PulteGroup (PHM) Rises As Market Takes a Dip: Key Facts
PulteGroup (PHM) closed the most recent trading day at $92.46, moving +1.69% from the previous trading session. This change outpaced the S&P 500's 0.39% loss on the day. On the other hand, the Dow registered a loss of 0.19%, and the technology-centric Nasdaq decreased by 0.59%.
The homebuilder's stock has climbed by 10.84% in the past month, exceeding the Construction sector's gain of 8.8% and the S&P 500's gain of 5.08%.
Market participants will be closely following the financial results of PulteGroup in its upcoming release. On that day, PulteGroup is projected to report earnings of $3.20 per share, which would represent a year-over-year decline of 11.85%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.48 billion, down 13.36% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $11.52 per share and a revenue of $16.25 billion, demonstrating changes of +6.67% and +0.12%, respectively, from the preceding year.
Investors should also note any recent changes to analyst estimates 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 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.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.33% higher. As of now, PulteGroup holds a Zacks Rank of #3 (Hold).
In terms of valuation, PulteGroup is currently trading at a Forward P/E ratio of 7.89. This signifies a discount in comparison to the average Forward P/E of 9 for its industry.
It's also important to note that PHM currently trades at a PEG ratio of 0.26. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Building Products - Home Builders industry had an average PEG ratio of 0.73 as trading concluded yesterday.
The Building Products - Home Builders industry is part of the Construction sector. This industry currently has a Zacks Industry Rank of 92, which puts it in the top 37% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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PulteGroup, Inc. (PHM) : Free Stock Analysis Report
