We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
PulteGroup Uses Virtual Reality to Enhance Buying Experience
Read MoreHide Full Article
In order to enhance the buying experience, PulteGroup, Inc. (PHM - Free Report) employs a virtual reality technology to help consumers select a home.
The technology will enable interested homeowners to take a virtual tour of houses, see the different features and see “how the individual spaces work together within a plan.”
PulteGroup employed virtual reality, specifically keeping in mind tech-savvy millennials, one of the fastest growing consumer groups in housing. Millennials, born after 1980, are anticipated to continue to make up a large and growing portion of the buyer section, although many disagree with this. This is due to the fact that millennials occupy the largest adult generation and make up the greatest percentage of the workforce.
According to the 2017 National Association of Realtors Home Buyer and Seller Generational Trends study, millennials account for 34% of all buyers and make up for the largest share of home buyers.
In the beginning of 2017, the company tested different virtual reality platforms which proved to be successful. PulteGroup has now set up a virtual sales center in Parkside at Mason Mill, Atlanta where “consumers can take themselves through a self-guided tour using a gaming controller to view the floor plan on a large screen television.”
Apart from focusing on such technology-driven initiatives, PulteGroup is trying to improve its operating and financial performance. These initiatives include improving overhead leverage, increasing inventory turns and implementing new pricing strategies. These initiatives have helped PulteGroup drive growth. Notably, home sale revenues rose 12.2% year over year in the last reported quarter.
As part of its cost-reduction program, PulteGroup made significant workforce reductions and curtailed overhead costs and inventory. Moreover, aggressive debt repayment due to improved financial position has lowered its interest costs. The company is also adjusting contents of its homes and is building smaller floor plans to bring down construction costs.
Meanwhile, shares of PulteGroup have gained 42.7% year to date, outperforming the 30.8% gain of the industry to which it belongs. Estimates for the current year and next have remained stable over the last 30 days.
Zacks Rank & Stocks to Consider
PulteGroup currently carries a Zacks Rank #3 (Hold).
NVR and M/I Homes carry a Zacks Rank #2 (Buy). NVR is expected to witness 33.9% growth in 2017 earnings while M/I Homes is likely to see a 37.1% rise.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.
Image: Bigstock
PulteGroup Uses Virtual Reality to Enhance Buying Experience
In order to enhance the buying experience, PulteGroup, Inc. (PHM - Free Report) employs a virtual reality technology to help consumers select a home.
The technology will enable interested homeowners to take a virtual tour of houses, see the different features and see “how the individual spaces work together within a plan.”
PulteGroup employed virtual reality, specifically keeping in mind tech-savvy millennials, one of the fastest growing consumer groups in housing. Millennials, born after 1980, are anticipated to continue to make up a large and growing portion of the buyer section, although many disagree with this. This is due to the fact that millennials occupy the largest adult generation and make up the greatest percentage of the workforce.
According to the 2017 National Association of Realtors Home Buyer and Seller Generational Trends study, millennials account for 34% of all buyers and make up for the largest share of home buyers.
In the beginning of 2017, the company tested different virtual reality platforms which proved to be successful. PulteGroup has now set up a virtual sales center in Parkside at Mason Mill, Atlanta where “consumers can take themselves through a self-guided tour using a gaming controller to view the floor plan on a large screen television.”
Apart from focusing on such technology-driven initiatives, PulteGroup is trying to improve its operating and financial performance. These initiatives include improving overhead leverage, increasing inventory turns and implementing new pricing strategies. These initiatives have helped PulteGroup drive growth. Notably, home sale revenues rose 12.2% year over year in the last reported quarter.
As part of its cost-reduction program, PulteGroup made significant workforce reductions and curtailed overhead costs and inventory. Moreover, aggressive debt repayment due to improved financial position has lowered its interest costs. The company is also adjusting contents of its homes and is building smaller floor plans to bring down construction costs.
Meanwhile, shares of PulteGroup have gained 42.7% year to date, outperforming the 30.8% gain of the industry to which it belongs. Estimates for the current year and next have remained stable over the last 30 days.
Zacks Rank & Stocks to Consider
PulteGroup currently carries a Zacks Rank #3 (Hold).
A few better-ranked stocks in the industry include Beazer Homes USA, Inc. (BZH - Free Report) , NVR, Inc. (NVR - Free Report) and M/I Homes, Inc. (MHO - Free Report) .
Beazer, a Zacks Rank #1 (Strong Buy) stock, surpassed earnings in two of the past four quarters, the average beat being 103.5%. You can see the complete list of today’s Zacks #1 Rank stocks here.
NVR and M/I Homes carry a Zacks Rank #2 (Buy). NVR is expected to witness 33.9% growth in 2017 earnings while M/I Homes is likely to see a 37.1% rise.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.
Click here for the 6 trades >>