Core Viewpoint - PulteGroup Inc. is expected to report its fourth-quarter 2024 results on January 30, with positive earnings and revenue growth anticipated despite challenges in the housing market [1][2]. Revenue Expectations - The Zacks Consensus Estimate for PulteGroup's fourth-quarter EPS has risen to $3.21, reflecting a 2.1% decrease from the previous year's EPS of $3.28, while revenue is projected at $4.66 billion, indicating an 8.6% year-over-year growth [3]. - The company's revenue growth is attributed to a balanced operating model, mortgage rate buydown programs, and favorable home pricing, despite higher mortgage rates and affordability challenges [4]. Home Closings and Pricing - PulteGroup anticipates home closings to be between 7,900 and 8,300 units, an increase from 7,615 units a year ago, with a model prediction of 8,012 units, representing a 5.2% year-over-year growth [5]. - The average selling price (ASP) for homes is expected to be between $555,000 and $565,000, up from $547,000 a year ago, with a model prediction of a 2.3% increase to $559,500 [6]. Segment Performance - Homebuilding revenues, which contributed 98% to total revenues in 2023, are expected to rise by 7.5% year-over-year to $4.51 billion, driven by higher home closings and ASP [7]. - Financial services revenues, contributing 2% to total revenues in 2023, are projected to increase by 4.4% year-over-year to $98 million [7]. Margin Analysis - PulteGroup is likely to experience margin pressure due to the need for incentives to address affordability concerns, with homebuilding gross margins expected to be in the range of 27.5% to 27.8%, down from 28.7% in the previous year [8][9]. Orders and Backlogs - The company expects net new orders to increase by 6% year-over-year to 6,586 units, while total backlog is anticipated to decline by 12.2% to 10,663 units, with the total backlog value decreasing by 5.6% year-over-year to $6.91 billion [11]. Earnings Prediction - The model predicts an earnings beat for PulteGroup, supported by a positive Earnings ESP of +2.36% and a Zacks Rank of 3 (Hold) [12][13].

Company Overview - PulteGroup (PHM) is expected to report a year-over-year decline in earnings of 2.1%, with earnings projected at $3.21 per share, while revenues are anticipated to increase by 8.6% to $4.66 billion for the quarter ended December 2024 [3][12]. Earnings Expectations - The earnings report is scheduled for January 30, 2025, and could influence the stock price significantly depending on whether the actual results exceed or fall short of expectations [2][14]. - The consensus EPS estimate has been revised down by 0.43% over the last 30 days, indicating a reassessment by analysts [4]. Earnings Surprise Prediction - The Most Accurate Estimate for PulteGroup is higher than the Zacks Consensus Estimate, resulting in a positive Earnings ESP of +2.36%, suggesting a likelihood of beating the consensus EPS estimate [10][11]. - Historical performance shows that PulteGroup has beaten consensus EPS estimates in the last four quarters, with a notable surprise of +8.06% in the last reported quarter [12][13]. Industry Context - In the Zacks Building Products - Home Builders industry, Meritage Homes (MTH) is also expected to report earnings of $2.45 per share, reflecting a year-over-year decline of 8.9%, with revenues projected to decrease by 5.1% to $1.57 billion [17]. - Meritage Homes has seen a significant upward revision of 11.8% in its consensus EPS estimate over the last 30 days, resulting in an Earnings ESP of 5.97%, indicating a strong likelihood of beating the consensus EPS estimate [18].

Core Viewpoint - Zacks Premium provides tools and resources to help investors make informed decisions and improve their investment strategies through various rankings and scores [1][2]. Zacks Style Scores - Zacks Style Scores rate stocks based on value, growth, and momentum, serving as complementary indicators to the Zacks Rank [2][3]. - Each stock receives an alphabetic rating from A to F, with A indicating the highest potential for outperforming the market [3]. Value Score - The Value Style Score focuses on identifying undervalued stocks by analyzing financial ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow [3]. Growth Score - The Growth Style Score evaluates stocks based on projected and historical earnings, sales, and cash flow to identify those with sustainable growth potential [4]. Momentum Score - The Momentum Style Score assesses stocks based on recent price changes and earnings estimate trends, helping investors capitalize on upward or downward price movements [5]. VGM Score - The VGM Score combines the Value, Growth, and Momentum Scores, providing a comprehensive indicator for investors seeking stocks with attractive value, strong growth forecasts, and promising momentum [6]. Zacks Rank - The Zacks Rank is a proprietary model that utilizes earnings estimate revisions to assist investors in building successful portfolios [7]. - Stocks rated 1 (Strong Buy) have historically produced an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [8]. Stock to Watch: PulteGroup - PulteGroup Inc. operates primarily in homebuilding and financial services, with 98% of its revenue coming from homebuilding as of 2023 [12]. - Currently rated 3 (Hold) with a VGM Score of A, PulteGroup has a Momentum Style Score of A and has seen a 4.6% increase in shares over the past four weeks [12][13]. - Recent earnings estimates for fiscal 2024 have been revised upward, with the Zacks Consensus Estimate increasing by $0.01 to $13.43 per share, alongside an average earnings surprise of 10.9% [13].

Company Performance - PulteGroup (PHM) closed at $115.81, reflecting a -1.04% change compared to the previous day, underperforming the S&P 500's 0.88% gain [1] - Over the past month, PulteGroup's shares have increased by 6.27%, while the Construction sector and S&P 500 gained 3.13% and 1.17% respectively [1] Upcoming Earnings - PulteGroup is expected to release its earnings on January 30, 2025, with analysts projecting earnings of $3.21 per share, indicating a year-over-year decline of 2.13% [2] - The Zacks Consensus Estimate for revenue is $4.66 billion, representing an 8.58% increase from the previous year [2] Analyst Forecasts - Recent revisions to analyst forecasts for PulteGroup are crucial as they reflect short-term business trends and analysts' confidence in the company's performance [3] Zacks Rank and Performance - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), currently rates PulteGroup at 3 (Hold) [5] - Over the last 30 days, the Zacks Consensus EPS estimate for PulteGroup has increased by 0.2% [5] Valuation Metrics - PulteGroup has a Forward P/E ratio of 8.74, which is higher than the industry average Forward P/E of 8.29 [6] - The company has a PEG ratio of 0.46, compared to the industry average PEG ratio of 0.83 [7] Industry Context - The Building Products - Home Builders industry, which includes PulteGroup, has a Zacks Industry Rank of 216, placing it in the bottom 14% of over 250 industries [8] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [8]

Core Insights - PulteGroup has consistently beaten earnings estimates, with an average surprise of 9.80% over the last two quarters [1][2] - The company reported earnings of $3.35 per share for the most recent quarter, exceeding the expected $3.10 per share, resulting in a surprise of 8.06% [2] - For the previous quarter, PulteGroup's earnings were $3.58 per share against an estimate of $3.21 per share, leading to a surprise of 11.53% [2] Earnings Estimates and Predictions - Estimates for PulteGroup have been trending higher due to its history of earnings surprises, indicating positive analyst sentiment [3] - The stock has a positive Zacks Earnings ESP of +2.36%, suggesting bullish expectations for future earnings [6] - The combination of a positive Earnings ESP and a Zacks Rank of 3 (Hold) indicates a high likelihood of another earnings beat [6][4] Statistical Insights - Research indicates that stocks with a positive Earnings ESP and a Zacks Rank of 3 or better have a nearly 70% chance of producing a positive surprise [4] - The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, reflecting the latest analyst revisions [5] Upcoming Earnings - PulteGroup's next earnings report is expected to be released on January 30, 2025 [6]

PulteGroup (PHM) closed the latest trading day at $108.99, indicating a +1.28% change from the previous session's end. The stock outpaced the S&P 500's daily gain of 0.16%. Meanwhile, the Dow gained 0.86%, and the Nasdaq, a tech-heavy index, lost 0.38%.Prior to today's trading, shares of the homebuilder had lost 9.13% over the past month. This has was narrower than the Construction sector's loss of 10.48% and lagged the S&P 500's loss of 2.2% in that time.The investment community will be paying close attent ...

Core Viewpoint - PulteGroup (NYSE: PHM) remains a top choice in the homebuilding industry for 2025, having increased over 12% since previous coverage, indicating strong performance and potential for continued growth [1]. Company Summary - PulteGroup has been rated a "Buy" since April 2024, reflecting positive sentiment and investment potential within the homebuilding sector [1]. - The company has shown a total return that is competitive within the industry, suggesting effective management and strategic positioning [1]. Industry Summary - The homebuilding industry is experiencing a favorable market environment, with companies like PulteGroup leading the way in performance metrics [1].

Core Viewpoint - PulteGroup reported strong Q3 2024 earnings and revenues, exceeding estimates and showing year-over-year growth, despite a recent decline in share price [2][6]. Financial Performance - Earnings per share were $3.35, surpassing the Zacks Consensus Estimate of $3.10 by 8.1% and increasing 16% from $2.90 a year ago [6]. - Total revenues reached $4.48 billion, exceeding the consensus mark of $4.26 billion by 5.1% and up 12% from $4 billion in the previous year [6]. Operational Highlights - The company successfully executed a balanced spec and build-to-order model, benefiting from a structural shortage of homes due to years of underbuilding [3]. - Home closings increased by 12% year over year to 7,924 units, with an average selling price of homes delivered at $548,000, nearly unchanged from the previous year [8]. Segment Analysis - Homebuilding segment revenues rose 12% year over year to $4.3 billion, driven by increased home sales, while land sale revenues decreased [7]. - Financial Services segment revenues surged 48.4% year over year to $113.8 million, with pretax income increasing 90% to $55 million [11]. Investment and Returns - PulteGroup invested approximately $1.4 billion in its business during the quarter and returned over $360 million to shareholders, achieving a return on equity of 27% over the past 12 months [4]. Market Outlook - The Federal Reserve's decision to lower interest rates in late September is expected to positively impact the homebuilding industry, addressing affordability challenges for homebuyers [5]. - For Q4 2024, PulteGroup anticipates closing between 7,900 and 8,300 homes, with an expected average selling price of $555,000 to $565,000 [15]. Guidance and Projections - The company projects nearly 31,000 home closings for 2024, with a gross margin of approximately 29% and SG&A expenses between 9.2% and 9.5% of home sales [16]. - The backlog of orders decreased by 10.8% year over year to 12,089 units, with potential housing revenues from the backlog down to $7.69 billion from $8.13 billion [9].

PulteGroup, Inc. (PHM) announced a 10% hike in its quarterly cash dividend, reaffirming its commitment to boost shareholders’ value. This strategic move marks the sixth yearly increase in its dividend since 2019.This is one of the top 10 homebuilders that raised the quarterly dividend payout to 22 cents per share from 20 cents. The amount will be paid on Jan. 3, 2025, to shareholders of record as of Dec. 17, 2024. Impressively, PHM has doubled the per-share payout in the past six years.Based on yesterday’s ...

Company Overview - PulteGroup Inc. is based in Atlanta, GA, and operates in homebuilding and financial services, with homebuilding contributing 98% to total revenues as of 2023 [11]. - The company has a Zacks Rank of 3 (Hold) and a VGM Score of B, indicating a moderate investment outlook [11]. Growth Potential - PulteGroup is considered a top pick for growth investors, with a Growth Style Score of B, forecasting year-over-year earnings growth of 14.5% for the current fiscal year [12]. - In the last 60 days, five analysts have revised their earnings estimates upwards, with the Zacks Consensus Estimate increasing by $0.06 to $13.42 per share [12]. - The company has an average earnings surprise of 10.9%, suggesting strong performance relative to expectations [12].