Smith Douglas Homes (NYSE:SDHC) Hits New 12-Month High on Better-Than-Expected Earnings

Smith Douglas Homes Corp. (NYSE:SDHC) reached a new 52-week high on Wednesday following a stronger than expected earnings report. The company traded as high as $35.62 and last traded at $35.62, with a volume of 7027 shares traded. The stock had previously closed at $32.56.

The company reported $0.40 earnings per share for the quarter, topping analysts’ consensus estimates of $0.37 by $0.03. The firm had revenue of $220.90 million for the quarter, compared to the consensus estimate of $208.02 million. The business’s quarterly revenue was up 21.7% on a year-over-year basis.

Wall Street Analysts Forecast Growth

A number of research firms have commented on SDHC. Royal Bank of Canada reiterated a “sector perform” rating and issued a $26.00 price target on shares of Smith Douglas Homes in a research report on Thursday. Wells Fargo & Company upped their price target on Smith Douglas Homes from $25.00 to $35.00 and gave the company an “equal weight” rating in a research report on Thursday. Bank of America upped their price target on Smith Douglas Homes from $30.00 to $36.00 and gave the company a “neutral” rating in a research report on Thursday. Finally, Wedbush reissued a “neutral” rating and issued a $20.00 price objective on shares of Smith Douglas Homes in a research note on Wednesday. Five analysts have rated the stock with a hold rating and one has issued a buy rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and an average price target of $29.70.

Institutional Investors Weigh In On Smith Douglas Homes

A number of large investors have recently added to or reduced their stakes in the company. Marshall Wace LLP raised its position in Smith Douglas Homes by 17.0% during the second quarter. Marshall Wace LLP now owns 89,770 shares of the company’s stock valued at $2,099,000 after purchasing an additional 13,036 shares in the last quarter. Sei Investments Co. grew its stake in shares of Smith Douglas Homes by 39.4% during the second quarter. Sei Investments Co. now owns 47,629 shares of the company’s stock valued at $1,114,000 after buying an additional 13,451 shares during the last quarter. Renaissance Technologies LLC grew its stake in shares of Smith Douglas Homes by 260.2% during the second quarter. Renaissance Technologies LLC now owns 33,500 shares of the company’s stock valued at $783,000 after buying an additional 24,200 shares during the last quarter. Massachusetts Financial Services Co. MA grew its stake in shares of Smith Douglas Homes by 1.9% during the second quarter. Massachusetts Financial Services Co. MA now owns 450,193 shares of the company’s stock valued at $10,526,000 after buying an additional 8,193 shares during the last quarter. Finally, Federated Hermes Inc. grew its stake in shares of Smith Douglas Homes by 5.5% during the second quarter. Federated Hermes Inc. now owns 527,300 shares of the company’s stock valued at $12,328,000 after buying an additional 27,300 shares during the last quarter.

Smith Douglas Homes Stock Performance

The stock has a 50 day moving average price of $26.74 and a 200-day moving average price of $27.74.

Smith Douglas Homes Company Profile

Smith Douglas Homes Corp., together with its subsidiaries, engages in the design, construction, and sale of single-family homes in the southeastern United States. It also provides closing, escrow, and title insurance services. The company sells its products to entry-level and empty-nest homebuyers. Smith Douglas Homes Corp.