,000 shares of American Homes 4 Rent stock in a transaction on Wednesday, November 19th. The shares were purchased at an average cost of $31.65 per share, for a total transaction of $31,650.00. Following the completion of the purchase, the director directly owned 7,991 shares of the company’s stock, valued at $252,915.15. This trade represents a 14.30% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. 6.01% of the stock is owned by insiders.

Hedge Funds Weigh In On American Homes 4 Rent

Several large investors have recently made changes to their positions in AMH. Norges Bank purchased a new position in shares of American Homes 4 Rent in the second quarter valued at approximately $796,706,000. Lasalle Investment Management Securities LLC increased its holdings in American Homes 4 Rent by 76.1% in the third quarter. Lasalle Investment Management Securities LLC now owns 2,888,809 shares of the real estate investment trust’s stock valued at $96,053,000 after buying an additional 1,248,131 shares during the last quarter. Cbre Investment Management Listed Real Assets LLC increased its holdings in shares of American Homes 4 Rent by 102.9% in the 3rd quarter. Cbre Investment Management Listed Real Assets LLC now owns 2,372,586 shares of the real estate investment trust’s stock valued at $78,888,000 after acquiring an additional 1,203,093 shares during the last quarter. Centersquare Investment Management LLC raised its holdings in American Homes 4 Rent by 25.9% during the third quarter. Centersquare Investment Management LLC now owns 5,271,280 shares of the real estate investment trust’s stock worth $175,270,000 after purchasing an additional 1,082,972 shares in the last quarter. Finally, First Trust Advisors LP raised its stake in American Homes 4 Rent by 2,035.9% during the 2nd quarter. First Trust Advisors LP now owns 1,129,609 shares of the real estate investment trust’s stock worth $40,745,000 after acquiring an additional 1,076,722 shares in the last quarter. 91.87% of the stock is currently owned by institutional investors and hedge funds.

About American Homes 4 Rent

American Homes 4 Rent (NYSE: AMH) is a publicly traded real estate investment trust (REIT) specializing in the acquisition, development and management of single-family rental homes. Since its initial public offering in April 2013, the company has focused on building a large-scale, professionally managed portfolio of homes designed to meet the needs of today’s renters. Its business model emphasizes the acquisition of well-located properties coupled with consistent, in-house property management to drive occupancy and long-term value.

As of the most recent reporting, American Homes 4 Rent owns and operates tens of thousands of homes across the United States, with concentration in key Sun Belt and high-growth markets.