PULTEGROUP INC (PHM) Stock Fundamental Analysis
USA - NYSE:PHM - US7458671010 - Common Stock
133.14 USD
+1.01 (+0.76%)
Overall PHM gets a fundamental rating of 7 out of 10. We evaluated PHM against 63 industry peers in the Household Durables industry. PHM gets an excellent profitability rating and is at the same time showing great financial health properties. PHM is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
PHM had positive earnings in the past year.
In the past year PHM had a positive cash flow from operations.
In the past 5 years PHM has always been profitable.
PHM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PHM has a Return On Assets of 15.59%. This is amongst the best in the industry. PHM outperforms 98.41% of its industry peers.
PHM's Return On Equity of 21.81% is amongst the best of the industry. PHM outperforms 88.89% of its industry peers.
PHM has a Return On Invested Capital of 17.87%. This is amongst the best in the industry. PHM outperforms 98.41% of its industry peers.
The Average Return On Invested Capital over the past 3 years for PHM is significantly above the industry average of 10.52%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.59% | ||
| ROE | 21.81% | ||
| ROIC | 17.87% |
ROA(3y)17.15%
ROA(5y)15.47%
ROE(3y)26.53%
ROE(5y)25.31%
ROIC(3y)19.16%
ROIC(5y)17.38%
1.3 Margins
PHM has a better Profit Margin (15.50%) than 95.24% of its industry peers.
PHM's Profit Margin has improved in the last couple of years.
The Operating Margin of PHM (20.09%) is better than 95.24% of its industry peers.
In the last couple of years the Operating Margin of PHM has grown nicely.
The Gross Margin of PHM (27.81%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of PHM has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.09% | ||
| PM (TTM) | 15.5% | ||
| GM | 27.81% |
OM growth 3Y5.48%
OM growth 5Y10.79%
PM growth 3Y6.93%
PM growth 5Y11.77%
GM growth 3Y1.93%
GM growth 5Y4.44%
2. Health
2.1 Basic Checks
PHM has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, PHM has less shares outstanding
The number of shares outstanding for PHM has been reduced compared to 5 years ago.
PHM has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 6.30 indicates that PHM is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 6.30, PHM belongs to the top of the industry, outperforming 88.89% of the companies in the same industry.
The Debt to FCF ratio of PHM is 1.61, which is an excellent value as it means it would take PHM, only 1.61 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of PHM (1.61) is better than 79.37% of its industry peers.
A Debt/Equity ratio of 0.17 indicates that PHM is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.17, PHM is doing good in the industry, outperforming 69.84% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 1.61 | ||
| Altman-Z | 6.3 |
ROIC/WACC2.07
WACC8.65%
2.3 Liquidity
A Current Ratio of 4.93 indicates that PHM has no problem at all paying its short term obligations.
PHM's Current ratio of 4.93 is fine compared to the rest of the industry. PHM outperforms 77.78% of its industry peers.
PHM has a Quick Ratio of 4.93. This is a bad value and indicates that PHM is not financially healthy enough and could expect problems in meeting its short term obligations.
PHM has a worse Quick ratio (0.42) than 84.13% of its industry peers.
PHM does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.93 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
PHM shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.56%.
Measured over the past years, PHM shows a very strong growth in Earnings Per Share. The EPS has been growing by 32.15% on average per year.
Looking at the last year, PHM shows a small growth in Revenue. The Revenue has grown by 5.04% in the last year.
PHM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.94% yearly.
EPS 1Y (TTM)3.56%
EPS 3Y25.56%
EPS 5Y32.15%
EPS Q2Q%-19.63%
Revenue 1Y (TTM)5.04%
Revenue growth 3Y9.32%
Revenue growth 5Y11.94%
Sales Q2Q%-4.26%
3.2 Future
Based on estimates for the next years, PHM will show a decrease in Earnings Per Share. The EPS will decrease by -2.75% on average per year.
The Revenue is expected to grow by 0.90% on average over the next years.
EPS Next Y-20.86%
EPS Next 2Y-10.31%
EPS Next 3Y-2.75%
EPS Next 5YN/A
Revenue Next Year-4.56%
Revenue Next 2Y-2.27%
Revenue Next 3Y0.9%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
PHM is valuated reasonably with a Price/Earnings ratio of 9.95.
Based on the Price/Earnings ratio, PHM is valued a bit cheaper than 69.84% of the companies in the same industry.
When comparing the Price/Earnings ratio of PHM to the average of the S&P500 Index (27.76), we can say PHM is valued rather cheaply.
The Price/Forward Earnings ratio is 11.41, which indicates a very decent valuation of PHM.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PHM indicates a somewhat cheap valuation: PHM is cheaper than 65.08% of the companies listed in the same industry.
PHM's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.18.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.95 | ||
| Fwd PE | 11.41 |
4.2 Price Multiples
68.25% of the companies in the same industry are more expensive than PHM, based on the Enterprise Value to EBITDA ratio.
63.49% of the companies in the same industry are more expensive than PHM, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.93 | ||
| EV/EBITDA | 7.25 |
4.3 Compensation for Growth
PHM has an outstanding profitability rating, which may justify a higher PE ratio.
PHM's earnings are expected to decrease with -2.75% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.31
EPS Next 2Y-10.31%
EPS Next 3Y-2.75%
5. Dividend
5.1 Amount
PHM has a yearly dividend return of 0.67%, which is pretty low.
PHM's Dividend Yield is a higher than the industry average which is at 2.76.
With a Dividend Yield of 0.67, PHM pays less dividend than the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.67% |
5.2 History
On average, the dividend of PHM grows each year by 12.52%, which is quite nice.
PHM has paid a dividend for at least 10 years, which is a reliable track record.
PHM has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)12.52%
Div Incr Years7
Div Non Decr Years11
5.3 Sustainability
6.30% of the earnings are spent on dividend by PHM. This is a low number and sustainable payout ratio.
DP6.3%
EPS Next 2Y-10.31%
EPS Next 3Y-2.75%
NYSE:PHM (10/1/2025, 10:48:41 AM)
133.14
+1.01 (+0.76%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners97.33%
Inst Owner Change-0.74%
Ins Owners0.61%
Ins Owner Change-0.44%
Market Cap26.27B
Analysts76.19
Price Target139.99 (5.14%)
Short Float %3.33%
Short Ratio3.12
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.67% |
Yearly Dividend0.81
Dividend Growth(5Y)12.52%
DP6.3%
Div Incr Years7
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.22%
Min EPS beat(2)1.33%
Max EPS beat(2)5.11%
EPS beat(4)4
Avg EPS beat(4)11.83%
Min EPS beat(4)1.33%
Max EPS beat(4)34.18%
EPS beat(8)8
Avg EPS beat(8)10.97%
EPS beat(12)11
Avg EPS beat(12)12.63%
EPS beat(16)15
Avg EPS beat(16)10.54%
Revenue beat(2)1
Avg Revenue beat(2)0.14%
Min Revenue beat(2)-0.75%
Max Revenue beat(2)1.03%
Revenue beat(4)3
Avg Revenue beat(4)2.33%
Min Revenue beat(4)-0.75%
Max Revenue beat(4)5.12%
Revenue beat(8)5
Avg Revenue beat(8)1.67%
Revenue beat(12)8
Avg Revenue beat(12)2.56%
Revenue beat(16)11
Avg Revenue beat(16)6.8%
PT rev (1m)0.85%
PT rev (3m)12.42%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.17%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.89%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.74%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.95 | ||
| Fwd PE | 11.41 | ||
| P/S | 1.48 | ||
| P/FCF | 19.93 | ||
| P/OCF | 18.17 | ||
| P/B | 2.09 | ||
| P/tB | 2.11 | ||
| EV/EBITDA | 7.25 |
EPS(TTM)13.38
EY10.05%
EPS(NY)11.67
Fwd EY8.77%
FCF(TTM)6.68
FCFY5.02%
OCF(TTM)7.33
OCFY5.5%
SpS89.68
BVpS63.74
TBVpS63.17
PEG (NY)N/A
PEG (5Y)0.31
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.59% | ||
| ROE | 21.81% | ||
| ROCE | 24.25% | ||
| ROIC | 17.87% | ||
| ROICexc | 19.45% | ||
| ROICexgc | 23.05% | ||
| OM | 20.09% | ||
| PM (TTM) | 15.5% | ||
| GM | 27.81% | ||
| FCFM | 7.45% |
ROA(3y)17.15%
ROA(5y)15.47%
ROE(3y)26.53%
ROE(5y)25.31%
ROIC(3y)19.16%
ROIC(5y)17.38%
ROICexc(3y)21.36%
ROICexc(5y)20.11%
ROICexgc(3y)23%
ROICexgc(5y)21.55%
ROCE(3y)26.16%
ROCE(5y)23.82%
ROICexcg growth 3Y3.02%
ROICexcg growth 5Y12.74%
ROICexc growth 3Y1.98%
ROICexc growth 5Y11.96%
OM growth 3Y5.48%
OM growth 5Y10.79%
PM growth 3Y6.93%
PM growth 5Y11.77%
GM growth 3Y1.93%
GM growth 5Y4.44%
F-Score5
Asset Turnover1.01
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 1.61 | ||
| Debt/EBITDA | 0.58 | ||
| Cap/Depr | 133.18% | ||
| Cap/Sales | 0.72% | ||
| Interest Coverage | 168.12 | ||
| Cash Conversion | 39.6% | ||
| Profit Quality | 48.05% | ||
| Current Ratio | 4.93 | ||
| Quick Ratio | 0.42 | ||
| Altman-Z | 6.3 |
F-Score5
WACC8.65%
ROIC/WACC2.07
Cap/Depr(3y)135.3%
Cap/Depr(5y)119.66%
Cap/Sales(3y)0.65%
Cap/Sales(5y)0.6%
Profit Quality(3y)51.07%
Profit Quality(5y)65.05%
High Growth Momentum
Growth
EPS 1Y (TTM)3.56%
EPS 3Y25.56%
EPS 5Y32.15%
EPS Q2Q%-19.63%
EPS Next Y-20.86%
EPS Next 2Y-10.31%
EPS Next 3Y-2.75%
EPS Next 5YN/A
Revenue 1Y (TTM)5.04%
Revenue growth 3Y9.32%
Revenue growth 5Y11.94%
Sales Q2Q%-4.26%
Revenue Next Year-4.56%
Revenue Next 2Y-2.27%
Revenue Next 3Y0.9%
Revenue Next 5YN/A
EBIT growth 1Y-1.83%
EBIT growth 3Y15.32%
EBIT growth 5Y24.01%
EBIT Next Year-13.04%
EBIT Next 3Y-2.57%
EBIT Next 5YN/A
FCF growth 1Y-31.42%
FCF growth 3Y18.82%
FCF growth 5Y8.95%
OCF growth 1Y-28.32%
OCF growth 3Y18.74%
OCF growth 5Y9.33%