D.R. Horton (NYSE:DHI) Rating Lowered to Strong Sell at Zacks Research

D.R. Horton (NYSE:DHI) was downgraded by equities research analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a research report issued on Monday,Zacks.com reports.

A number of other brokerages also recently issued reports on DHI. BTIG Research assumed coverage on D.R. Horton in a report on Monday, December 1st. They issued a “buy” rating and a $186.00 price target for the company. Royal Bank Of Canada upped their price target on D.R. Horton from $117.00 to $118.00 and gave the stock an “underperform” rating in a report on Wednesday, October 29th. Bank of America dropped their price objective on D.R. Horton from $175.00 to $165.00 and set a “neutral” rating on the stock in a report on Friday, October 10th. Citizens Jmp reaffirmed a “market perform” rating on shares of D.R. Horton in a research note on Wednesday, January 7th. Finally, UBS Group reiterated a “buy” rating and set a $193.00 target price on shares of D.R. Horton in a research report on Tuesday. One investment analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, nine have assigned a Hold rating and three have issued a Sell rating to the company. Based on data from MarketBeat, D.R. Horton currently has an average rating of “Hold” and a consensus price target of $161.77.

D.R. Horton Stock Performance

Shares of DHI stock opened at $153.21 on Monday. D.R. Horton has a 12-month low of $110.44 and a 12-month high of $184.54. The business’s fifty day simple moving average is $150.52 and its 200-day simple moving average is $154.98. The company has a current ratio of 6.48, a quick ratio of 1.18 and a debt-to-equity ratio of 0.24. The company has a market cap of $44.60 billion, a PE ratio of 13.22, a PEG ratio of 2.35 and a beta of 1.42.

D.R. Horton (NYSE:DHI) last announced its quarterly earnings data on Tuesday, January 20th. The construction company reported $2.03 EPS for the quarter, beating the consensus estimate of $1.98 by $0.05. The firm had revenue of $6.89 billion during the quarter, compared to analyst estimates of $6.66 billion. D.R. Horton had a net margin of 10.47% and a return on equity of 14.39%. D.R. Horton’s revenue was down 9.5% on a year-over-year basis. During the same period last year, the firm posted $2.61 EPS. Analysts expect that D.R. Horton will post 13.04 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Concord Wealth Partners acquired a new stake in shares of D.R. Horton during the third quarter worth $25,000. Canton Hathaway LLC acquired a new stake in shares of D.R. Horton in the 3rd quarter worth approximately $26,000. Steigerwald Gordon & Koch Inc. purchased a new position in D.R. Horton in the 3rd quarter valued at approximately $27,000. Twin Peaks Wealth Advisors LLC purchased a new stake in D.R. Horton during the second quarter worth $29,000. Finally, Ameriflex Group Inc. acquired a new stake in D.R. Horton in the third quarter valued at $31,000. Institutional investors and hedge funds own 90.63% of the company’s stock.

Trending Headlines about D.R. Horton

Here are the key news stories impacting D.R. Horton this week:

• Positive Sentiment: Q1 beat on top and bottom lines — EPS $2.03 vs. $1.98 expected; revenue $6.89B vs. $6.66B expected. This supports valuation and shows demand resiliency. Read More.
• Positive Sentiment: Dividend declared — $0.45/share quarterly dividend (ex?div Feb 5, pay Feb 12), which supports income investors and signals balance?sheet strength. Read More.
• Neutral Sentiment: Guidance: company reaffirmed FY outlook and issued Q2 revenue range of roughly $7.3B–$7.8B and FY revenue range of about $33.5B–$35.0B — revenue ranges roughly in line with consensus but leave room for execution risk. Read More.
• Neutral Sentiment: Net orders ticked up (~3%) but management said the increase was driven by sales incentives and rate buydowns — supports short?term volume but raises questions about sustainable demand. Read More.
• Negative Sentiment: Profitability and margins under pressure — YoY revenue down ~9–10%, EPS down ~22% YoY and net income down ~30%; higher incentives are compressing margins. Read More.
• Negative Sentiment: Analyst/market reaction is mixed to cautious — some firms keep bullish targets, but others have trimmed price targets and reiterated concerns about affordability and sector headwinds, contributing to selling pressure. Read More.

About D.R. Horton

D.R. Horton, Inc is a national homebuilding company that designs, constructs and sells new residential properties across the United States. The company’s core operations focus on building single-family detached homes, townhomes and condominiums for a range of buyer segments. In addition to home construction and sales, D.R. Horton provides complementary services through subsidiaries that support the mortgage, title and closing processes for its customers, enabling integrated transaction workflows from inventory development to home delivery.

Founded in 1978 by Donald R.