D.R. Horton (NYSE:DHI) Posts Earnings Results, Misses Expectations By $0.28 EPS

D.R. Horton (NYSE:DHI) released its quarterly earnings data on Tuesday. The construction company reported $3.92 EPS for the quarter, missing analysts’ consensus estimates of $4.20 by ($0.28), Briefing.com reports. D.R. Horton had a net margin of 13.36% and a return on equity of 20.72%. The company had revenue of $10 billion during the quarter, compared to the consensus estimate of $10.22 billion. During the same quarter in the prior year, the company posted $4.45 EPS. The company’s revenue for the quarter was down 4.7% compared to the same quarter last year. D.R. Horton updated its FY 2025 guidance to EPS.

D.R. Horton Stock Up 2.3 %

Shares of D.R. Horton stock traded up $3.78 on Wednesday, hitting $171.10. 1,446,183 shares of the company’s stock traded hands, compared to its average volume of 2,465,157. The company has a quick ratio of 1.30, a current ratio of 7.22 and a debt-to-equity ratio of 0.23. The stock has a market cap of $56.35 billion, a P/E ratio of 11.59, a PEG ratio of 0.78 and a beta of 1.72. D.R. Horton has a 52-week low of $102.23 and a 52-week high of $199.85. The firm’s 50-day moving average is $187.63 and its 200 day moving average is $165.12.

D.R. Horton Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, November 19th. Stockholders of record on Tuesday, November 12th will be paid a dividend of $0.40 per share. This represents a $1.60 annualized dividend and a dividend yield of 0.94%. The ex-dividend date is Tuesday, November 12th. This is an increase from D.R. Horton’s previous quarterly dividend of $0.30. D.R. Horton’s payout ratio is 8.17%.

D.R. Horton announced that its Board of Directors has initiated a stock buyback plan on Thursday, July 18th that permits the company to repurchase $4.00 billion in shares. This repurchase authorization permits the construction company to reacquire up to 6.9% of its shares through open market purchases. Shares repurchase plans are usually a sign that the company’s leadership believes its shares are undervalued.

Analysts Set New Price Targets

DHI has been the topic of a number of recent analyst reports. Wells Fargo & Company decreased their price objective on shares of D.R. Horton from $220.00 to $190.00 and set an “overweight” rating on the stock in a research note on Wednesday. JMP Securities lifted their price target on D.R. Horton from $170.00 to $210.00 and gave the company a “market outperform” rating in a research report on Friday, July 19th. Wedbush upgraded shares of D.R. Horton from an “underperform” rating to a “neutral” rating and set a $165.00 target price for the company in a research report on Tuesday, October 15th. JPMorgan Chase & Co. increased their target price on shares of D.R. Horton from $163.00 to $180.00 and gave the company a “neutral” rating in a report on Tuesday, July 23rd. Finally, Evercore ISI dropped their price target on shares of D.R. Horton from $218.00 to $204.00 and set an “outperform” rating for the company in a research report on Wednesday. One equities research analyst has rated the stock with a sell rating, six have assigned a hold rating and ten have issued a buy rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $183.40.

About D.R. Horton

D.R. Horton, Inc operates as a homebuilding company in East, North, Southeast, South Central, Southwest, and Northwest regions in the United States. It engages in the acquisition and development of land; and construction and sale of residential homes in 118 markets across 33 states under the names of D.R.