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Why D.R. Horton (DHI) Outpaced the Stock Market Today
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D.R. Horton (DHI - Free Report) closed the latest trading day at $146.10, indicating a +0.67% change from the previous session's end. This move outpaced the S&P 500's daily gain of 0.04%. On the other hand, the Dow registered a gain of 0.16%, and the technology-centric Nasdaq decreased by 0.28%.
Heading into today, shares of the homebuilder had gained 2.51% over the past month, lagging the Construction sector's gain of 4.74% and the S&P 500's gain of 5.01% in that time.
The investment community will be closely monitoring the performance of D.R. Horton in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $3.09, reflecting a 13.19% increase from the same quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $8.29 billion, up 3.98% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $14.19 per share and a revenue of $36.64 billion, demonstrating changes of +2.68% and +3.33%, respectively, from the preceding year.
Investors might also notice recent changes to analyst estimates for D.R. Horton. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.14% higher. Right now, D.R. Horton possesses a Zacks Rank of #3 (Hold).
Looking at valuation, D.R. Horton is presently trading at a Forward P/E ratio of 10.23. This valuation marks a premium compared to its industry's average Forward P/E of 8.98.
It is also worth noting that DHI currently has a PEG ratio of 0.82. 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 was holding an average PEG ratio of 0.82 at yesterday's closing price.
The Building Products - Home Builders industry is part of the Construction sector. At present, this industry carries a Zacks Industry Rank of 15, placing it within the top 6% of over 250 industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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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Why D.R. Horton (DHI) Outpaced the Stock Market Today
D.R. Horton (DHI - Free Report) closed the latest trading day at $146.10, indicating a +0.67% change from the previous session's end. This move outpaced the S&P 500's daily gain of 0.04%. On the other hand, the Dow registered a gain of 0.16%, and the technology-centric Nasdaq decreased by 0.28%.
Heading into today, shares of the homebuilder had gained 2.51% over the past month, lagging the Construction sector's gain of 4.74% and the S&P 500's gain of 5.01% in that time.
The investment community will be closely monitoring the performance of D.R. Horton in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $3.09, reflecting a 13.19% increase from the same quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $8.29 billion, up 3.98% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $14.19 per share and a revenue of $36.64 billion, demonstrating changes of +2.68% and +3.33%, respectively, from the preceding year.
Investors might also notice recent changes to analyst estimates for D.R. Horton. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.14% higher. Right now, D.R. Horton possesses a Zacks Rank of #3 (Hold).
Looking at valuation, D.R. Horton is presently trading at a Forward P/E ratio of 10.23. This valuation marks a premium compared to its industry's average Forward P/E of 8.98.
It is also worth noting that DHI currently has a PEG ratio of 0.82. 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 was holding an average PEG ratio of 0.82 at yesterday's closing price.
The Building Products - Home Builders industry is part of the Construction sector. At present, this industry carries a Zacks Industry Rank of 15, placing it within the top 6% of over 250 industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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.