Company Performance - KB Home's stock closed at $63.94, reflecting a decrease of 1.65% from the previous trading session, underperforming compared to the S&P 500's gain of 0.49% [1] - Over the past month, KB Home's stock has increased by 7.31%, outperforming the Construction sector's gain of 0.54% and the S&P 500's gain of 2.99% [1] Earnings Forecast - KB Home is set to release its earnings report on September 24, 2025, with an expected EPS of $1.5, indicating a 26.47% decline from the same quarter last year [2] - The anticipated revenue for the upcoming quarter is $1.6 billion, representing an 8.91% decrease compared to the previous year [2] Annual Estimates - For the annual period, the Zacks Consensus Estimates predict earnings of $6.48 per share and revenue of $6.4 billion, reflecting declines of 23.31% and 7.63% respectively from the last year [3] - Recent revisions to analyst forecasts for KB Home are crucial as they indicate changing business trends, with positive revisions suggesting analyst optimism [3][4] Valuation Metrics - KB Home currently has a Forward P/E ratio of 10.04, which is lower than the industry average Forward P/E of 11.9 [6] - The company has a PEG ratio of 5.28, compared to the average PEG ratio of 2.55 for Building Products - Home Builders stocks [7] Industry Context - The Building Products - Home Builders industry is part of the Construction sector and holds a Zacks Industry Rank of 232, placing it in the bottom 7% of over 250 industries [8] - The Zacks Industry Rank is based on the average Zacks Rank of individual stocks, with top-rated industries outperforming lower-rated ones by a factor of 2 to 1 [8]
KB Home (KBH) Stock Drops Despite Market Gains: Important Facts to Note