DR HORTON INC (DHI) Stock Fundamental Analysis

USA • New York Stock Exchange • NYSE:DHI • US23331A1097

156.27 USD
-1.86 (-1.18%)
At close: Feb 6, 2026
153.5 USD
-2.77 (-1.77%)
After Hours: 2/6/2026, 8:28:55 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

6

We assign a fundamental rating of 6 out of 10 to DHI. DHI was compared to 60 industry peers in the Household Durables industry. DHI gets an excellent profitability rating and is at the same time showing great financial health properties. DHI is not valued too expensively and it also shows a decent growth rate.


Dividend Valuation Growth Profitability Health

7

1. Profitability

1.1 Basic Checks

  • DHI had positive earnings in the past year.
  • In the past year DHI had a positive cash flow from operations.
  • Each year in the past 5 years DHI has been profitable.
  • DHI had a positive operating cash flow in each of the past 5 years.
DHI Yearly Net Income VS EBIT VS OCF VS FCFDHI Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B

1.2 Ratios

  • With an excellent Return On Assets value of 9.63%, DHI belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
  • The Return On Equity of DHI (13.90%) is better than 70.00% of its industry peers.
  • With a decent Return On Invested Capital value of 11.56%, DHI is doing good in the industry, outperforming 78.33% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for DHI is significantly above the industry average of 9.41%.
Industry RankSector Rank
ROA 9.63%
ROE 13.9%
ROIC 11.56%
ROA(3y)12.62%
ROA(5y)14.91%
ROE(3y)18.17%
ROE(5y)22.55%
ROIC(3y)14.99%
ROIC(5y)17.72%
DHI Yearly ROA, ROE, ROICDHI Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

1.3 Margins

  • DHI's Profit Margin of 9.95% is amongst the best of the industry. DHI outperforms 83.33% of its industry peers.
  • In the last couple of years the Profit Margin of DHI has declined.
  • Looking at the Operating Margin, with a value of 13.57%, DHI belongs to the top of the industry, outperforming 85.00% of the companies in the same industry.
  • In the last couple of years the Operating Margin of DHI has remained more or less at the same level.
  • Looking at the Gross Margin, with a value of 23.61%, DHI is doing worse than 60.00% of the companies in the same industry.
  • In the last couple of years the Gross Margin of DHI has remained more or less at the same level.
Industry RankSector Rank
OM 13.57%
PM (TTM) 9.95%
GM 23.61%
OM growth 3Y-14.91%
OM growth 5Y-0.59%
PM growth 3Y-15.74%
PM growth 5Y-2.18%
GM growth 3Y-8.68%
GM growth 5Y-0.33%
DHI Yearly Profit, Operating, Gross MarginsDHI Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

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ROAROEROICOperating and Profit MarginShow most profitable peers

7

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), DHI is creating some value.
  • The number of shares outstanding for DHI has been reduced compared to 1 year ago.
  • Compared to 5 years ago, DHI has less shares outstanding
  • The debt/assets ratio for DHI is higher compared to a year ago.
DHI Yearly Shares OutstandingDHI Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M
DHI Yearly Total Debt VS Total AssetsDHI Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B

2.2 Solvency

  • DHI has an Altman-Z score of 6.08. This indicates that DHI is financially healthy and has little risk of bankruptcy at the moment.
  • DHI has a better Altman-Z score (6.08) than 85.00% of its industry peers.
  • The Debt to FCF ratio of DHI is 1.60, which is an excellent value as it means it would take DHI, only 1.60 years of fcf income to pay off all of its debts.
  • With a decent Debt to FCF ratio value of 1.60, DHI is doing good in the industry, outperforming 71.67% of the companies in the same industry.
  • A Debt/Equity ratio of 0.22 indicates that DHI is not too dependend on debt financing.
  • DHI has a better Debt to Equity ratio (0.22) than 63.33% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.22
Debt/FCF 1.6
Altman-Z 6.08
ROIC/WACC1.25
WACC9.27%
DHI Yearly LT Debt VS Equity VS FCFDHI Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B 25B

2.3 Liquidity

  • DHI has a Current Ratio of 5.29. This indicates that DHI is financially healthy and has no problem in meeting its short term obligations.
  • DHI has a better Current ratio (5.29) than 75.00% of its industry peers.
  • DHI has a Quick Ratio of 5.29. This is a bad value and indicates that DHI is not financially healthy enough and could expect problems in meeting its short term obligations.
  • Looking at the Quick ratio, with a value of 0.55, DHI is doing worse than 76.67% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 5.29
Quick Ratio 0.55
DHI Yearly Current Assets VS Current LiabilitesDHI Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B 25B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. Growth

3.1 Past

  • The earnings per share for DHI have decreased strongly by -22.19% in the last year.
  • Measured over the past years, DHI shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.86% on average per year.
  • The Revenue has decreased by -8.62% in the past year.
  • Measured over the past years, DHI shows a quite strong growth in Revenue. The Revenue has been growing by 11.02% on average per year.
EPS 1Y (TTM)-22.19%
EPS 3Y-11.18%
EPS 5Y12.86%
EPS Q2Q%-22.22%
Revenue 1Y (TTM)-8.62%
Revenue growth 3Y0.76%
Revenue growth 5Y11.02%
Sales Q2Q%-9.54%

3.2 Future

  • DHI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.04% yearly.
  • DHI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.20% yearly.
EPS Next Y-1.14%
EPS Next 2Y7.54%
EPS Next 3Y12.1%
EPS Next 5Y19.04%
Revenue Next Year-0.68%
Revenue Next 2Y2.36%
Revenue Next 3Y4.61%
Revenue Next 5Y7.2%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
DHI Yearly Revenue VS EstimatesDHI Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 10B 20B 30B 40B
DHI Yearly EPS VS EstimatesDHI Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 10 20 30

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Find the best growth stocksShow best growing peers

5

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 14.19, which indicates a correct valuation of DHI.
  • Compared to the rest of the industry, the Price/Earnings ratio of DHI is on the same level as its industry peers.
  • When comparing the Price/Earnings ratio of DHI to the average of the S&P500 Index (27.92), we can say DHI is valued slightly cheaper.
  • Based on the Price/Forward Earnings ratio of 11.66, the valuation of DHI can be described as reasonable.
  • Based on the Price/Forward Earnings ratio, DHI is valued a bit cheaper than 75.00% of the companies in the same industry.
  • DHI's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.78.
Industry RankSector Rank
PE 14.19
Fwd PE 11.66
DHI Price Earnings VS Forward Price EarningsDHI Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

  • The rest of the industry has a similar Enterprise Value to EBITDA ratio as DHI.
  • Based on the Price/Free Cash Flow ratio, DHI is valued a bit cheaper than the industry average as 73.33% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 13.13
EV/EBITDA 10.4
DHI Per share dataDHI EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60 80 100

4.3 Compensation for Growth

  • The decent profitability rating of DHI may justify a higher PE ratio.
  • DHI's earnings are expected to grow with 12.10% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)1.1
EPS Next 2Y7.54%
EPS Next 3Y12.1%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. Dividend

5.1 Amount

  • DHI has a Yearly Dividend Yield of 1.20%. Purely for dividend investing, there may be better candidates out there.
  • DHI's Dividend Yield is a higher than the industry average which is at 1.20.
  • DHI's Dividend Yield is slightly below the S&P500 average, which is at 1.83.
Industry RankSector Rank
Dividend Yield 1.2%

5.2 History

  • On average, the dividend of DHI grows each year by 18.00%, which is quite nice.
  • DHI has been paying a dividend for at least 10 years, so it has a reliable track record.
  • DHI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)18%
Div Incr Years10
Div Non Decr Years10
DHI Yearly Dividends per shareDHI Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.5 1 1.5

5.3 Sustainability

  • 14.93% of the earnings are spent on dividend by DHI. This is a low number and sustainable payout ratio.
  • DHI's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP14.93%
EPS Next 2Y7.54%
EPS Next 3Y12.1%
DHI Yearly Income VS Free CF VS DividendDHI Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B 5B
DHI Dividend Payout.DHI Dividend Payout, showing the Payout Ratio.DHI Dividend Payout.PayoutRetained Earnings

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Find the best dividend stocksShow peers with best dividend

DR HORTON INC

NYSE:DHI (2/6/2026, 8:28:55 PM)

After market: 153.5 -2.77 (-1.77%)

156.27

-1.86 (-1.18%)

Chartmill FA Rating
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)01-20
Earnings (Next)04-21
Inst Owners89.61%
Inst Owner Change-1.92%
Ins Owners0.66%
Ins Owner Change9.35%
Market Cap45.64B
Revenue(TTM)33.52B
Net Income(TTM)3.34B
Analysts70
Price Target166.09 (6.28%)
Short Float %5.75%
Short Ratio4.56
Dividend
Industry RankSector Rank
Dividend Yield 1.2%
Yearly Dividend1.6
Dividend Growth(5Y)18%
DP14.93%
Div Incr Years10
Div Non Decr Years10
Ex-Date02-05
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2.19%
Min EPS beat(2)-8.34%
Max EPS beat(2)3.97%
EPS beat(4)2
Avg EPS beat(4)2.04%
Min EPS beat(4)-8.34%
Max EPS beat(4)15.5%
EPS beat(8)5
Avg EPS beat(8)4.11%
EPS beat(12)8
Avg EPS beat(12)10.01%
EPS beat(16)11
Avg EPS beat(16)9.59%
Revenue beat(2)2
Avg Revenue beat(2)2.53%
Min Revenue beat(2)1.8%
Max Revenue beat(2)3.27%
Revenue beat(4)3
Avg Revenue beat(4)1.17%
Min Revenue beat(4)-4.66%
Max Revenue beat(4)4.26%
Revenue beat(8)6
Avg Revenue beat(8)2.31%
Revenue beat(12)10
Avg Revenue beat(12)4.99%
Revenue beat(16)12
Avg Revenue beat(16)4.26%
PT rev (1m)-0.97%
PT rev (3m)-1.48%
EPS NQ rev (1m)-12%
EPS NQ rev (3m)-20.22%
EPS NY rev (1m)-0.91%
EPS NY rev (3m)-8.71%
Revenue NQ rev (1m)-1.99%
Revenue NQ rev (3m)-6.78%
Revenue NY rev (1m)-0.79%
Revenue NY rev (3m)-2.55%
Valuation
Industry RankSector Rank
PE 14.19
Fwd PE 11.66
P/S 1.36
P/FCF 13.13
P/OCF 12.58
P/B 1.9
P/tB 1.92
EV/EBITDA 10.4
EPS(TTM)11.01
EY7.05%
EPS(NY)13.4
Fwd EY8.58%
FCF(TTM)11.9
FCFY7.62%
OCF(TTM)12.42
OCFY7.95%
SpS114.79
BVpS82.16
TBVpS81.6
PEG (NY)N/A
PEG (5Y)1.1
Graham Number142.66
Profitability
Industry RankSector Rank
ROA 9.63%
ROE 13.9%
ROCE 15.56%
ROIC 11.56%
ROICexc 12.61%
ROICexgc 14.34%
OM 13.57%
PM (TTM) 9.95%
GM 23.61%
FCFM 10.37%
ROA(3y)12.62%
ROA(5y)14.91%
ROE(3y)18.17%
ROE(5y)22.55%
ROIC(3y)14.99%
ROIC(5y)17.72%
ROICexc(3y)17.22%
ROICexc(5y)20.33%
ROICexgc(3y)19.35%
ROICexgc(5y)22.67%
ROCE(3y)20.7%
ROCE(5y)24.66%
ROICexgc growth 3Y-19.46%
ROICexgc growth 5Y-4.06%
ROICexc growth 3Y-19.65%
ROICexc growth 5Y-5.07%
OM growth 3Y-14.91%
OM growth 5Y-0.59%
PM growth 3Y-15.74%
PM growth 5Y-2.18%
GM growth 3Y-8.68%
GM growth 5Y-0.33%
F-Score4
Asset Turnover0.97
Health
Industry RankSector Rank
Debt/Equity 0.22
Debt/FCF 1.6
Debt/EBITDA 1.16
Cap/Depr 144.42%
Cap/Sales 0.45%
Interest Coverage 250
Cash Conversion 77.94%
Profit Quality 104.25%
Current Ratio 5.29
Quick Ratio 0.55
Altman-Z 6.08
F-Score4
WACC9.27%
ROIC/WACC1.25
Cap/Depr(3y)162.55%
Cap/Depr(5y)206.31%
Cap/Sales(3y)0.42%
Cap/Sales(5y)0.53%
Profit Quality(3y)73.9%
Profit Quality(5y)47.03%
High Growth Momentum
Growth
EPS 1Y (TTM)-22.19%
EPS 3Y-11.18%
EPS 5Y12.86%
EPS Q2Q%-22.22%
EPS Next Y-1.14%
EPS Next 2Y7.54%
EPS Next 3Y12.1%
EPS Next 5Y19.04%
Revenue 1Y (TTM)-8.62%
Revenue growth 3Y0.76%
Revenue growth 5Y11.02%
Sales Q2Q%-9.54%
Revenue Next Year-0.68%
Revenue Next 2Y2.36%
Revenue Next 3Y4.61%
Revenue Next 5Y7.2%
EBIT growth 1Y-26.92%
EBIT growth 3Y-14.26%
EBIT growth 5Y10.37%
EBIT Next Year-8.63%
EBIT Next 3Y8.48%
EBIT Next 5Y11.39%
FCF growth 1Y9.57%
FCF growth 3Y99.49%
FCF growth 5Y23.68%
OCF growth 1Y9.23%
OCF growth 3Y82.61%
OCF growth 5Y19.2%

DR HORTON INC / DHI FAQ

What is the fundamental rating for DHI stock?

ChartMill assigns a fundamental rating of 6 / 10 to DHI.


Can you provide the valuation status for DR HORTON INC?

ChartMill assigns a valuation rating of 5 / 10 to DR HORTON INC (DHI). This can be considered as Fairly Valued.


Can you provide the profitability details for DR HORTON INC?

DR HORTON INC (DHI) has a profitability rating of 7 / 10.


What is the valuation of DR HORTON INC based on its PE and PB ratios?

The Price/Earnings (PE) ratio for DR HORTON INC (DHI) is 14.19 and the Price/Book (PB) ratio is 1.9.


What is the earnings growth outlook for DR HORTON INC?

The Earnings per Share (EPS) of DR HORTON INC (DHI) is expected to decline by -1.14% in the next year.