PulteGroup (PHM) closed at $137.20 in the latest trading session, marking a +1.14% move from the prior day. The stock exceeded the S&P 500, which registered a loss of 0.43% for the day. At the same time, the Dow lost 1.05%, and the tech-heavy Nasdaq lost 0.92%.
Shares of the homebuilder witnessed a gain of 6.6% over the previous month, trailing the performance of the Construction sector with its gain of 7.06%, and outperforming the S&P 500's loss of 0.5%.
The upcoming earnings release of PulteGroup will be of great interest to investors. The company's earnings report is expected on April 23, 2026. The company is predicted to post an EPS of $1.83, indicating a 28.79% decline compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $3.38 billion, showing a 13.04% drop compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $10.11 per share and revenue of $16.5 billion, indicating changes of -11.63% and -4.68%, respectively, compared to the previous year.
Investors should also pay attention to any latest changes in analyst estimates for PulteGroup. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 8.87% downward. Right now, PulteGroup possesses a Zacks Rank of #5 (Strong Sell).
Valuation is also important, so investors should note that PulteGroup has a Forward P/E ratio of 13.43 right now. For comparison, its industry has an average Forward P/E of 14.8, which means PulteGroup is trading at a discount to the group.
One should further note that PHM currently holds a PEG ratio of 1.58. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. By the end of yesterday's trading, the Building Products - Home Builders industry had an average PEG ratio of 1.79.
The Building Products - Home Builders industry is part of the Construction sector. With its current Zacks Industry Rank of 239, this industry ranks in the bottom 3% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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PulteGroup, Inc. (PHM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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