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D.R. Horton, Inc. [NYSE: DHI] opened at $47.31 and closed at $47.36 a share within trading session on 15/08/2019. That means that the stock dropped by -0.82% compared to the closing price from a day before, when the stock touched $46.97.

Between the start and the closing of the latest trading session, D.R. Horton, Inc. [NYSE: DHI] had 3.49 million shares being bought and sold. In the last three months, average trading volumes hovered around 3.92M shares. During the last week, volatility in the share price was set at 1.65%, which placed the metric for the last 30 days at 2.56%. The price of the stock additionally went down to $32.39 during that period and DHI managed to take a rebound to $48.38 in the last 52 weeks.

D.R. Horton, Inc. [NYSE:DHI]: Analyst Rating and Earnings

Stock market traders oftentimes pay a lot of attention to what top analysts say regarding a potential investment. Regarding D.R. Horton, Inc. [DHI], the latest average analyst recommendation we can see is from the quarter closing in September. On average, stock market experts give DHI an Outperform rating. Its stock price has been found in the range of 32.39 to 48.38. This is compared to its latest closing price of $47.36.

Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for D.R. Horton, Inc. [DHI] is sitting at 2.17. This is compared to 1 month ago, when its average rating was 2.26.

For the quarter ending in Jun-19 D.R. Horton, Inc. [DHI] generated $4.91 billion in sales. That’s 8.59% higher than the average estimate of $4.52 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.

Pay attention for this company’s financial results, of which the next release is scheduled to happen on Thu 14 Nov (In 91 Days).

Fundamental Analysis of D.R. Horton, Inc. [DHI]

Now let’s turn to look at profitability: with a current Operating Margin for D.R. Horton, Inc. [DHI] sitting at +12.70 and its Gross Margin at +22.84, this company’s Net Margin is now 9.30%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.

This company’s Return on Total Capital is 17.76, and its Return on Invested Capital has reached 12.90%. Its Return on Equity is 17.46, and its Return on Assets is 11.07. These metrics all suggest that D.R. Horton, Inc. is doing well at using the money it earns to generate returns.

Turning to investigate this organization’s capital structure, D.R. Horton, Inc. [DHI] has generated a Total Debt to Total Equity ratio of 35.66. Similarly, its Total Debt to Total Capital is 26.28, while its Total Debt to Total Assets stands at 22.56. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 17.45, and its Long-Term Debt to Total Capital is 12.86.

What about valuation? This company’s Enterprise Value to EBITDA is 9.11 and its Total Debt to EBITDA Value is 1.52. The Enterprise Value to Sales for this firm is now 1.12, and its Total Debt to Enterprise Value stands at 0.18. D.R. Horton, Inc. [DHI] has a Price to Book Ratio of 1.77, a Price to Cash Flow Ratio of 29.66 and P/E Ratio of 11.28. These metrics show that this company has a mixed appeal, and ROI could be a gain or a loss.

Shifting the focus to workforce efficiency, D.R. Horton, Inc. [DHI] earns $1,904,468 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 129.06 and its Total Asset Turnover is 1.22. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.62 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.

D.R. Horton, Inc. [DHI] has 375.22M shares outstanding, amounting to a total market cap of $17.62B. Its stock price has been found in the range of 32.39 to 48.38. At its current price, it has moved down by -2.91% from its 52-week high, and it has moved up 45.01% from its 52-week low.

This stock’s Beta value is currently 1.06, which indicates that it is 1.65% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 54.11. This RSI score is good, suggesting this stock is neither overbought or oversold.

Conclusion: Is D.R. Horton, Inc. [DHI] a Reliable Buy?

Shares of D.R. Horton, Inc. [DHI], on the whole, present investors with both positive and negative signals. Wall Street analysts have mixed reviews when it comes to the 12-month price outlook, and this company’s financials show a combination of strengths and weaknesses. Based on the price performance, this investment is somewhat risky while presenting reasonable potential for ROI.