Yahoo Finance Are You a Value Investor? This 1 Stock Could Be the Perfect Pick
Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.
Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.
Why Investors Should Pay Attention to This Value Stock
Value investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, and Price/Cash Flow, the Value Style Score identifies the most attractive and most discounted stocks.
D.R. Horton (DHI)
D.R. Horton, Inc., based in Texas, is one of the leading national homebuilders, primarily engaged in the construction and sale of single-family houses both in the entry-level and move-up markets. D.R. Horton’s operations are spread across 118 markets in 33 states in the East, Midwest, Southeast, South Central, Southwest and West regions of the United States. Its houses are sold under the brand names D.R. Horton - America’s Builder, Emerald Homes, Express Homes and Freedom Homes.
DHI boasts a Value Style Score of B and VGM Score of A, and holds a Zacks Rank #3 (Hold) rating. Shares of D.R. Horton are trading at a forward earnings multiple of 10.2X, as well as a PEG Ratio of 0.7, a Price/Cash Flow ratio of 10.2X, and a Price/Sales ratio of 1.3X.
A company's earnings performance is important for value investors as well. For fiscal 2024, eight analysts revised their earnings estimate higher in the last 60 days for DHI, while the Zacks Consensus Estimate has increased $0.14 to $14.31 per share. DHI also holds an average earnings surprise of 15.6%.
With strong valuation and earnings metrics, a good Zacks Rank, and top-tier Value and VGM Style Scores, investors should strongly think about adding DHI to their portfolios.
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D.R. Horton, Inc. (DHI) : Free Stock Analysis Report
