D.R. Horton, Inc. operates as a homebuilding company in East, Midwest, Southeast, South Central, Southwest, and West regions in the United States. More Details
Undervalued with solid track record and pays a dividend.
Share Price & News
How has D.R. Horton's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: DHI is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: DHI's weekly volatility (5%) has been stable over the past year.
7 Day Return
US Consumer Durables
1 Year Return
US Consumer Durables
Return vs Industry: DHI underperformed the US Consumer Durables industry which returned 46.3% over the past year.
Return vs Market: DHI exceeded the US Market which returned 35.9% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is D.R. Horton's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 days ago | Simply Wall StD.R. Horton's (NYSE:DHI) Solid Profits Have Weak Fundamentals
4 days ago | Simply Wall StWith EPS Growth And More, D.R. Horton (NYSE:DHI) Is Interesting
2 weeks ago | Simply Wall StUnder The Bonnet, D.R. Horton's (NYSE:DHI) Returns Look Impressive
Is D.R. Horton undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: DHI ($95.43) is trading below our estimate of fair value ($133.87)
Significantly Below Fair Value: DHI is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: DHI is good value based on its PE Ratio (9.4x) compared to the US Consumer Durables industry average (12.1x).
PE vs Market: DHI is good value based on its PE Ratio (9.4x) compared to the US market (18.1x).
Price to Earnings Growth Ratio
PEG Ratio: DHI is good value based on its PEG Ratio (0.8x)
Price to Book Ratio
PB vs Industry: DHI is overvalued based on its PB Ratio (2.5x) compared to the US Consumer Durables industry average (1.8x).
How is D.R. Horton forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: DHI's forecast earnings growth (12% per year) is above the savings rate (2%).
Earnings vs Market: DHI's earnings (12% per year) are forecast to grow slower than the US market (15% per year).
High Growth Earnings: DHI's earnings are forecast to grow, but not significantly.
Revenue vs Market: DHI's revenue (13.6% per year) is forecast to grow faster than the US market (9.2% per year).
High Growth Revenue: DHI's revenue (13.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: DHI's Return on Equity is forecast to be high in 3 years time (23.4%)
How has D.R. Horton performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: DHI has a high level of non-cash earnings.
Growing Profit Margin: DHI's current net profit margins (14.1%) are higher than last year (10.8%).
Past Earnings Growth Analysis
Earnings Trend: DHI's earnings have grown significantly by 28% per year over the past 5 years.
Accelerating Growth: DHI's earnings growth over the past year (78.8%) exceeds its 5-year average (28% per year).
Earnings vs Industry: DHI earnings growth over the past year (78.8%) exceeded the Consumer Durables industry 68.6%.
Return on Equity
High ROE: DHI's Return on Equity (26%) is considered high.
How is D.R. Horton's financial position?
Financial Position Analysis
Short Term Liabilities: DHI's short term assets ($21.0B) exceed its short term liabilities ($3.6B).
Long Term Liabilities: DHI's short term assets ($21.0B) exceed its long term liabilities ($4.1B).
Debt to Equity History and Analysis
Debt Level: DHI's debt to equity ratio (31.3%) is considered satisfactory.
Reducing Debt: DHI's debt to equity ratio has reduced from 50.7% to 31.3% over the past 5 years.
Debt Coverage: DHI's debt is not well covered by operating cash flow (18.1%).
Interest Coverage: Insufficient data to determine if DHI's interest payments on its debt are well covered by EBIT.
What is D.R. Horton current dividend yield, its reliability and sustainability?
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: DHI's dividend (0.84%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.31%).
High Dividend: DHI's dividend (0.84%) is low compared to the top 25% of dividend payers in the US market (3.55%).
Stability and Growth of Payments
Stable Dividend: DHI's dividends per share have been stable in the past 10 years.
Growing Dividend: DHI's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (7.7%), DHI's dividend payments are thoroughly covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: DHI's dividends in 3 years are forecast to be thoroughly covered by earnings (7.4% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
David Auld (65 yo)
Mr. David V. Auld is President and Chief Executive Officer of D.R. Horton, Inc. since October 2014. Mr. Auld was Executive Vice President and Chief Operating Officer from November 2013 until October 2014. ...
CEO Compensation Analysis
Compensation vs Market: David's total compensation ($USD19.20M) is above average for companies of similar size in the US market ($USD11.20M).
Compensation vs Earnings: David's compensation has increased by more than 20% in the past year.
Experienced Management: DHI's management team is seasoned and experienced (6.8 years average tenure).
Experienced Board: DHI's board of directors are seasoned and experienced ( 15.9 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: DHI insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
D.R. Horton, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: D.R. Horton, Inc.
- Ticker: DHI
- Exchange: NYSE
- Founded: 1978
- Industry: Homebuilding
- Sector: Consumer Durables
- Market Cap: US$34.181b
- Shares outstanding: 358.18m
- Website: https://www.drhorton.com
Number of Employees
- D.R. Horton, Inc.
- 1341 Horton Circle
- United States
D.R. Horton, Inc. operates as a homebuilding company in East, Midwest, Southeast, South Central, Southwest, and West regions in the United States. It engages in the acquisition and development of land; and...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/08/01 22:12|
|End of Day Share Price||2021/07/30 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.