D.R. Horton (DHI) Q4 Earnings and Revenues Lag Estimates

Core Viewpoint - D.R. Horton reported quarterly earnings of $3.92 per share, missing the Zacks Consensus Estimate of $4.20 per share, and showing a decline from $4.45 per share a year ago, indicating an earnings surprise of -6.67% [1][2] Financial Performance - The company posted revenues of $10 billion for the quarter ended September 2024, missing the Zacks Consensus Estimate by 2.43%, and down from $10.5 billion year-over-year [2] - Over the last four quarters, D.R. Horton has surpassed consensus EPS estimates two times and topped consensus revenue estimates three times [2] Stock Performance - D.R. Horton shares have increased by approximately 18.7% since the beginning of the year, compared to the S&P 500's gain of 22.1% [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating expectations of underperformance in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $3.03 on revenues of $8.02 billion, and for the current fiscal year, it is $15.97 on revenues of $39.51 billion [7] - The trend for estimate revisions ahead of the earnings release was unfavorable, which may impact future stock movements [6] Industry Context - The Building Products - Home Builders industry is currently ranked in the top 26% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - The performance of D.R. Horton may be influenced by the overall industry outlook, as higher-ranked industries tend to outperform lower-ranked ones significantly [8]