Yahoo Finance Here's Why PulteGroup (PHM) is a Strong Value Stock
It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.
Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.
Why Investors Should Pay Attention to This Value Stock
Different than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.
PulteGroup (PHM)
Based in Atlanta, GA, PulteGroup Inc. engages in homebuilding and financial services businesses, primarily in the United States. The company conducts operations through two primary business segments – Homebuilding (which contributed 98% as of 2023 to total revenues) and Financial Services (2%).
PHM sits at a Zacks Rank #1 (Strong Buy), holds a Value Style Score of B, and has a VGM Score of A. Compared to the Building Products - Home Builders industry's P/E of 9.1X, shares of PulteGroup are trading at a forward P/E of 9.4X. PHM also has a PEG Ratio of 0.5, a Price/Cash Flow ratio of 8.9X, and a Price/Sales ratio of 1.4X.
Many value investors pay close attention to a company's earnings as well. For PHM, three analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.22 to $11.96 per share for 2024. Per share PHM boasts an average earnings surprise of 12.5%.
Investors should take the time to consider PHM for their portfolios due to its solid Zacks Ranks, notable earnings and valuation metrics, and impressive Value and VGM Style Scores.
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PulteGroup, Inc. (PHM) : Free Stock Analysis Report
