Smith Douglas Homes (NYSE:SDHC) Reaches New 1-Year Low – What’s Next?

Smith Douglas Homes Corp. (NYSE:SDHC) shares reached a new 52-week low during mid-day trading on Wednesday. The stock traded as low as $9.71 and last traded at $9.95, with a volume of 22,044 shares traded. The stock had previously closed at $10.20.

Analyst Upgrades and Downgrades

Several analysts recently commented on the stock. Royal Bank Of Canada cut their price objective on shares of Smith Douglas Homes from $15.00 to $10.00 and set a “sector perform” rating on the stock in a research report on Thursday, October 15th. Wells Fargo & Company reduced their price objective on shares of Smith Douglas Homes from $14.00 to $10.00 and set an “equal weight” rating for the company in a research note on Friday, October 16th. Finally, Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Smith Douglas Homes in a report on Thursday, October 15th. One investment analyst has rated the stock with a Buy rating, seven have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Hold” and a consensus target price of $11.38.

Smith Douglas Homes Stock Down 5.8%

The stock has a market capitalization of $488.48 million, a PE ratio of 13.35 and a beta of 0.87. The firm’s fifty day moving average price is $10.55 and its two-hundred day moving average price is $13.59.

Smith Douglas Homes (NYSE:SDHC) last posted its earnings results on Wednesday, November 4th. The company reported $0.29 earnings per share for the quarter, beating analysts’ consensus estimates of $0.09 by $0.20. The company had revenue of $262.51 million for the quarter, compared to the consensus estimate of $283.13 million. Smith Douglas Homes had a negative return on equity of 0.19% and a net margin of 0.64%. As a group, analysts predict that Smith Douglas Homes Corp. will post 0.25 EPS for the current year.

Hedge Funds Weigh In On Smith Douglas Homes

A number of institutional investors have recently bought and sold shares of SDHC. Ruane Cunniff & Goldfarb L.P. grew its holdings in Smith Douglas Homes by 18.7% during the first quarter. Ruane Cunniff & Goldfarb L.P. now owns 14,490 shares of the company’s stock valued at $185,000 after purchasing an additional 2,281 shares during the period. Squarepoint Ops LLC lifted its position in shares of Smith Douglas Homes by 37.1% during the 2nd quarter. Squarepoint Ops LLC now owns 31,818 shares of the company’s stock valued at $494,000 after buying an additional 8,606 shares in the last quarter. Hsbc Holdings PLC bought a new position in shares of Smith Douglas Homes during the 1st quarter valued at approximately $168,000. Integrity Alliance LLC. bought a new position in shares of Smith Douglas Homes during the 3rd quarter valued at approximately $158,000. Finally, Dimensional Fund Advisors LP purchased a new stake in Smith Douglas Homes in the 1st quarter worth approximately $324,000.

Smith Douglas Homes Company Profile

Smith Douglas Homes, Inc is a residential homebuilder that designs, constructs and sells primarily single-family homes. The company serves a range of buyers, including first-time purchasers, move-up buyers and others seeking newly built homes in planned communities.

Its business activities include acquiring and developing residential land, planning communities, building homes and providing customers with selections of floor plans, finishes and other design options. Smith Douglas Homes generally offers homes at accessible price points across a variety of suburban and exurban settings.

Founded in 2008, the company operates in markets across the southeastern United States, including communities in Georgia, Alabama, Tennessee, North Carolina and Kentucky.