PulteGroup (NYSE:PHM) - Share price, News & Analysis

PHM fundamental analysis
Snowflake Score
Valuation	4/6
Future Growth	1/6
Past Performance	5/6
Financial Health	6/6
Dividends	2/6

PHM Stock Overview

PulteGroup, Inc., through its subsidiaries, primarily engages in the homebuilding business in the United States.

Rewards

Trading at 50% below our estimate of its fair value

Earnings have grown 26.2% per year over the past 5 years

Risk Analysis

Earnings are forecast to decline by an average of 0.6% per year for the next 3 years

Significant insider selling over the past 3 months

PulteGroup Competitors

D.R. Horton

NYSE:DHI

US$24.2b

Lennar

NYSE:LEN

US$21.6b

NVR

NYSE:NVR

US$14.0b

Toll Brothers

NYSE:TOL

US$5.6b

Price History & Performance

Summary of all time highs, changes and price drops for PulteGroup
Historical stock prices
Current Share Price	US$42.74
52 Week High	US$58.83
52 Week Low	US$39.61
Beta	1.33
1 Month Change	-1.32%
3 Month Change	-11.20%
1 Year Change	-23.36%
3 Year Change	33.06%
5 Year Change	87.13%
Change since IPO	2,749.33%

Recent News & Updates

May 08

PulteGroup (NYSE:PHM) Has Re-Affirmed Its Dividend Of US$0.15

PulteGroup, Inc. ( NYSE:PHM ) will pay a dividend of US$0.15 on the 5th of July. This payment means the dividend yield...

May 01

Are Investors Undervaluing PulteGroup, Inc. (NYSE:PHM) By 50%?

In this article we are going to estimate the intrinsic value of PulteGroup, Inc. ( NYSE:PHM ) by taking the forecast...

Apr 30

PulteGroup Is A Table Pounding Strong Buy

Why we're recommending Pulte again? Because the thesis behind Pulte has only grown stronger! This is one of the fattest pitches on Wall Street, and even if we get a recession in the next few years.

Shareholder Returns

	PHM	US Consumer Durables	US Market
7D	0.5%	-2.8%	-2.7%
1Y	-23.4%	-27.5%	-12.9%

Return vs Industry: PHM exceeded the US Consumer Durables industry which returned -27.5% over the past year.

Return vs Market: PHM underperformed the US Market which returned -12.9% over the past year.

Price Volatility

Is PHM's price volatile compared to industry and market?
PHM volatility
PHM Average Weekly Movement	6.6%
Consumer Durables Industry Average Movement	7.8%
Market Average Movement	7.8%
10% most volatile stocks in US Market	16.8%
10% least volatile stocks in US Market	2.9%

Stable Share Price: PHM is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: PHM's weekly volatility (7%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1950	6,182	Ryan Marshall	https://www.pultegroup.com

PulteGroup, Inc., through its subsidiaries, primarily engages in the homebuilding business in the United States. It acquires and develops land primarily for residential purposes; and constructs housing on such land. The company also offers various home designs, including single-family detached, townhomes, condominiums, and duplexes under the Centex, Pulte Homes, Del Webb, DiVosta Homes, American West, and John Wieland Homes and Neighborhoods brand names.

PulteGroup Fundamentals Summary

How do PulteGroup's earnings and revenue compare to its market cap?
PHM fundamental statistics
Market Cap	US$10.16b
Earnings (TTM)	US$2.08b
Revenue (TTM)	US$14.38b

4.9x

P/E Ratio

0.7x

P/S Ratio

Is PHM overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
PHM income statement (TTM)
Revenue	US$14.38b
Cost of Revenue	US$10.23b
Gross Profit	US$3.98b
Other Expenses	US$1.90b
Earnings	US$2.08b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	8.75
Gross Margin	27.70%
Net Profit Margin	14.46%
Debt/Equity Ratio	32.8%

How did PHM perform over the long term?

See historical performance and comparison

Dividends

1.4%

Current Dividend Yield

7%

Payout Ratio

Does PHM pay a reliable dividends?

See PHM dividend history and benchmarks

When do you need to buy PHM by to receive an upcoming dividend?
PulteGroup dividend dates
Ex Dividend Date	Jun 09 2022
Dividend Pay Date	Jul 05 2022
Days until Ex dividend	18 days
Days until Dividend pay date	44 days

Does PHM pay a reliable dividends?

See PHM dividend history and benchmarks

Valuation

Is PulteGroup undervalued compared to its fair value and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

50.0%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: PHM ($42.74) is trading below our estimate of fair value ($85.41)

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

Price To Earnings Ratio

PE vs Industry: PHM is good value based on its PE Ratio (4.9x) compared to the US Consumer Durables industry average (8.1x).

PE vs Market: PHM is good value based on its PE Ratio (4.9x) compared to the US market (15.3x).

Price to Earnings Growth Ratio

PEG Ratio: PHM's earnings are forecast to decline next year, so we can't calculate its PEG ratio.

Price to Book Ratio

PB vs Industry: PHM is overvalued based on its PB Ratio (1.4x) compared to the US Consumer Durables industry average (1.2x).

Future Growth

How is PulteGroup forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

-0.6%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: PHM's earnings are forecast to decline over the next 3 years (-0.6% per year).

Earnings vs Market: PHM's earnings are forecast to decline over the next 3 years (-0.6% per year).

High Growth Earnings: PHM's earnings are forecast to decline over the next 3 years.

Revenue vs Market: PHM's revenue (5.8% per year) is forecast to grow slower than the US market (7.8% per year).

High Growth Revenue: PHM's revenue (5.8% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: PHM's Return on Equity is forecast to be high in 3 years time (25.4%)

Past Performance

How has PulteGroup performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

26.2%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: PHM has high quality earnings.

Growing Profit Margin: PHM's current net profit margins (14.5%) are higher than last year (13%).

Past Earnings Growth Analysis

Earnings Trend: PHM's earnings have grown significantly by 26.2% per year over the past 5 years.

Accelerating Growth: PHM's earnings growth over the past year (39.2%) exceeds its 5-year average (26.2% per year).

Earnings vs Industry: PHM earnings growth over the past year (39.2%) underperformed the Consumer Durables industry 45.1%.

Return on Equity

High ROE: PHM's Return on Equity (28.3%) is considered high.

Financial Health

How is PulteGroup's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: PHM's short term assets ($12.1B) exceed its short term liabilities ($2.5B).

Long Term Liabilities: PHM's short term assets ($12.1B) exceed its long term liabilities ($3.3B).

Debt to Equity History and Analysis

Debt Level: PHM's net debt to equity ratio (17.1%) is considered satisfactory.

Reducing Debt: PHM's debt to equity ratio has reduced from 70.2% to 32.8% over the past 5 years.

Debt Coverage: PHM's debt is well covered by operating cash flow (42.6%).

Interest Coverage: PHM earns more interest than it pays, so coverage of interest payments is not a concern.

Balance Sheet

Dividend

What is PulteGroup current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

1.40%

Current Dividend Yield

Upcoming Dividend Payment

Dividend Yield vs Market

Notable Dividend: PHM's dividend (1.4%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.58%).

High Dividend: PHM's dividend (1.4%) is low compared to the top 25% of dividend payers in the US market (4.11%).

Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, PHM has been paying a dividend for less than 10 years.

Growing Dividend: PHM's dividend payments have increased, but the company has only paid a dividend for 9 years.

Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (7%), PHM's dividend payments are thoroughly covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (15.1%), PHM's dividend payments are well covered by cash flows.

Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

5.3yrs

Average management tenure

CEO

Ryan Marshall (46 yo)

6.25yrs

Tenure

US$16,149,555

Compensation

Mr. Ryan R. Marshall serves as Director at Floor & Decor Holdings, Inc. since January 1, 2021. He has been the Chief Executive Officer of PulteGroup, Inc. since September 8, 2016 and its President since Fe...

CEO Compensation Analysis

Compensation vs Market: Ryan's total compensation ($USD16.15M) is about average for companies of similar size in the US market ($USD13.34M).

Compensation vs Earnings: Ryan's compensation has increased by more than 20% in the past year.

Leadership Team

Experienced Management: PHM's management team is seasoned and experienced (5.3 years average tenure).

Board Members

Experienced Board: PHM's board of directors are considered experienced (7.4 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: PHM insiders have only sold shares in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/05/21 00:00
End of Day Share Price	2022/05/20 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31