PulteGroup (PHM) Rises Higher Than Market: Key Facts
PulteGroup (PHM) closed at $103.93 in the latest trading session, marking a +0.73% move from the prior day. The stock exceeded the S&P 500, which registered a gain of 0.14% for the day. On the other hand, the Dow registered a gain of 0.3%, and the technology-centric Nasdaq increased by 0.16%.
The homebuilder's stock has climbed by 17.8% in the past month, exceeding the Construction sector's gain of 14.08% and the S&P 500's gain of 4.89%.
The investment community will be closely monitoring the performance of PulteGroup in its forthcoming earnings report. The company is scheduled to release its earnings on January 30, 2024. The company's earnings per share (EPS) are projected to be $3.20, reflecting a 11.85% decrease from the same quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $4.48 billion, down 13.36% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $11.49 per share and revenue of $16.25 billion, indicating changes of +6.39% and +0.12%, respectively, compared to the previous year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for PulteGroup. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Right now, PulteGroup possesses a Zacks Rank of #2 (Buy).
In terms of valuation, PulteGroup is presently being traded at a Forward P/E ratio of 8.98. This represents a discount compared to its industry's average Forward P/E of 10.31.
We can also see that PHM currently has a PEG ratio of 0.3. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Building Products - Home Builders industry had an average PEG ratio of 0.87 as trading concluded yesterday.
The Building Products - Home Builders industry is part of the Construction sector. This industry, currently bearing a Zacks Industry Rank of 69, finds itself in the top 28% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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PulteGroup, Inc. (PHM) : Free Stock Analysis Report
