Home builder and mortgage banking company NVR Inc. NVR, +5.58% reported third-quarter profit that missed expectations while revenue beat, as new orders fell but prices increased. Net income rose to $411.4 million, or $118.51 a share, from $332.1 million, or $86.44 a share, in the year-ago period. The FactSet consensus for earnings per share was $121.71. Revenue grew 17.2% to $2.74 billion, above the FactSet consensus of $2.59 billion. New orders dropped 15.0% to 4,421 units, while the average sales price of new orders rose 3% to $453,400. The cancellation rate increased to 15% from 9% a year ago. Settlements increased 5% to 5,949 units, and the average settlement price rose 12% to $460,500. The stock, which was still inactive in premarket trading, has lost 9.4% over the past three months, while the iShares U.S. Home Construction ETF ITB, +5.12% has dropped 11.0% and the S&P 500 SPX, +1.29% has declined 4.3%.
