Bryan Smith, the Chief Operating Officer of American Homes 4 Rent (NYSE:AMH), recently sold 40,000 shares of the company's Class A Common Stock. The shares were sold at an average price of $37.80 per share, totaling approximately $1.51 million. The transaction occurred as AMH trades near $37.57, with a market capitalization of $15.82 billion. According to InvestingPro analysis, the company maintains a healthy financial profile with a GOOD overall health score. Following this transaction, Smith retains ownership of 125,580 shares, which includes 43,670 restricted share units.
In a related transaction, Smith exercised stock options to acquire 40,000 shares at a price of $14 per share, resulting in a total value of $560,000. These transactions were disclosed in a recent SEC filing.
In other recent news, American Homes 4 Rent has issued $500 million in senior notes as part of its capital management strategy, adding to its total debt position of $4.53 billion. The company has shown significant financial growth, reporting a 4.4% increase in year-over-year revenue and a 5.4% increase in core net operating income. These recent developments were influenced by the company's strategy to secure long-term financing and further invest in its portfolio of single-family rental homes.
Investment firm Evercore ISI upgraded American Homes 4 Rent from "In Line" to "Outperform," suggesting a potential return of approximately 16%. This upgrade was prompted by expectations that high mortgage rates will continue to fuel demand for single-family rentals, potentially increasing the company's pricing power. However, Keefe, Bruyette & Woods adjusted the price target for American Homes 4 Rent to $38 from the previous $39, while maintaining a Market Perform rating on the stock.
American Homes 4 Rent's development program is set to deliver 2,300 homes this year, having already acquired 1,700 homes for $480 million, with a projected 6% net operating income. Despite challenges such as hurricane impacts, the company reported net income of $73.8 million, or $0.20 per diluted share, and revised its 2024 guidance to include core funds from operations of $1.77 per share.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.