D.R. Horton (DHI) closed the most recent trading day at $172.09, moving -3.25% from the previous trading session. The stock's performance was behind the S&P 500's daily gain of 0.47%. On the other hand, the Dow registered a gain of 0.11%, and the technology-centric Nasdaq increased by 0.94%.
Shares of the homebuilder witnessed a gain of 7.4% over the previous month, beating the performance of the Construction sector with its gain of 0.75%, and the S&P 500's gain of 2.32%.
Investors will be eagerly watching for the performance of D.R. Horton in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on October 28, 2025. The company is predicted to post an EPS of $3.29, indicating a 16.07% decline compared to the equivalent quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $9.46 billion, down 5.44% from the prior-year quarter.
For the full year, the Zacks Consensus Estimates are projecting earnings of $11.79 per share and revenue of $34.02 billion, which would represent changes of -17.78% and -7.55%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for D.R Horton. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. D.R. Horton is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that D.R. Horton has a Forward P/E ratio of 15.09 right now. Its industry sports an average Forward P/E of 11.99, so one might conclude that D.R. Horton is trading at a premium comparatively.
Also, we should mention that DHI has a PEG ratio of 3.77. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Building Products - Home Builders industry currently had an average PEG ratio of 2.61 as of yesterday's close.
The Building Products - Home Builders industry is part of the Construction sector. Currently, this industry holds a Zacks Industry Rank of 230, positioning it in the bottom 7% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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D.R. Horton, Inc. (DHI): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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