D.R. Horton (DHI) Stock Sinks As Market Gains: What You Should Know
D.R. Horton (DHI) closed the most recent trading day at $87.04, moving -0.32% from the previous trading session. This change lagged the S&P 500's 0.15% gain on the day.
Prior to today's trading, shares of the homebuilder had lost 8.61% over the past month. This has lagged the Construction sector's loss of 2.07% and the S&P 500's loss of 0.58% in that time.
Wall Street will be looking for positivity from DHI as it approaches its next earnings report date. In that report, analysts expect DHI to post earnings of $3.49 per share. This would mark year-over-year growth of 55.8%. Meanwhile, our latest consensus estimate is calling for revenue of $7.82 billion, up 22.16% from the prior-year quarter.
DHI's full-year Zacks Consensus Estimates are calling for earnings of $11.22 per share and revenue of $27.16 billion. These results would represent year-over-year changes of +75.04% and +33.72%, respectively.
Investors might also notice recent changes to analyst estimates for DHI. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.25% lower. DHI is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, DHI currently has a Forward P/E ratio of 7.78. This represents a premium compared to its industry's average Forward P/E of 6.6.
Meanwhile, DHI's PEG ratio is currently 0.86. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. DHI's industry had an average PEG ratio of 0.86 as of yesterday's close.
The Building Products - Home Builders industry is part of the Construction sector. This industry currently has a Zacks Industry Rank of 99, which puts it in the top 39% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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D.R. Horton, Inc. (DHI) : Free Stock Analysis Report
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