D.R. Horton (DHI) Suffers a Larger Drop Than the General Market: Key Insights

Company Performance - D.R. Horton (DHI) ended the recent trading session at $151.21, showing a -1.61% change from the previous day's closing price, underperforming the S&P 500's daily loss of 0.54% [1] - Shares of D.R. Horton have decreased by 4.62% over the past month, while the Construction sector lost 3.56% and the S&P 500 gained 1.5% during the same period [1] Upcoming Earnings Report - D.R. Horton is scheduled to release its earnings on January 21, 2025, with projected earnings of$ 2.41 per share, reflecting a year-over-year decline of 14.54% [2] - The consensus estimate anticipates revenue of $7.16 billion, indicating a 7.35% decrease from the same quarter last year [2] Full Year Projections - For the full year, the Zacks Consensus Estimates project earnings of$ 14.17 per share and revenue of $37.22 billion, representing changes of -1.19% and +1.15% respectively from the prior year [3] Analyst Estimates and Rankings - Recent modifications to analyst estimates for D.R. Horton indicate changing near-term business trends, with positive revisions suggesting optimism about the company's outlook [4] - The Zacks Rank system currently rates D.R. Horton as 5 (Strong Sell), with the Zacks Consensus EPS estimate having moved 2.61% lower in the past month [6] Valuation Metrics - D.R. Horton has a Forward P/E ratio of 10.85, which is higher than the industry average Forward P/E of 9.02, suggesting that D.R. Horton is trading at a premium [7] - The company holds a PEG ratio of 0.57, compared to the industry average PEG ratio of 0.69, indicating a relatively favorable valuation in terms of expected earnings growth [8] Industry Context - The Building Products - Home Builders industry, which includes D.R. Horton, has a Zacks Industry Rank of 144, placing it within the bottom 43% of over 250 industries [9]