PulteGroup Valuation

Is P1HM34 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of P1HM34 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: P1HM34 (R$777.48) is trading below our estimate of fair value (R$1183.77)

Significantly Below Fair Value: P1HM34 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for P1HM34?

Key metric: As P1HM34 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for P1HM34. This is calculated by dividing P1HM34's market cap by their current earnings.
What is P1HM34's PE Ratio?
PE Ratio	9.1x
Earnings	US$2.88b
Market Cap	US$26.28b

P1HM34 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	1.6x
Enterprise Value/EBITDA	7.2x
PEG Ratio	-8.3x

Price to Earnings Ratio vs Peers

How does P1HM34's PE Ratio compare to its peers?

The above table shows the PE ratio for P1HM34 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	8.6x
CYRE3 Cyrela Brazil Realty Empreendimentos e Participações	5.6x	7.5%	R$7.7b
DIRR3 Direcional Engenharia	9.8x	14.3%	R$5.3b
CURY3 Cury Construtora e Incorporadora	10.2x	19.1%	R$6.5b
EZTC3 EZTEC Empreendimentos e Participações	8.5x	12.0%	R$3.0b
P1HM34 PulteGroup	9.1x	-1.1%	R$26.3b

Price-To-Earnings vs Peers: P1HM34 is expensive based on its Price-To-Earnings Ratio (9.1x) compared to the peer average (8.3x).

Price to Earnings Ratio vs Industry

How does P1HM34's PE Ratio compare vs other companies in the South American Consumer Durables Industry?

2 Companies	Price / Earnings	Estimated Growth	Market Cap

2 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: P1HM34 is good value based on its Price-To-Earnings Ratio (9.1x) compared to the Global Consumer Durables industry average (15.6x).

Price to Earnings Ratio vs Fair Ratio

What is P1HM34's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

P1HM34 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	9.1x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate P1HM34's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.