Marcus & Millichap Inc (MMI) Major Shareholder Phoenix Investments Holdings L Sells 3,000 Shares

Marcus & Millichap Inc (NYSE:MMI) major shareholder Phoenix Investments Holdings L sold 3,000 shares of Marcus & Millichap stock in a transaction that occurred on Monday, July 30th. The shares were sold at an average price of $40.27, for a total transaction of $120,810.00. Following the completion of the transaction, the insider now directly owns 16,532,215 shares in the company, valued at approximately $665,752,298.05. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Major shareholders that own more than 10% of a company’s shares are required to disclose their sales and purchases with the SEC.

Phoenix Investments Holdings L also recently made the following trade(s):

Get Marcus & Millichap alerts: On Friday, July 27th, Phoenix Investments Holdings L sold 8,000 shares of Marcus & Millichap stock. The shares were sold at an average price of $40.68, for a total transaction of $325,440.00. On Wednesday, July 25th, Phoenix Investments Holdings L sold 50,000 shares of Marcus & Millichap stock. The shares were sold at an average price of $40.51, for a total transaction of $2,025,500.00. On Monday, July 23rd, Phoenix Investments Holdings L sold 27,300 shares of Marcus & Millichap stock. The stock was sold at an average price of $40.11, for a total transaction of $1,095,003.00. On Wednesday, July 18th, Phoenix Investments Holdings L sold 123,425 shares of Marcus & Millichap stock. The stock was sold at an average price of $40.53, for a total transaction of $5,002,415.25. On Thursday, June 14th, Phoenix Investments Holdings L sold 50,000 shares of Marcus & Millichap stock. The stock was sold at an average price of $38.32, for a total transaction of $1,916,000.00. On Tuesday, June 12th, Phoenix Investments Holdings L sold 90,303 shares of Marcus & Millichap stock. The stock was sold at an average price of $38.52, for a total transaction of $3,478,471.56. On Thursday, June 7th, Phoenix Investments Holdings L sold 114,624 shares of Marcus & Millichap stock. The stock was sold at an average price of $38.19, for a total transaction of $4,377,490.56. On Friday, June 1st, Phoenix Investments Holdings L sold 7,029 shares of Marcus & Millichap stock. The stock was sold at an average price of $37.17, for a total transaction of $261,267.93. On Monday, June 4th, Phoenix Investments Holdings L sold 86,056 shares of Marcus & Millichap stock. The stock was sold at an average price of $37.45, for a total transaction of $3,222,797.20. On Wednesday, May 30th, Phoenix Investments Holdings L sold 108,500 shares of Marcus & Millichap stock. The stock was sold at an average price of $37.78, for a total transaction of $4,099,130.00.

Shares of Marcus & Millichap opened at $39.90 on Thursday, MarketBeat reports. The firm has a market capitalization of $1.55 billion, a PE ratio of 24.63, a P/E/G ratio of 3.29 and a beta of 1.32. The company has a debt-to-equity ratio of 0.02, a quick ratio of 6.40 and a current ratio of 6.40. Marcus & Millichap Inc has a 1 year low of $24.34 and a 1 year high of $41.45.

Marcus & Millichap (NYSE:MMI) last posted its quarterly earnings results on Tuesday, May 8th. The real estate investment trust reported $0.46 earnings per share for the quarter, topping the Zacks’ consensus estimate of $0.38 by $0.08. Marcus & Millichap had a net margin of 7.76% and a return on equity of 22.22%. The firm had revenue of $174.54 million for the quarter, compared to the consensus estimate of $160.85 million. During the same quarter in the previous year, the company earned $0.31 earnings per share. The business’s revenue was up 13.9% compared to the same quarter last year. sell-side analysts anticipate that Marcus & Millichap Inc will post 2.04 earnings per share for the current year.

A number of institutional investors and hedge funds have recently bought and sold shares of the business. Advisor Group Inc. boosted its stake in Marcus & Millichap by 98.1% during the fourth quarter. Advisor Group Inc. now owns 3,368 shares of the real estate investment trust’s stock worth $110,000 after buying an additional 1,668 shares in the last quarter. Swiss National Bank boosted its stake in Marcus & Millichap by 6.0% during the first quarter. Swiss National Bank now owns 29,900 shares of the real estate investment trust’s stock worth $1,078,000 after buying an additional 1,700 shares in the last quarter. Bank of New York Mellon Corp boosted its stake in Marcus & Millichap by 1.2% during the fourth quarter. Bank of New York Mellon Corp now owns 151,564 shares of the real estate investment trust’s stock worth $4,942,000 after buying an additional 1,850 shares in the last quarter. Russell Investments Group Ltd. boosted its stake in Marcus & Millichap by 6.3% during the first quarter. Russell Investments Group Ltd. now owns 35,276 shares of the real estate investment trust’s stock worth $1,272,000 after buying an additional 2,083 shares in the last quarter. Finally, US Bancorp DE boosted its stake in Marcus & Millichap by 36.4% during the first quarter. US Bancorp DE now owns 8,842 shares of the real estate investment trust’s stock worth $319,000 after buying an additional 2,358 shares in the last quarter. Hedge funds and other institutional investors own 46.42% of the company’s stock.

Several equities research analysts have recently issued reports on the stock. Citigroup raised their price objective on shares of Marcus & Millichap to $46.00 and gave the stock a “buy” rating in a research note on Monday, July 2nd. Zacks Investment Research upgraded shares of Marcus & Millichap from a “hold” rating to a “buy” rating and set a $45.00 price objective on the stock in a research note on Tuesday, June 26th. Two equities research analysts have rated the stock with a hold rating and four have assigned a buy rating to the company. Marcus & Millichap currently has a consensus rating of “Buy” and an average price target of $42.67.

Marcus & Millichap Company Profile

Marcus & Millichap, Inc, a brokerage firm, provides investment brokerage and financing services to sellers and buyers of commercial real estate in the United States and Canada. The company offers commercial real estate investment sales, financing, research, and advisory services for multifamily, retail, office, and industrial properties, as well as hospitality, self-storage, seniors housing, land, and manufactured housing properties.

Recommended Story: Short Selling

Here's Why Owens Corning Fell as Much as 14% Today

What happened

Shares of Owens Corning (NYSE:OC) dropped as much as 14% today after the company announced second-quarter 2018 earnings. The manufacturer of roofing materials, building insulation, and composites delivered a relatively solid performance compared to the year-ago period, with revenue up 14% and net income up 26%.

Despite strong year-over-year growth, quarterly earnings per share of $1.09 fell well below Wall Street's expectations for $1.45, according to data compiled by Yahoo! Finance. As of 1:43 p.m. EDT, the stock had settled to a 10.1% loss. Shares have now lost 36% of their value since the beginning of the year.

Image source: Getty Images.

So what

The business isn't necessarily going off the rails, as the stock price might suggest. Rather, Owens Corning is simply facing higher materials costs in 2018 than it has in recent years. Rising crude oil prices are likely the main culprit, especially considering that the roofing segment (dependent on asphalt prices) saw the largest decline in operating margin.

It appears that Wall Street analysts did not factor that into their financial estimates for the business. Consider that the average of all analyst estimates called for second-quarter 2018 EPS of $1.45 and revenue of $1.86 billion. While Owens Corning missed the top-line expectation by less than 2%, it delivered EPS that was 25% lower than expected. The difference in earnings is entirely explained by gross margin.

In the second quarter of 2017, the business enjoyed a gross margin of 25.5%, compared to only 22.9% in the most recent quarter. Although small, the difference cost Owens Corning about $45 million in gross profit in the second quarter of 2018. It turns out that the difference between $1.45 in expected EPS and the $1.09 in actual EPS is $40 million in net income.

Now what

Shares of Owens Corning just can't catch a break from Wall Street lately. While management admits the business is facing higher material costs, the expectation is for the business to pick up momentum in the second half of 2018 and carry that forward into 2019. In fact, the company could capture up to 72% of all earnings before income taxes for the year in the back half of 2018 (when home construction and maintenance peaks). Simply put, instead of panicking with the rest of the market, investors might consider giving this building stock a closer look.