Dream Finders Homes Inc. (DFH) ended the recent trading session at $28.22, demonstrating a +1.15% change from the preceding day's closing price. The stock outpaced the S&P 500's daily gain of 0.28%. Meanwhile, the Dow experienced a rise of 0.43%, and the technology-dominated Nasdaq saw an increase of 0.09%.
Coming into today, shares of the homebuilder had gained 21.2% in the past month. In that same time, the Construction sector gained 5.19%, while the S&P 500 gained 4.37%.
The investment community will be closely monitoring the performance of Dream Finders Homes Inc. in its forthcoming earnings report. The company is expected to report EPS of $0.66, down 18.52% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.02 billion, down 3.72% from the prior-year quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $3.23 per share and revenue of $4.76 billion. These totals would mark changes of -3.29% and +7.03%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Dream Finders Homes Inc. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Dream Finders Homes Inc. presently features a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Dream Finders Homes Inc. has a Forward P/E ratio of 8.65 right now. This denotes a discount relative to the industry average Forward P/E of 9.91.
Also, we should mention that DFH has a PEG ratio of 3.42. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Building Products - Home Builders industry held an average PEG ratio of 2.34.
The Building Products - Home Builders industry is part of the Construction sector. This industry, currently bearing a Zacks Industry Rank of 195, finds itself in the bottom 22% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Dream Finders Homes, Inc. (DFH): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
