Rafe Jadrosich, an analyst from Bank of America Securities, reiterated the Hold rating on KB Home. The associated price target was lowered to $56.00.
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Rafe Jadrosich has given his Hold rating due to a combination of factors, including KB Home’s softer near‑term performance and outlook. First‑quarter earnings slightly missed expectations, full‑year delivery and revenue guidance was cut, and near‑term margins and SG&A leverage are set to deteriorate, leading him to reduce 2026 EPS forecasts and lower his price objective.
At the same time, he sees offsetting positives that support, but do not warrant exceeding, a Neutral stance. KB Home is progressing on its build‑to‑order strategy, which should lift margins in the second half, is shortening cycle times, and continues share repurchases, yet the stock’s discount to book value is viewed as appropriate given a sub‑7% projected ROE and a less favorable delivery backdrop.
In another report released today, TipRanks – Anthropic also reiterated a Hold rating on the stock with a $56.00 price target.
KBH’s price has also changed moderately for the past six months – from $62.380 to $52.940, which is a -15.13% drop .