KB Home (KBH) traded on unusually high volume on Jan. 10, as the stock lost 4.46% to close at $21.00. On the day, KB Home saw 4.82 million shares trade hands on 30,822 trades. Considering that the stock averages only a daily volume of 1.65 million shares a day over the last month, this represents a pretty significant bump in volume over the norm.
Generally speaking, when a stock experiences a sudden spike in trading volume, it may be seen as a bullish signal for investors. An increase in volume means more market awareness for the company, potentially setting up a more meaningful move in stock price. The added volume also provides a level of support and stability for price advances.
The stock has traded between $38.80 and $16.82 over the last 52-weeks, its 50-day SMA is now $20.20, and its 200-day SMA $24.23. KB Home has a P/B ratio of 0.92. It also has a P/E ratio of 15.
KB Home is an American construction company that focuses on residential construction. The company builds single-family homes and communities across Arizona, California, Colorado, Florida, Nevada, Texas, North Carolina, and the Washington, D.C., area. KB Home operates in over 36 markets and primarily focuses on first-time and move-up homebuyers. The company follows a built-to-order model that offers personalized homes at attainable prices based on market location. KB Home generates the largest share of its revenue from the West Coast, followed by the central U.S. and the Southeast. The company also invests in land acquisition and development to support future building activities.
Headquartered in Los Angeles, CA, KB Home has 1,915 employees and is currently under the leadership of CEO Jeffrey T. Mezger.