DHI

Don't Buy D.R. Horton (DHI) Before Checking Its Fundamentals!

Large-cap consumer discretionary company D.R. Horton has moved 1.6% this afternoon, reaching $138.56 per share. In contrast, the average analyst target price for the stock is $143.8.

D.R. Horton, Inc. operates as a homebuilding company in East, North, Southeast, South Central, Southwest, and Northwest regions in the United States. The company is based in the United States. D.R. Horton currently returns an annual dividend yield of 0.7%.

What to Consider if You Are Thinking of Buying D.R. Horton:

  • D.R. Horton has moved 59.8% over the last year.

  • DHI has a forward P/E ratio of 9.1 based on its EPS guidance of 15.2.

  • Over the last 6 years, earnings per share (EPS) have been growing at a compounded average rate of 24.0%.

  • The company has a price to earnings growth (PEG) ratio of 1.83.

  • Its Price to Book (P/B) ratio is 2.04

D.R. Horton Has Irregular Cash Flows

Date Reported Cash Flow from Operations ($ k) Capital expenditures ($ k) Free Cash Flow ($ k) YoY Growth (%)
2023 4,304,100 148,600 4,155,500 904.71
2022 561,800 148,200 413,600 14.73
2021 534,400 173,900 360,500 -70.72
2020 1,421,600 190,300 1,231,300 60.98
2019 892,100 127,200 764,900 61.03
2018 545,200 70,200 475,000

D.R. Horton's free cash flows have a decent average of $1.23 Billion over the last 6 years, but they are highly variable since their coefficient of variability is 247.76%. The compounded average growth rate over this period is 29.8%.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.

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