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M/I Homes (MHO) Gains As Market Dips: What You Should Know

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In the latest trading session, M/I Homes (MHO - Free Report) closed at $155.55, marking a +0.47% move from the previous day. This change outpaced the S&P 500's 0.16% loss on the day. On the other hand, the Dow registered a gain of 0.09%, and the technology-centric Nasdaq decreased by 0.3%.

Coming into today, shares of the homebuilder had gained 5.47% in the past month. In that same time, the Construction sector gained 1.53%, while the S&P 500 gained 3.64%.

The upcoming earnings release of M/I Homes will be of great interest to investors. In that report, analysts expect M/I Homes to post earnings of $4.94 per share. This would mark year-over-year growth of 2.49%. Alongside, our most recent consensus estimate is anticipating revenue of $1.13 billion, indicating a 7.71% upward movement from the same quarter last year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $19.76 per share and a revenue of $4.42 billion, representing changes of +21.9% and +9.59%, respectively, from the prior year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for M/I Homes. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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, there's been a 0.95% rise in the Zacks Consensus EPS estimate. As of now, M/I Homes holds a Zacks Rank of #1 (Strong Buy).

In terms of valuation, M/I Homes is presently being traded at a Forward P/E ratio of 7.84. This signifies a discount in comparison to the average Forward P/E of 9.59 for its industry.

The Building Products - Home Builders industry is part of the Construction sector. With its current Zacks Industry Rank of 18, this industry ranks in the top 8% of all industries, numbering over 250.

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.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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