NEW YORK (TheStreet) -- Shares of LGI Homes (LGIH - Get Report) are dropping 6.18% to $27.77 on heavy trading volume on Tuesday afternoon after the company posted lower-than-expected revenue for the 2016 first quarter.

Before the opening bell, the Woodlands, TX-based homebuilder reported revenue of $162.5 million, below analysts' expectations of $167.6 million.

Earnings of 57 cents per diluted share topped Wall Street's estimates of 52 cents per share.

Home closings jumped 25.8% to 844 compared to 671 during the same period last year.

Revenue from home sales rose 34.6% to $162.5 million year-over-year.

So far today, about 1.4 million of LGI Homes' shares were traded today vs. its average volume of 391,291 shares per day.

Separately, TheStreet Ratings Team has a "Hold" rating with a score of C- on the stock.

The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and impressive record of earnings per share growth.

However, the team also finds weaknesses including generally higher debt management risk, weak operating cash flow and poor profit margins.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

You can view the full analysis from the report here: LGIH