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D.R. Horton (DHI) Laps the Stock Market: Here's Why
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D.R. Horton (DHI - Free Report) closed at $150.24 in the latest trading session, marking a +1.1% move from the prior day. The stock exceeded the S&P 500, which registered a gain of 0.59% for the day. Elsewhere, the Dow saw an upswing of 0.68%, while the tech-heavy Nasdaq appreciated by 0.66%.
The the stock of homebuilder has risen by 15.73% in the past month, leading the Construction sector's gain of 13.44% and the S&P 500's gain of 5.16%.
Investors will be eagerly watching for the performance of D.R. Horton in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on January 23, 2024. In that report, analysts expect D.R. Horton to post earnings of $2.86 per share. This would mark year-over-year growth of 3.62%. Meanwhile, the latest consensus estimate predicts the revenue to be $7.61 billion, indicating a 4.79% increase compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $14.18 per share and revenue of $36.33 billion, which would represent changes of +2.6% and +2.45%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for D.R. Horton. 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 demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.37% lower. D.R. Horton presently features a Zacks Rank of #3 (Hold).
In terms of valuation, D.R. Horton is currently trading at a Forward P/E ratio of 10.48. This valuation marks a premium compared to its industry's average Forward P/E of 9.9.
We can additionally observe that DHI currently boasts a PEG ratio of 0.86. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The average PEG ratio for the Building Products - Home Builders industry stood at 0.86 at the close of the market yesterday.
The Building Products - Home Builders industry is part of the Construction sector. This industry currently has a Zacks Industry Rank of 52, which puts it in the top 21% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming 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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D.R. Horton (DHI) Laps the Stock Market: Here's Why
D.R. Horton (DHI - Free Report) closed at $150.24 in the latest trading session, marking a +1.1% move from the prior day. The stock exceeded the S&P 500, which registered a gain of 0.59% for the day. Elsewhere, the Dow saw an upswing of 0.68%, while the tech-heavy Nasdaq appreciated by 0.66%.
The the stock of homebuilder has risen by 15.73% in the past month, leading the Construction sector's gain of 13.44% and the S&P 500's gain of 5.16%.
Investors will be eagerly watching for the performance of D.R. Horton in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on January 23, 2024. In that report, analysts expect D.R. Horton to post earnings of $2.86 per share. This would mark year-over-year growth of 3.62%. Meanwhile, the latest consensus estimate predicts the revenue to be $7.61 billion, indicating a 4.79% increase compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $14.18 per share and revenue of $36.33 billion, which would represent changes of +2.6% and +2.45%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for D.R. Horton. 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 demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.37% lower. D.R. Horton presently features a Zacks Rank of #3 (Hold).
In terms of valuation, D.R. Horton is currently trading at a Forward P/E ratio of 10.48. This valuation marks a premium compared to its industry's average Forward P/E of 9.9.
We can additionally observe that DHI currently boasts a PEG ratio of 0.86. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The average PEG ratio for the Building Products - Home Builders industry stood at 0.86 at the close of the market yesterday.
The Building Products - Home Builders industry is part of the Construction sector. This industry currently has a Zacks Industry Rank of 52, which puts it in the top 21% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming 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.