D.R. Horton (DHI - Free Report) closed the most recent trading day at $55.13, moving +0.44% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.11%. Elsewhere, the Dow lost 0.1%, while the tech-heavy Nasdaq lost 0.07%.
Prior to today's trading, shares of the homebuilder had gained 4.25% over the past month. This has outpaced the Construction sector's gain of 1.52% and the S&P 500's gain of 1.62% in that time.
DHI will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.92, up 21.05% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $3.77 billion, up 7.74% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.88 per share and revenue of $18.79 billion, which would represent changes of +13.75% and +7.61%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for DHI. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 6.2% higher. DHI is holding a Zacks Rank of #2 (Buy) right now.
Valuation is also important, so investors should note that DHI has a Forward P/E ratio of 11.26 right now. This valuation marks a premium compared to its industry's average Forward P/E of 10.21.
Investors should also note that DHI has a PEG ratio of 1.02 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Building Products - Home Builders stocks are, on average, holding a PEG ratio of 1.1 based on yesterday's closing prices.
The Building Products - Home Builders industry is part of the Construction sector. This industry currently has a Zacks Industry Rank of 34, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
To follow DHI in the coming trading sessions, be sure to utilize Zacks.com.