Analysts at Deutsche Bank initiated coverage on shares of UCP (NYSE:UCP) in a research report issued to clients and investors on Monday, TheFlyOnTheWall.com reports. The firm set a “hold” rating on the stock.
The analysts wrote, “UCP likely has the most impressive land vintage chart of any public homebuilder, with 83% of lots purchased or controlled between 2008-11. This land pipeline should support UCP’s ability to grow through the housing recovery; however, investor recognition of this land pipeline’s value is based on profitability, which for UCP is going to develop slowly. UCP’s larger, more development intensive projects demand a careful buildout; also management is taking a studied approach to growing as a builder. Over our 12-month price target horizon we think this limits positive earnings catalysts; accordingly we initiate coverage with a Hold rating and a $15 price target.”
UCP (NYSE:UCP) traded up 0.58% on Monday, hitting $13.77. UCP has a 52-week low of $13.08 and a 52-week high of $15.17. The stock’s 50-day moving average is currently $13.95. The company has a market cap of $106.7 million and a price-to-earnings ratio of 31.76.