PulteGroup (PHM) Gains As Market Dips: What You Should Know
In the latest trading session, PulteGroup (PHM) closed at $51.07, marking a +0.65% move from the previous day. This change outpaced the S&P 500's 0.2% loss on the day. Elsewhere, the Dow lost 1.14%, while the tech-heavy Nasdaq added 1.39%.
Heading into today, shares of the homebuilder had gained 12.56% over the past month, outpacing the Construction sector's gain of 6.31% and the S&P 500's gain of 4.01% in that time.
PulteGroup will be looking to display strength as it nears its next earnings release, which is expected to be January 31, 2023. On that day, PulteGroup is projected to report earnings of $2.87 per share, which would represent year-over-year growth of 14.34%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.6 billion, up 5.62% from the year-ago period.
Any recent changes to analyst estimates for PulteGroup should also be noted by investors. 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.09% lower within the past month. PulteGroup is currently a Zacks Rank #4 (Sell).
Digging into valuation, PulteGroup currently has a Forward P/E ratio of 7.28. This represents a discount compared to its industry's average Forward P/E of 7.4.
The Building Products - Home Builders industry is part of the Construction sector. This group has a Zacks Industry Rank of 232, putting it in the bottom 8% 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.
To follow PHM in the coming trading sessions, be sure to utilize Zacks.com.
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PulteGroup, Inc. (PHM) : Free Stock Analysis Report
