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Dream Finders Acquires Liberty Communities, Expands Into Atlanta
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Dream Finders Homes, Inc. (DFH - Free Report) has completed the acquisition of Liberty Communities, LLC's core homebuilding operations and assets. This acquisition covers operations in Atlanta, GA, and Greenville, SC. It also includes Liberty's pre-engineered panel and truss, and building component import businesses.
The company funded the purchase using available cash and borrowings from its existing senior unsecured revolving credit facility. DFH also settled Liberty’s vertical lines of credit tied to the acquired assets at the time of closing.
DFH Enters Atlanta Market With Liberty Acquisition
This strategic acquisition expands Dream Finders Homes’ presence in the Atlanta market, one of the largest and fastest-growing homebuilding regions in the United States. The deal enhances the company’s presence in Greenville by increasing its community count and securing access to additional land supply. This acquisition also includes Liberty’s offsite manufacturing and component import businesses, which provide cost efficiencies and support growth in both existing and new markets.
Through this deal, Dream Finders Homes gains a competitive edge in the Atlanta area, the sixth largest homebuilding market in the United States and the largest in the Southeast. With more than 27,000 estimated single-family permits in 2024, Atlanta has been one of DFH's highest-priority expansion markets. This acquisition positions the company to become a leading player in the region.
Furthermore, Liberty’s manufacturing operations provide Dream Finders Homes with a unique platform to explore additional cost and production efficiencies. This positions the company for continued growth and strengthens its foundation for expansion across active markets.
DFH Strengthens Market Position With Strategic Acquisitions
Dream Finders Homes has strategically leveraged acquisitions to enter high-growth markets, including Texas, Florida and the Carolinas. These moves have helped the company establish a strong market presence and capitalize on regions with high housing demand. The company saw substantial revenue growth, increasing from $744 million in 2019 (post-Village Park acquisition) to $1,134 million in 2020 and $1,924 million in 2021 (post-H&H Homes and Century Homes acquisitions).
On July 1, 2024, DFH expanded its portfolio with the acquisition of Jet HomeLoans. This marked the company’s sixth acquisition in five years. The acquisition contributed $16 million in revenues and $7 million in pre-tax profit during the third quarter of 2024. DFH plans to develop this business into a key profit driver moving forward, with complete ownership enabling the company to fully leverage its potential.
DFH Stock’s Price Performance
Image Source: Zacks Investment Research
Shares of the company have lost 22.9% in the past three months compared with the Zacks Building Products - Home Builders industry’s 15.9% decline. The company faces risks due to fluctuating mortgage rates and macroeconomic challenges. However, DFH’s focus on high-demand markets and entry-level housing positions it well for growth.
DFH’s Zacks Rank & Key Picks
Dream Finders Homes currently has a Zacks Rank #4 (Sell).
Here are some better-ranked stocks from the Construction sector.
WY delivered a trailing four-quarter earnings surprise of 41.6%, on average. The stock fell 1.1% in the past six months. The consensus estimate for WY’s 2025 sales and earnings per share (EPS) indicates an increase of 8% and 71%, respectively, year over year.
Frontdoor, Inc. (FTDR - Free Report) currently sports a Zacks Rank of #1. FTDR delivered a trailing four-quarter earnings surprise of 269%, on average. The stock has gained 57% in the past six months.
The consensus estimate for FTDR’s 2025 sales and EPS indicates an increase of 6.4% and 1.4%, respectively, year over year.
MasTec, Inc. (MTZ - Free Report) currently carries a Zacks Rank #2 (Buy). MTZ delivered a trailing four-quarter earnings surprise of 40.2%, on average. The stock has rallied 52.6% in the past six months.
The Zacks Consensus Estimate for MTZ’s 2025 sales and EPS implies an increase of 8.9% and 43.9%, respectively, year over year.
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Dream Finders Acquires Liberty Communities, Expands Into Atlanta
Dream Finders Homes, Inc. (DFH - Free Report) has completed the acquisition of Liberty Communities, LLC's core homebuilding operations and assets. This acquisition covers operations in Atlanta, GA, and Greenville, SC. It also includes Liberty's pre-engineered panel and truss, and building component import businesses.
The company funded the purchase using available cash and borrowings from its existing senior unsecured revolving credit facility. DFH also settled Liberty’s vertical lines of credit tied to the acquired assets at the time of closing.
DFH Enters Atlanta Market With Liberty Acquisition
This strategic acquisition expands Dream Finders Homes’ presence in the Atlanta market, one of the largest and fastest-growing homebuilding regions in the United States. The deal enhances the company’s presence in Greenville by increasing its community count and securing access to additional land supply. This acquisition also includes Liberty’s offsite manufacturing and component import businesses, which provide cost efficiencies and support growth in both existing and new markets.
Through this deal, Dream Finders Homes gains a competitive edge in the Atlanta area, the sixth largest homebuilding market in the United States and the largest in the Southeast. With more than 27,000 estimated single-family permits in 2024, Atlanta has been one of DFH's highest-priority expansion markets. This acquisition positions the company to become a leading player in the region.
Furthermore, Liberty’s manufacturing operations provide Dream Finders Homes with a unique platform to explore additional cost and production efficiencies. This positions the company for continued growth and strengthens its foundation for expansion across active markets.
DFH Strengthens Market Position With Strategic Acquisitions
Dream Finders Homes has strategically leveraged acquisitions to enter high-growth markets, including Texas, Florida and the Carolinas. These moves have helped the company establish a strong market presence and capitalize on regions with high housing demand. The company saw substantial revenue growth, increasing from $744 million in 2019 (post-Village Park acquisition) to $1,134 million in 2020 and $1,924 million in 2021 (post-H&H Homes and Century Homes acquisitions).
On July 1, 2024, DFH expanded its portfolio with the acquisition of Jet HomeLoans. This marked the company’s sixth acquisition in five years. The acquisition contributed $16 million in revenues and $7 million in pre-tax profit during the third quarter of 2024. DFH plans to develop this business into a key profit driver moving forward, with complete ownership enabling the company to fully leverage its potential.
DFH Stock’s Price Performance
Image Source: Zacks Investment Research
Shares of the company have lost 22.9% in the past three months compared with the Zacks Building Products - Home Builders industry’s 15.9% decline. The company faces risks due to fluctuating mortgage rates and macroeconomic challenges. However, DFH’s focus on high-demand markets and entry-level housing positions it well for growth.
DFH’s Zacks Rank & Key Picks
Dream Finders Homes currently has a Zacks Rank #4 (Sell).
Here are some better-ranked stocks from the Construction sector.
Weyerhaeuser Company (WY - Free Report) currently sports a Zacks Rank of #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
WY delivered a trailing four-quarter earnings surprise of 41.6%, on average. The stock fell 1.1% in the past six months. The consensus estimate for WY’s 2025 sales and earnings per share (EPS) indicates an increase of 8% and 71%, respectively, year over year.
Frontdoor, Inc. (FTDR - Free Report) currently sports a Zacks Rank of #1. FTDR delivered a trailing four-quarter earnings surprise of 269%, on average. The stock has gained 57% in the past six months.
The consensus estimate for FTDR’s 2025 sales and EPS indicates an increase of 6.4% and 1.4%, respectively, year over year.
MasTec, Inc. (MTZ - Free Report) currently carries a Zacks Rank #2 (Buy). MTZ delivered a trailing four-quarter earnings surprise of 40.2%, on average. The stock has rallied 52.6% in the past six months.
The Zacks Consensus Estimate for MTZ’s 2025 sales and EPS implies an increase of 8.9% and 43.9%, respectively, year over year.