David I. Goldberg, the Senior Vice President and Chief Financial Officer of Beazer Homes USA Inc . (NYSE:BZH), reported a significant transaction involving the company's stock. According to a recent SEC filing, Goldberg sold a total of 6,057 shares of common stock on November 12, 2024. The shares were sold at a price of $32.06 each, resulting in a total transaction value of approximately $194,187.
In addition to the sales, Goldberg acquired 10,903 shares through the vesting of a performance share award, which were added to his direct ownership. Following these transactions, Goldberg now holds 131,004 shares directly and 1,185 shares indirectly, jointly with Susan S. Goldberg.
In other recent news, Beazer Homes USA, Inc. reported robust fourth quarter results, surpassing analyst estimates with earnings per share of $1.69 and revenue of $783.8 million. The company delivered 1,496 homes in Q4, marking a 21.3% YoY increase, while the average selling price saw a modest rise of 0.7% to $523,900. Despite these positive figures, the gross margin did experience a decline to 17.2% from 21.2% due to increased costs and incentives.
CEO Allan P. Merrill highlighted strong Q4 and full-year results, noting a surge in October sales by over 30% YoY, driven by higher community count and improved sales pace. Looking ahead, Beazer anticipates further community count expansion to propel revenue growth and double-digit return on capital employed by 2025.
Recent developments also include a 2.6% rise in net new orders to 1,029 homes in Q4, despite an increased cancellation rate of 21.9% from 16.5% last year. The company's backlog stood at 1,482 homes valued at $797.2 million as of end of September, maintaining a strong liquidity position with $503.9 million available at quarter-end, including $203.9 million in cash.
InvestingPro Insights
The recent stock transaction by Beazer Homes USA Inc.'s CFO David I. Goldberg occurs against a backdrop of mixed financial indicators for the company. According to InvestingPro data, Beazer Homes has a market capitalization of $948.27 million and is trading at a relatively low price-to-earnings ratio of 6.67, suggesting potential undervaluation.
InvestingPro Tips highlight that Beazer Homes operates with a significant debt burden and is quickly burning through cash. These factors may have influenced the timing of Goldberg's stock sale. Despite these challenges, the company has shown a strong return over the last three months, with a price total return of 15.09% as of the latest data.
It's worth noting that while Beazer Homes has been profitable over the last twelve months, with a diluted EPS of $4.63, the company does not pay a dividend to shareholders. This could be a strategic decision to reinvest profits or manage its debt load.
For investors seeking a more comprehensive analysis, InvestingPro offers 11 additional tips for Beazer Homes USA Inc., providing a deeper understanding of the company's financial health and market position.
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