DR HORTON INC (DHI) Stock Fundamental Analysis

NYSE:DHI • US23331A1097

158.98 USD
+1.52 (+0.97%)
Last: Feb 26, 2026, 03:59 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

6

Overall DHI gets a fundamental rating of 6 out of 10. We evaluated DHI against 60 industry peers in the Household Durables industry. DHI scores excellent points on both the profitability and health parts. This is a solid base for a good stock. 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

  • DHI has a better Return On Assets (9.63%) than 83.33% of its industry peers.
  • With a decent Return On Equity value of 13.90%, DHI is doing good in the industry, outperforming 73.33% of the companies in the same industry.
  • Looking at the Return On Invested Capital, with a value of 11.56%, DHI is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
  • DHI had an Average Return On Invested Capital over the past 3 years of 14.99%. This is significantly above the industry average of 9.17%.
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.
  • DHI's Profit Margin has declined in the last couple of years.
  • The Operating Margin of DHI (13.57%) is better than 85.00% of its industry peers.
  • DHI's Operating Margin has been stable in the last couple of years.
  • DHI's Gross Margin of 23.61% is in line compared to the rest of the industry. DHI outperforms 41.67% of its industry peers.
  • DHI's Gross Margin has been stable in the last couple of years.
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

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

7

2. Health

2.1 Basic Checks

  • DHI has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
  • DHI has less shares outstanding than it did 1 year ago.
  • The number of shares outstanding for DHI has been reduced compared to 5 years ago.
  • Compared to 1 year ago, DHI has a worse debt to assets ratio.
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 6.05. This indicates that DHI is financially healthy and has little risk of bankruptcy at the moment.
  • The Altman-Z score of DHI (6.05) is better than 83.33% 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.
  • DHI's Debt to FCF ratio of 1.60 is fine compared to the rest of the industry. DHI outperforms 73.33% of its industry peers.
  • A Debt/Equity ratio of 0.22 indicates that DHI is not too dependend on debt financing.
  • DHI has a Debt to Equity ratio of 0.22. This is in the better half of the industry: DHI outperforms 61.67% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.22
Debt/FCF 1.6
Altman-Z 6.05
ROIC/WACC1.27
WACC9.14%
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

  • A Current Ratio of 5.29 indicates that DHI has no problem at all paying its short term obligations.
  • With a decent Current ratio value of 5.29, DHI is doing good in the industry, outperforming 73.33% of the companies in the same industry.
  • A Quick Ratio of 0.55 indicates that DHI may have some problems paying its short term obligations.
  • With a Quick ratio value of 0.55, DHI is not doing good in the industry: 80.00% of the companies in the same industry are doing better.
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

More info and screens

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.
  • DHI shows a decrease in Revenue. In the last year, the revenue decreased by -8.62%.
  • The Revenue has been growing by 11.02% on average over the past years. This is quite good.
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

  • Based on estimates for the next years, DHI will show a quite strong growth in Earnings Per Share. The EPS will grow by 19.04% on average per year.
  • DHI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.98% yearly.
EPS Next Y-6.56%
EPS Next 2Y4.56%
EPS Next 3Y11.41%
EPS Next 5Y19.04%
Revenue Next Year0.04%
Revenue Next 2Y3%
Revenue Next 3Y4.52%
Revenue Next 5Y6.98%

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 accelerating.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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

More info and screens

Find the best growth stocksShow best growing peers

5

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 14.44 indicates a correct valuation of DHI.
  • The rest of the industry has a similar Price/Earnings ratio as DHI.
  • When comparing the Price/Earnings ratio of DHI to the average of the S&P500 Index (27.05), we can say DHI is valued slightly cheaper.
  • Based on the Price/Forward Earnings ratio of 12.55, the valuation of DHI can be described as correct.
  • 68.33% of the companies in the same industry are more expensive than DHI, based on the Price/Forward Earnings ratio.
  • When comparing the Price/Forward Earnings ratio of DHI to the average of the S&P500 Index (28.03), we can say DHI is valued rather cheaply.
Industry RankSector Rank
PE 14.44
Fwd PE 12.55
DHI Price Earnings VS Forward Price EarningsDHI Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • DHI's Enterprise Value to EBITDA ratio is in line with the industry average.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of DHI indicates a somewhat cheap valuation: DHI is cheaper than 75.00% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 13.25
EV/EBITDA 10.27
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

  • DHI has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.12
EPS Next 2Y4.56%
EPS Next 3Y11.41%

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 1.10%. Purely for dividend investing, there may be better candidates out there.
  • Compared to an average industry Dividend Yield of 1.16, DHI pays a bit more dividend than its industry peers.
  • Compared to the average S&P500 Dividend Yield of 1.80, DHI is paying slightly less dividend.
Industry RankSector Rank
Dividend Yield 1.1%

5.2 History

  • The dividend of DHI is nicely growing with an annual growth rate of 18.00%!
  • DHI has paid a dividend for at least 10 years, which is 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

  • DHI pays out 14.93% of its income as dividend. This is a 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 2Y4.56%
EPS Next 3Y11.41%
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

More info and screens

Find the best dividend stocksShow peers with best dividend

DR HORTON INC

NYSE:DHI (2/26/2026, 3:59:59 PM)

158.98

+1.52 (+0.97%)

Chartmill FA Rating
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)01-20
Earnings (Next)04-21
Inst Owners89.61%
Inst Owner Change-1.55%
Ins Owners0.66%
Ins Owner Change10.91%
Market Cap46.06B
Revenue(TTM)33.52B
Net Income(TTM)3.34B
Analysts69.23
Price Target165.74 (4.25%)
Short Float %5.95%
Short Ratio4.62
Dividend
Industry RankSector Rank
Dividend Yield 1.1%
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)2.11%
Min Revenue beat(2)1.8%
Max Revenue beat(2)2.42%
Revenue beat(4)3
Avg Revenue beat(4)0.95%
Min Revenue beat(4)-4.66%
Max Revenue beat(4)4.26%
Revenue beat(8)6
Avg Revenue beat(8)2.2%
Revenue beat(12)10
Avg Revenue beat(12)4.92%
Revenue beat(16)12
Avg Revenue beat(16)4.21%
PT rev (1m)-0.21%
PT rev (3m)0.33%
EPS NQ rev (1m)-4.76%
EPS NQ rev (3m)-13.08%
EPS NY rev (1m)-5.48%
EPS NY rev (3m)-8.91%
Revenue NQ rev (1m)-0.26%
Revenue NQ rev (3m)-2.91%
Revenue NY rev (1m)0.72%
Revenue NY rev (3m)-1.26%
Valuation
Industry RankSector Rank
PE 14.44
Fwd PE 12.55
P/S 1.37
P/FCF 13.25
P/OCF 12.69
P/B 1.92
P/tB 1.93
EV/EBITDA 10.27
EPS(TTM)11.01
EY6.93%
EPS(NY)12.67
Fwd EY7.97%
FCF(TTM)12
FCFY7.55%
OCF(TTM)12.52
OCFY7.88%
SpS115.72
BVpS82.83
TBVpS82.26
PEG (NY)N/A
PEG (5Y)1.12
Graham Number143.24
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 6.05
F-Score4
WACC9.14%
ROIC/WACC1.27
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-6.56%
EPS Next 2Y4.56%
EPS Next 3Y11.41%
EPS Next 5Y19.04%
Revenue 1Y (TTM)-8.62%
Revenue growth 3Y0.76%
Revenue growth 5Y11.02%
Sales Q2Q%-9.54%
Revenue Next Year0.04%
Revenue Next 2Y3%
Revenue Next 3Y4.52%
Revenue Next 5Y6.98%
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 5Y11.16%
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 14.44 and the Price/Book (PB) ratio is 1.92.


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 -6.56% in the next year.