BTIG Downgrades Invitation Homes

Fintel reports that on August 17, 2023, BTIG downgraded their outlook for Invitation Homes (NYSE:INVH) from Buy to Neutral.

Analyst Price Forecast Suggests 11.05% Upside

As of August 2, 2023, the average one-year price target for Invitation Homes is 37.84. The forecasts range from a low of 33.33 to a high of $43.05. The average price target represents an increase of 11.05% from its latest reported closing price of 34.07.

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

The projected annual revenue for Invitation Homes is 2,447MM, an increase of 5.11%. The projected annual non-GAAP EPS is 0.70.

Invitation Homes Declares $0.26 Dividend

On July 21, 2023 the company declared a regular quarterly dividend of $0.26 per share ($1.04 annualized). Shareholders of record as of August 8, 2023 will receive the payment on August 25, 2023. Previously, the company paid $0.26 per share.

At the current share price of $34.07 / share, the stock’s dividend yield is 3.05%.

Looking back five years and taking a sample every week, the average dividend yield has been 2.20%, the lowest has been 1.51%, and the highest has been 3.72%. The standard deviation of yields is 0.46 (n=236).

The current dividend yield is 1.87 standard deviations above the historical average.

Additionally, the company’s dividend payout ratio is 1.45. 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 0.73%, demonstrating that it has increased its dividend over time.

What is the Fund Sentiment?

There are 1107 funds or institutions reporting positions in Invitation Homes. This is an increase of 34 owner(s) or 3.17% in the last quarter. Average portfolio weight of all funds dedicated to INVH is 0.46%, a decrease of 0.42%. Total shares owned by institutions decreased in the last three months by 0.94% to 679,613K shares. The put/call ratio of INVH is 0.66, indicating a bullish outlook.

What are Other Shareholders Doing?

Cohen & Steers holds 80,482K shares representing 13.15% ownership of the company. In it’s prior filing, the firm reported owning 82,765K shares, representing a decrease of 2.84%. The firm increased its portfolio allocation in INVH by 4.45% over the last quarter.

VGSIX – Vanguard Real Estate Index Fund Investor Shares holds 26,870K shares representing 4.39% ownership of the company. In it’s prior filing, the firm reported owning 27,221K shares, representing a decrease of 1.30%. The firm increased its portfolio allocation in INVH by 12.31% over the last quarter.

Principal Financial Group holds 20,638K shares representing 3.37% ownership of the company. In it’s prior filing, the firm reported owning 20,789K shares, representing a decrease of 0.73%. The firm increased its portfolio allocation in INVH by 4.54% over the last quarter.

VTSMX – Vanguard Total Stock Market Index Fund Investor Shares holds 18,925K shares representing 3.09% ownership of the company. In it’s prior filing, the firm reported owning 18,575K shares, representing an increase of 1.85%. The firm decreased its portfolio allocation in INVH by 0.88% over the last quarter.

APG Asset Management US holds 17,235K shares representing 2.82% ownership of the company. In it’s prior filing, the firm reported owning 17,236K shares, representing a decrease of 0.00%. The firm increased its portfolio allocation in INVH by 7.76% over the last quarter.

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

Invitation Homes is the nation’s premier single-family home leasing company, meeting changing lifestyle demands by providing access to high-quality, updated homes with valued features such as close proximity to jobs and access to good schools. The Company’s mission, ‘Together with you, it makes a house a home,’ reflects its commitment to providing homes where individuals and families can thrive and high-touch service that continuously enhances residents’ living experiences.

This article originally appeared on Fintel