PulteGroup, Inc. [NYSE:PHM]: Analyst Rating and Earnings
Stock traders often pay close attention what Wall Street analysts have to say about a potential investment. For PulteGroup, Inc. [PHM], the latest consensus recommendation available followed its financial results for the fiscal quarter ending in December. On average, stock market experts give PHM an Hold rating. Its stock price has been found in the range of 20.64 to 33.04. This is compared to its latest closing price of $32.33.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for PulteGroup, Inc. [PHM] is sitting at 3.00. This is compared to 1 month ago, when its average rating was 3.00.
For the quarter ending in Mar-19 PulteGroup, Inc. [PHM] generated $2 billion in sales. That’s 3.61% higher than the average estimate of $1.93 billion as provided by Wall Street analysts. The three indicators above suggest that the company is performing better than market experts expected, boosting its appeal as a solid investment.
Keep an eye out for the next scheduled publication date for this company’s financial results, which are expected to be released on Thu 25 Jul (In 69 Days).
Fundamental Analysis of PulteGroup, Inc. [PHM]
Now let’s turn to look at profitability: with a current Operating Margin for PulteGroup, Inc. [PHM] sitting at +12.98 and its Gross Margin at +23.27.
This company’s Return on Total Capital is 16.75, and its Return on Invested Capital has reached 12.50%. Its Return on Equity is 22.53, and its Return on Assets is 10.18. These metrics suggest that this PulteGroup, Inc. does a poor job of managing its assets, and likely won’t be able to provide successful business outcomes for its investors in the near term.
Turning to investigate this organization’s capital structure, PulteGroup, Inc. [PHM] has generated a Total Debt to Total Equity ratio of 70.08. Similarly, its Total Debt to Total Capital is 41.21, while its Total Debt to Total Assets stands at 33.19. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 62.85, and its Long-Term Debt to Total Capital is 36.95. This company is not leveraging its assets to take on debt, which stunts its growth and limits the ROI for investors.
What about valuation? This company’s Enterprise Value to EBITDA is 8.01 and its Total Debt to EBITDA Value is 2.46. The Enterprise Value to Sales for this firm is now 1.08, and its Total Debt to Enterprise Value stands at 0.35. PulteGroup, Inc. [PHM] has a Price to Book Ratio of 1.49, a Price to Cash Flow Ratio of 5.11 and P/E Ratio of 9.13. These metrics all suggest that PulteGroup, Inc. is more likely to generate a positive ROI.
Shifting the focus to workforce efficiency, PulteGroup, Inc. [PHM] earns $2,003,073 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 30.83 and its Total Asset Turnover is 1.03. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.79 and its Current Ratio is 4.46. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
PulteGroup, Inc. [PHM] has 277.05M shares outstanding, amounting to a total market cap of $8.96B. Its stock price has been found in the range of 20.64 to 33.04. At its current price, it has moved by -1.60% from its 52-week high, and it has moved 57.51% from its 52-week low.
This stock’s Beta value is currently 0.82, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 72.04. This RSI suggests that PulteGroup, Inc. is currently Overbought.
Conclusion: Is PulteGroup, Inc. [PHM] a Reliable Buy?
Shares of PulteGroup, Inc. [PHM], overall, appear to be a solid investment option, with Wall Street analysts expecting its price to rise considerably in the next 12 months. This company generates high value from the labor resources and other capital it has available, and while it has heavy Long-Term Debt to Equity, the majority of the metrics point to this investment being highly attractive.