Royal Bank Of Canada Has Lowered Expectations for KB Home (NYSE:KBH) Stock Price

KB Home (NYSE:KBH) had its price objective decreased by Royal Bank Of Canada from $54.00 to $53.00 in a report issued on Wednesday,Benzinga reports. The firm currently has a “sector perform” rating on the construction company’s stock. Royal Bank Of Canada’s target price would indicate a potential upside of 6.23% from the stock’s previous close.

KBH has been the subject of a number of other reports. Weiss Ratings restated a “hold (c+)” rating on shares of KB Home in a report on Thursday, January 22nd. Zacks Research lowered shares of KB Home from a “hold” rating to a “strong sell” rating in a research note on Tuesday, December 23rd. Barclays reduced their price target on shares of KB Home from $62.00 to $56.00 and set an “overweight” rating on the stock in a research report on Wednesday. Citizens Jmp began coverage on shares of KB Home in a report on Tuesday. They issued an “outperform” rating and a $77.00 price objective for the company. Finally, Bank of America cut their target price on shares of KB Home from $63.00 to $56.00 and set a “neutral” rating on the stock in a research note on Wednesday. Three analysts have rated the stock with a Buy rating, ten have given a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat, KB Home currently has a consensus rating of “Hold” and an average price target of $61.92.

KB Home Trading Down 5.8%

KB Home stock traded down $3.05 during trading on Wednesday, hitting $49.89. The company had a trading volume of 394,357 shares, compared to its average volume of 1,127,190. The stock has a market cap of $3.15 billion, a price-to-earnings ratio of 10.22, a price-to-earnings-growth ratio of 7.07 and a beta of 1.47. The company has a current ratio of 5.77, a quick ratio of 0.53 and a debt-to-equity ratio of 0.43. KB Home has a 1-year low of $48.90 and a 1-year high of $68.71. The company’s 50 day simple moving average is $59.74 and its 200-day simple moving average is $61.07.

KB Home (NYSE:KBH) last released its quarterly earnings results on Tuesday, March 24th. The construction company reported $0.52 EPS for the quarter, missing analysts’ consensus estimates of $0.53 by ($0.01). KB Home had a return on equity of 11.40% and a net margin of 6.88%.The firm had revenue of $1.08 billion for the quarter, compared to analyst estimates of $1.10 billion. During the same quarter last year, the company earned $1.49 earnings per share. The firm’s revenue for the quarter was down 22.6% on a year-over-year basis. As a group, analysts expect that KB Home will post 8.42 EPS for the current fiscal year.

Institutional Trading of KB Home

A number of hedge funds and other institutional investors have recently bought and sold shares of KBH. First Horizon Corp boosted its holdings in shares of KB Home by 178.9% in the fourth quarter. First Horizon Corp now owns 502 shares of the construction company’s stock valued at $28,000 after acquiring an additional 322 shares during the period. Parkside Financial Bank & Trust increased its holdings in shares of KB Home by 73.1% in the 4th quarter. Parkside Financial Bank & Trust now owns 592 shares of the construction company’s stock valued at $33,000 after acquiring an additional 250 shares during the period. Fulcrum Asset Management LLP purchased a new stake in KB Home in the 3rd quarter valued at $36,000. Aventura Private Wealth LLC purchased a new stake in KB Home in the 4th quarter valued at $46,000. Finally, Rothschild Investment LLC boosted its stake in KB Home by 391.0% during the 4th quarter. Rothschild Investment LLC now owns 820 shares of the construction company’s stock worth $46,000 after purchasing an additional 653 shares during the period. 96.09% of the stock is currently owned by institutional investors and hedge funds.

Key Stories Impacting KB Home

Here are the key news stories impacting KB Home this week:

• Positive Sentiment: Citizens Jmp initiated coverage with an Outperform rating and a $77 price target, signaling a bullish view and sizeable upside versus current levels. Citizens Initiates Coverage of KB Home (KBH) with Market Outperform Recommendation
• Positive Sentiment: KB Home repurchased $50.0M of common stock in the quarter, a shareholder-friendly action that supports EPS and signals confidence from management. KB HOME REPORTS 2026 FIRST QUARTER RESULTS
• Positive Sentiment: Management outlined a shift to ~70% built-to-order deliveries to improve H2 2026 margins — a strategic move to bolster profitability if demand stabilizes. Kb Home outlines shift to 70-percent built-to-order deliveries for stronger H2 2026 margins
• Neutral Sentiment: Company published Q1 press release, slide deck and call transcript detailing results: revenue down ~22–23% YoY, EPS ~$0.52 and operational detail on orders and backlog — useful for modeling but not market-moving by itself. View Press Release / Slide Deck
• Neutral Sentiment: Analyst initiation and commentary (e.g., Jim Cramer mentions) are drawing attention but are mixed in tone — keep an eye on follow-through from institutional coverage. Jim Cramer’s Mad Money Recap
• Negative Sentiment: KB Home cut full-year guidance, citing that Middle East war-related instability is already deterring some prospective buyers — a direct reason management flagged for weaker near-term demand. KB Home says the war is already hurting home sales as it cuts guidance
• Negative Sentiment: Q1 results disappointed on revenue and EPS vs. some expectations (revenue ~$1.08B, EPS $0.52; revenues down ~23% YoY), prompting immediate selling pressure. KB Home Stock Sinks After Q1 Revenues Fall 23%
• Negative Sentiment: Bank of America cut its price target to $56 and set a Neutral/Hold stance, trimming upside assumptions; Wells Fargo maintained a Sell with a $50 target — analyst downgrades/target cuts are pressuring sentiment. KB Home price target lowered by Bank of America KB Home: Weaker Results…Justify Sell Rating

About KB Home

KB Home is an American homebuilding company headquartered in Los Angeles, California. Founded in 1957, it was among the first homebuilders to go public, offering investors access to one of the nation’s largest residential construction platforms. The company is structured to serve a broad spectrum of homebuyers, with a particular focus on first-time, first move-up and active adult segments. As a public company trading on the New York Stock Exchange under the symbol KBH, KB Home draws on decades of experience in land acquisition, construction and community planning.

At its core, KB Home designs and constructs single-family detached and attached homes, townhomes and condominium units.