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PulteGroup (PHM) Gains But Lags Market: What You Should Know
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In the latest trading session, PulteGroup (PHM - Free Report) closed at $46.61, marking a +0.34% move from the previous day. The stock lagged the S&P 500's daily gain of 2.24%. At the same time, the Dow added 1.55%, and the tech-heavy Nasdaq gained 0.5%.
Prior to today's trading, shares of the homebuilder had lost 5.01% over the past month. This has lagged the Construction sector's loss of 3.63% and the S&P 500's loss of 4.46% in that time.
Investors will be hoping for strength from PulteGroup as it approaches its next earnings release. The company is expected to report EPS of $1.71, up 33.59% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.06 billion, up 11.94% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $10.12 per share and revenue of $16.54 billion. These totals would mark changes of +38.63% and +18.74%, respectively, from last year.
Any recent changes to analyst estimates for PulteGroup should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 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 past month, the Zacks Consensus EPS estimate remained stagnant. PulteGroup is currently a Zacks Rank #2 (Buy).
Looking at its valuation, PulteGroup is holding a Forward P/E ratio of 4.59. Its industry sports an average Forward P/E of 4.23, so we one might conclude that PulteGroup is trading at a premium comparatively.
It is also worth noting that PHM currently has a PEG ratio of 0.5. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Building Products - Home Builders industry currently had an average PEG ratio of 0.49 as of yesterday's close.
The Building Products - Home Builders industry is part of the Construction sector. This industry currently has a Zacks Industry Rank of 49, which puts it in the top 20% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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PulteGroup (PHM) Gains But Lags Market: What You Should Know
In the latest trading session, PulteGroup (PHM - Free Report) closed at $46.61, marking a +0.34% move from the previous day. The stock lagged the S&P 500's daily gain of 2.24%. At the same time, the Dow added 1.55%, and the tech-heavy Nasdaq gained 0.5%.
Prior to today's trading, shares of the homebuilder had lost 5.01% over the past month. This has lagged the Construction sector's loss of 3.63% and the S&P 500's loss of 4.46% in that time.
Investors will be hoping for strength from PulteGroup as it approaches its next earnings release. The company is expected to report EPS of $1.71, up 33.59% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.06 billion, up 11.94% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $10.12 per share and revenue of $16.54 billion. These totals would mark changes of +38.63% and +18.74%, respectively, from last year.
Any recent changes to analyst estimates for PulteGroup should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 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 past month, the Zacks Consensus EPS estimate remained stagnant. PulteGroup is currently a Zacks Rank #2 (Buy).
Looking at its valuation, PulteGroup is holding a Forward P/E ratio of 4.59. Its industry sports an average Forward P/E of 4.23, so we one might conclude that PulteGroup is trading at a premium comparatively.
It is also worth noting that PHM currently has a PEG ratio of 0.5. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Building Products - Home Builders industry currently had an average PEG ratio of 0.49 as of yesterday's close.
The Building Products - Home Builders industry is part of the Construction sector. This industry currently has a Zacks Industry Rank of 49, which puts it in the top 20% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.