Forestar Group price target raised to $41 from $40 at BTIG

BTIG analyst Carl Reichardt raised the firm’s price target on Forestar Group to $41 from $40 and keeps a Buy rating on the shares after its results. The company’s Q1 earnings beat was driven by higher lot sales revenue and better gross margin, though partially offset by slightly higher SG&A to sales than the firm modeled, the analyst tells investors in a research note. BTIG maintains that the Forestar story is unappreciated by the Street, with a significant opportunity to gain market share in a fragmented and undercapitalized yet critical segment of the housing ecosystem – land development.