D.R. Horton Soars After Earnings Beat Despite Macroeconomic Challenges

Core Insights - D.R. Horton exceeded analysts' expectations in earnings per share (EPS), revenue, and homes closed for its fiscal third quarter [1] - The company has narrowed its full-year revenue guidance while slightly raising its homes closed estimate [1] - Executive chair David Auld highlighted ongoing macroeconomic challenges, including elevated inflation and mortgage interest rates [3] Financial Performance - D.R. Horton reported EPS of $4.10, representing a 5$9.97 billion, surpassing consensus estimates [1] - The company closed 24,155 new homes in the quarter, a 5% increase from the previous year, with a total value of $9.23 billion, averaging over$380,000 per home [1] Sales Orders - The company recorded 23,001 new sales orders valued at $8.7 billion, falling short of the expected 24,664 orders and$9.31 billion in value [2] Future Outlook - D.R. Horton has revised its full-year revenue projection to between $36.8 billion and$37.2 billion, down from a previous estimate of $36.7 billion to$37.7 billion [3] - The company now anticipates closing between 90,000 to 95,000 homes in fiscal 2024, a slight increase from the earlier estimate of 89,000 to 91,000 [3] Market Reaction - Following the earnings report, D.R. Horton shares surged over 11% to $175.35 [3]