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KB Home NYSE:KBH Stock Report

Last Price

US$65.86

Market Cap

US$4.8b

7D

-7.8%

1Y

6.1%

Updated

20 Dec, 2024

Data

Company Financials +

KB Home

NYSE:KBH Stock Report

Market Cap: US$4.8b

KBH Stock Overview

Operates as a homebuilding company in the United States. More details

KBH fundamental analysis
Snowflake Score
Valuation6/6
Future Growth1/6
Past Performance2/6
Financial Health5/6
Dividends5/6

Rewards

Trading at 36.8% below our estimate of its fair value

Earnings are forecast to grow 6.56% per year

Pays a reliable dividend of 1.52%

Trading at good value compared to peers and industry

Analysts in good agreement that stock price will rise by 25%

Risk Analysis

Significant insider selling over the past 3 months


My Notes

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Community Narratives

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WA
Analyst Price Target
Consensus Narrative from 13 Analysts

Personalized Build-to-Order Strategy Will Improve Customer Satisfaction And Market Share

Key Takeaways Strategic land acquisitions and focus on personalized build-to-order models aim to expand market share and improve customer satisfaction, impacting revenue positively. Agility in pricing strategy and advancements in operational efficiency, such as reduced build times, support margin preservation and higher delivery volumes.
View narrative
US$82.31
FV
20.0% undervalued intrinsic discount
7.85%
Revenue growth p.a.
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1users have followed this narrative
2 days ago author updated this narrative

KB Home Competitors

M.D.C. Holdings

NYSE:MDC

US$4.7b

Meritage Homes

NYSE:MTH

US$5.5b

M/I Homes

NYSE:MHO

US$3.7b

Installed Building Products

NYSE:IBP

US$5.0b

Price History & Performance

Summary of share price highs, lows and changes for KB Home
Historical stock prices
Current Share PriceUS$65.86
52 Week HighUS$89.70
52 Week LowUS$58.05
Beta1.82
1 Month Change-15.53%
3 Month Change-24.50%
1 Year Change6.09%
3 Year Change51.68%
5 Year Change94.11%
Change since IPO975.27%

Recent News & Updates

KB Home: Fed's Rate Cut Improves 2025 Housing Market Outlook

Dec 18

The Return Trends At KB Home (NYSE:KBH) Look Promising

Dec 18
The Return Trends At KB Home (NYSE:KBH) Look Promising

KB Home's (NYSE:KBH) Shares Lagging The Market But So Is The Business

Dec 05
KB Home's (NYSE:KBH) Shares Lagging The Market But So Is The Business

Recent updates

KB Home: Fed's Rate Cut Improves 2025 Housing Market Outlook

Dec 18

The Return Trends At KB Home (NYSE:KBH) Look Promising

Dec 18
The Return Trends At KB Home (NYSE:KBH) Look Promising

KB Home's (NYSE:KBH) Shares Lagging The Market But So Is The Business

Dec 05
KB Home's (NYSE:KBH) Shares Lagging The Market But So Is The Business

KB Home (NYSE:KBH) Has A Somewhat Strained Balance Sheet

Nov 11
KB Home (NYSE:KBH) Has A Somewhat Strained Balance Sheet

KB Home: Steady Growth Amid Near-Term Uncertainty

Oct 17

Is It Time To Consider Buying KB Home (NYSE:KBH)?

Oct 09
Is It Time To Consider Buying KB Home (NYSE:KBH)?

KB Home: Orders Disappoint In Q3, Limiting Upside

Sep 25

KB Home's (NYSE:KBH) Returns On Capital Are Heading Higher

Sep 16
KB Home's (NYSE:KBH) Returns On Capital Are Heading Higher

KB Home: Still Capable Of Building Value

Sep 11

KB Home: Positive Outlook, But Lacks Margin Of Safety

Sep 05

Is KB Home (NYSE:KBH) Expensive For A Reason? A Look At Its Intrinsic Value

Sep 01
Is KB Home (NYSE:KBH) Expensive For A Reason? A Look At Its Intrinsic Value

There's No Escaping KB Home's (NYSE:KBH) Muted Earnings Despite A 30% Share Price Rise

Aug 01
There's No Escaping KB Home's (NYSE:KBH) Muted Earnings Despite A 30% Share Price Rise

Here's Why KB Home (NYSE:KBH) Has A Meaningful Debt Burden

Jul 26
Here's Why KB Home (NYSE:KBH) Has A Meaningful Debt Burden

Should You Think About Buying KB Home (NYSE:KBH) Now?

Jul 03
Should You Think About Buying KB Home (NYSE:KBH) Now?

Are KB Home's Results As Promising As They First Appear?

Jun 26

KB Home: What To Make Of Its Q2 Earnings Beat

Jun 20

KB Home (NYSE:KBH) Looks Inexpensive But Perhaps Not Attractive Enough

May 22
KB Home (NYSE:KBH) Looks Inexpensive But Perhaps Not Attractive Enough

A Look At The Intrinsic Value Of KB Home (NYSE:KBH)

May 09
A Look At The Intrinsic Value Of KB Home (NYSE:KBH)

KB Home: Getting Attractive But Rates Are A Risk

Apr 26

We Think Shareholders Are Less Likely To Approve A Large Pay Rise For KB Home's (NYSE:KBH) CEO For Now

Apr 12
We Think Shareholders Are Less Likely To Approve A Large Pay Rise For KB Home's (NYSE:KBH) CEO For Now

KB Home: Very Strong Demand Environment

Apr 05

KB Home: Caution Advised

Mar 21

KB Home (NYSE:KBH) Has A Somewhat Strained Balance Sheet

Mar 13
KB Home (NYSE:KBH) Has A Somewhat Strained Balance Sheet

Shareholder Returns

KBHUS Consumer DurablesUS Market
7D-7.8%-9.2%-3.5%
1Y6.1%4.8%22.1%

Return vs Industry: KBH exceeded the US Consumer Durables industry which returned 4.8% over the past year.

Return vs Market: KBH underperformed the US Market which returned 22.1% over the past year.

Price Volatility

Is KBH's price volatile compared to industry and market?
KBH volatility
KBH Average Weekly Movement4.9%
Consumer Durables Industry Average Movement6.6%
Market Average Movement6.3%
10% most volatile stocks in US Market17.0%
10% least volatile stocks in US Market3.1%

Stable Share Price: KBH has not had significant price volatility in the past 3 months compared to the US market.

Volatility Over Time: KBH's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19572,205Jeff Mezgerwww.kbhome.com

KB Home operates as a homebuilding company in the United States. It operates through four segments: West Coast, Southwest, Central, and Southeast. It builds and sells various homes, including attached and detached single-family residential homes, townhomes, and condominiums primarily for first-time, first move-up, second move-up, and active adult homebuyers.

KB Home Fundamentals Summary

How do KB Home's earnings and revenue compare to its market cap?
KBH fundamental statistics
Market capUS$4.83b
Earnings (TTM)US$610.04m
Revenue (TTM)US$6.60b

7.9x

P/E Ratio

0.7x

P/S Ratio

Is KBH overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report (TTM)
KBH income statement (TTM)
RevenueUS$6.60b
Cost of RevenueUS$5.19b
Gross ProfitUS$1.43b
Other ExpensesUS$822.29m
EarningsUS$610.04m

Last Reported Earnings

Aug 31, 2024

Next Earnings Date

Jan 09, 2025

Earnings per share (EPS)8.32
Gross Margin21.69%
Net Profit Margin9.24%
Debt/Equity Ratio42.4%

How did KBH perform over the long term?

See historical performance and comparison

Dividends

1.5%

Current Dividend Yield

11%

Payout Ratio

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/20 23:06
End of Day Share Price 2024/12/20 00:00
Earnings2024/08/31
Annual Earnings2023/11/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

KB Home is covered by 41 analysts. 11 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Christopher GrajaArgus Research Company
Matthew BouleyBarclays
Stephen KimBarclays