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Dream Finders Homes Inc. (DFH) Stock Dips While Market Gains: Key Facts

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Dream Finders Homes Inc. (DFH - Free Report) closed the most recent trading day at $27.30, moving -4.21% from the previous trading session. The stock's change was less than the S&P 500's daily gain of 0.07%. Meanwhile, the Dow experienced a drop of 0.7%, and the technology-dominated Nasdaq saw an increase of 0.18%.

The homebuilder's stock has climbed by 17.72% in the past month, exceeding the Construction sector's gain of 8.29% and the S&P 500's gain of 5.71%.

Investors will be eagerly watching for the performance of Dream Finders Homes Inc. in its upcoming earnings disclosure. The company's upcoming EPS is projected at $0.65, signifying a 19.75% drop compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $1.02 billion, down 3.72% from the prior-year quarter.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.45 per share and a revenue of $4.76 billion, indicating changes of +3.29% and +7.03%, respectively, from the former year.

Investors should also note any recent changes to analyst estimates for Dream Finders Homes Inc. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 6.98% higher. Dream Finders Homes Inc. is holding a Zacks Rank of #3 (Hold) right now.

Digging into valuation, Dream Finders Homes Inc. currently has a Forward P/E ratio of 8.26. This denotes a discount relative to the industry average Forward P/E of 10.46.

It's also important to note that DFH currently trades at a PEG ratio of 5.36. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Building Products - Home Builders stocks are, on average, holding a PEG ratio of 2.29 based on yesterday's closing prices.

The Building Products - Home Builders industry is part of the Construction sector. With its current Zacks Industry Rank of 209, this industry ranks in the bottom 16% of all industries, numbering over 250.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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