M.D.C. Holdings, Inc. (NYSE:MDC) Sees Large Increase in Short Interest

Share on StockTwits

M.D.C. Holdings, Inc. (NYSE:MDC) was the target of a large increase in short interest in the month of August. As of August 15th, there was short interest totalling 2,036,500 shares, an increase of 35.0% from the July 15th total of 1,508,300 shares. Approximately 4.2% of the shares of the company are short sold. Based on an average daily trading volume, of 437,000 shares, the short-interest ratio is presently 4.7 days.

In other M.D.C. news, Director David Siegel sold 23,523 shares of the stock in a transaction on Tuesday, August 20th. The shares were sold at an average price of $36.83, for a total value of $866,352.09. Following the completion of the sale, the director now directly owns 45,273 shares of the company’s stock, valued at approximately $1,667,404.59. The sale was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, Chairman Larry A. Mizel sold 45,000 shares of the stock in a transaction on Friday, June 14th. The shares were sold at an average price of $33.51, for a total transaction of $1,507,950.00. Following the completion of the sale, the chairman now directly owns 170,958 shares of the company’s stock, valued at $5,728,802.58. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 136,395 shares of company stock valued at $4,712,137. 26.30% of the stock is owned by insiders.

Several hedge funds have recently made changes to their positions in MDC. Atria Investments LLC bought a new position in shares of M.D.C. in the 2nd quarter valued at about $834,000. BlackRock Inc. boosted its stake in shares of M.D.C. by 6.5% in the 2nd quarter. BlackRock Inc. now owns 8,894,057 shares of the construction company’s stock valued at $291,547,000 after purchasing an additional 539,112 shares during the last quarter. Intrinsic Edge Capital Management LLC bought a new position in shares of M.D.C. in the 2nd quarter valued at about $5,069,000. Royal Bank of Canada boosted its stake in shares of M.D.C. by 119.9% in the 2nd quarter. Royal Bank of Canada now owns 58,433 shares of the construction company’s stock valued at $1,915,000 after purchasing an additional 31,865 shares during the last quarter. Finally, United Services Automobile Association boosted its stake in shares of M.D.C. by 48.9% in the 2nd quarter. United Services Automobile Association now owns 18,386 shares of the construction company’s stock valued at $603,000 after purchasing an additional 6,042 shares during the last quarter. Institutional investors own 76.49% of the company’s stock.

M.D.C. stock traded down $0.22 during mid-day trading on Tuesday, reaching $36.62. The company had a trading volume of 224,639 shares, compared to its average volume of 409,991. M.D.C. has a 52 week low of $25.14 and a 52 week high of $37.86. The firm has a market cap of $2.29 billion, a price-to-earnings ratio of 10.01, a PEG ratio of 1.25 and a beta of 1.13. The company has a quick ratio of 2.19, a current ratio of 9.12 and a debt-to-equity ratio of 0.66. The company has a 50 day moving average of $36.68 and a 200-day moving average of $32.35.

M.D.C. (NYSE:MDC) last announced its quarterly earnings data on Wednesday, July 31st. The construction company reported $0.86 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.78 by $0.08. M.D.C. had a net margin of 6.64% and a return on equity of 13.24%. The company had revenue of $732.84 million during the quarter, compared to analysts’ expectations of $727.20 million. During the same quarter in the prior year, the company posted $1.03 EPS. The business’s revenue was down 2.2% on a year-over-year basis. On average, analysts predict that M.D.C. will post 3.51 earnings per share for the current fiscal year.

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, August 21st. Stockholders of record on Wednesday, August 7th were paid a $0.30 dividend. This represents a $1.20 dividend on an annualized basis and a dividend yield of 3.28%. The ex-dividend date was Tuesday, August 6th. M.D.C.’s dividend payout ratio is 32.70%.

A number of brokerages have weighed in on MDC. Zacks Investment Research raised shares of M.D.C. from a “hold” rating to a “strong-buy” rating and set a $42.00 price target for the company in a report on Wednesday, July 10th. Wedbush increased their price target on shares of M.D.C. from $30.00 to $35.00 and gave the company a “neutral” rating in a report on Thursday, August 1st. ValuEngine downgraded shares of M.D.C. from a “buy” rating to a “hold” rating in a report on Thursday, August 1st. Finally, JPMorgan Chase & Co. raised shares of M.D.C. from an “underweight” rating to a “neutral” rating in a report on Monday, July 8th. Three research analysts have rated the stock with a hold rating, two have given a buy rating and one has given a strong buy rating to the company’s stock. M.D.C. has a consensus rating of “Buy” and an average price target of $34.80.

About M.D.C.

M.DC Holdings, Inc, through its subsidiaries, engages in the homebuilding and financial service businesses. Its homebuilding operations include purchasing finished lots or developing lots for the construction and sale primarily of single-family detached homes to first-time and first-time move-up homebuyers under the Richmond American Homes name.

Further Reading: What is the price-sales ratio?

Receive News & Ratings for M.D.C. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for M.D.C. and related companies with MarketBeat.com's FREE daily email newsletter.