KB Home price target lowered to $58 from $62 at BofA

BofA lowered the firm’s price target on KB Home (KBH) to $58 from $62 and keeps a Neutral rating on the shares. The firm notes the company reported Q4 adjusted EPS of $1.92, above consensus of $1.80. BofA remains on the sidelines and points out that shares trade below book value, which it thinks is justified by its outlook for 2026 ROE of roughly less than 8%. This corrects a prior note with an incorrect price target