On April 10, 2023 at 12:39:27 ET an unusually large $584.96K block of Call contracts in PulteGroup (PHM) was sold, with a strike price of $55.00 / share, expiring in 102 days (on July 21, 2023). Fintel tracks all large options trades, and the premium spent on this trade was 2.63 sigmas above the mean, placing it in the 100.00 percentile of all recent large trades made in PHM options.

This trade was first picked up on Fintel’s real time Unusual Option Trades tool, where unusual option trades are highlighted.

Analyst Price Forecast Suggests 16.24% Upside

As of April 6, 2023, the average one-year price target for PulteGroup is $67.24. The forecasts range from a low of $54.54 to a high of $87.15. The average price target represents an increase of 16.24% from its latest reported closing price of $57.84.

See our leaderboard of companies with the largest price target upside.

The projected annual revenue for PulteGroup is $14,216MM, a decrease of 12.40%. The projected annual non-GAAP EPS is $7.34.

What is the Fund Sentiment?

There are 1400 funds or institutions reporting positions in PulteGroup. This is an increase of 20 owner(s) or 1.45% in the last quarter. Average portfolio weight of all funds dedicated to PHM is 0.23%, an increase of 6.15%. Total shares owned by institutions decreased in the last three months by 0.18% to 235,739K shares. The put/call ratio of PHM is 2.61, indicating a bearish outlook.

What are Large Shareholders Doing?

Putnam Investments holds 9,603K shares representing 4.28% ownership of the company. In it’s prior filing, the firm reported owning 9,182K shares, representing an increase of 4.39%. The firm increased its portfolio allocation in PHM by 16.57% over the last quarter.

VTSMX – Vanguard Total Stock Market Index Fund Investor Shares holds 6,909K shares representing 3.08% ownership of the company. In it’s prior filing, the firm reported owning 6,903K shares, representing an increase of 0.09%. The firm increased its portfolio allocation in PHM by 12.22% over the last quarter.

PEYAX – PUTNAM EQUITY INCOME FUND Shares holds 6,135K shares representing 2.74% ownership of the company. In it’s prior filing, the firm reported owning 5,184K shares, representing an increase of 15.51%. The firm increased its portfolio allocation in PHM by 58.15% over the last quarter.

Harris Associates L P holds 5,946K shares representing 2.65% ownership of the company. In it’s prior filing, the firm reported owning 5,950K shares, representing a decrease of 0.08%. The firm increased its portfolio allocation in PHM by 14.17% over the last quarter.

OAKMX – Oakmark Fund Investor Class holds 5,654K shares representing 2.52% ownership of the company. No change in the last quarter.

PulteGroup Declares $0.16 Dividend

On February 1, 2023 the company declared a regular quarterly dividend of $0.16 per share ($0.64 annualized). Shareholders of record as of March 20, 2023 received the payment on April 4, 2023. Previously, the company paid $0.16 per share.

At the current share price of $57.84 / share, the stock’s dividend yield is 1.11%. Looking back five years and taking a sample every week, the average dividend yield has been 1.30%, the lowest has been 0.90%, and the highest has been 2.71%. The standard deviation of yields is 0.24 (n=237).

The current dividend yield is 0.81 standard deviations below the historical average.

Additionally, the company’s dividend payout ratio is 0.05. The payout ratio tells us how much of a company’s income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company’s income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend – not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.

The company’s 3-Year dividend growth rate is 0.33%, demonstrating that it has increased its dividend over time.

PulteGroup Background Information
(This description is provided by the company.)

PulteGroup, Inc., based in Atlanta, Georgia, is one of America’s largest homebuilding companies with operations in more than 40 markets throughout the country. Through its brand portfolio that includes Centex, Pulte Homes, Del Webb, DiVosta Homes, American West and John Wieland Homes and Neighborhoods, the company is one of the industry’s most versatile homebuilders able to meet the needs of multiple buyer groups and respond to changing consumer demand. PulteGroup’s purpose is building incredible places where people can live their dreams.

This article originally appeared on Fintel

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