Stock drops over 4% as company misses sales and earnings estimates
- Beazer Homes reports cybersecurity ‘incident’ that delayed home closings
- Stock drops over 4% after missing sales and earnings estimates
- First-quarter revenue of $387 million, down from $445 million in the previous year
- Net new orders grew significantly compared to the previous year
- Cybersecurity issue occurred in December and affected a title-insurer provider
- Delayed closings were completed in January and operations have returned to normal
Beazer Homes USA Inc. experienced a cybersecurity ‘incident’ that resulted in delayed closings of some new homes at the end of last year. This led to a drop in the company’s stock by over 4% after reporting lower-than-expected first-quarter revenue of $387 million, compared to $445 million in the previous year. Despite the decline, Beazer Homes saw significant growth in net new orders. The cybersecurity issue occurred in December and affected one of its title-insurer providers. However, all delayed closings were completed in January and operations have returned to normal.
Public Companies: Beazer Homes USA Inc. (BZH)
Private Companies:
Key People: Allan P. Merrill (Chief Executive)
Factuality Level: 7
Justification: The article provides information about Beazer Homes’ cybersecurity incident and its impact on the company’s revenue and earnings. It includes specific details such as the decline in homebuilding revenue and the company’s net new orders growth. However, it lacks further information about the cybersecurity issue and its implications.
Noise Level: 3
Justification: The article provides some relevant information about Beazer Homes’ cybersecurity incident and its impact on revenue. However, it lacks in-depth analysis, evidence, and actionable insights. The article also includes unrelated information about the company’s stock performance and the S&P 500 index, which is not directly related to the cybersecurity incident.
Financial Relevance: Yes
Financial Markets Impacted: The article pertains to Beazer Homes USA Inc., a homebuilder company. The company’s stock dropped more than 4% after reporting lower revenue in the fiscal first quarter.
Presence of Extreme Event: No
Nature of Extreme Event: No
Impact Rating of the Extreme Event: No
Justification: The article discusses the financial performance of Beazer Homes USA Inc. and a cybersecurity incident that delayed home closings. While there is no extreme event mentioned, the financial markets were impacted by the company’s lower revenue and stock drop.
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