D.R. Horton stock: buy or sell?

DHI stock price: $53.97 0.90% At close on October 18th, 2019

Updated on:
October 18th, 2019

5

D.R. Horton raised 0.90% to $53.97 after marking all time highs on Thursday.

D.R. Horton, Inc. operates as a homebuilding company in East, Midwest, Southeast, South Central, Southwest, and West America.

Should I buy D.R. Horton stock?

You can't be a successful trader if you don't follow a methodolgy or system that assist you in choosing companies and the correct market timing. Having a trading plan helps to make decisions easier, quicker and with less hesitations. At Stocks2.com, we use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.

Currently, 2 buy setups match with D.R. Horton stock now:

Buy setupElegible
New all-time highYes
New 52 week highYes
Price crossing up 200d MANo
100d MA crossing up 200d MANo

Is D.R. Horton stock a buy?

Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness. At Stocks2.com, we detected 15 ratings published for DHI stock in the last 30 days.

The general sentiment of these ratings is bullish for DHI stock, with 11 positive ratings.
Is DHI a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-9-17JMP Securitiesn/aOutperform
2019-8-23Seaport Global Securitiesn/aBuy
2019-7-31Buckingham Researchn/aBuy
2019-7-31Barclaysn/aOverweight
2019-6-6KeyCorpn/aOverweight
2019-4-9JMP SecuritiesMarket OutperformMarket Outperform
2019-4-26Royal Bank of Canadan/aHold
2019-3-7Zelman & AssociatesHoldBuy
2019-2-21WedbushOutperformNeutral
2019-2-14Raymond JamesStrong-BuyMarket Perform
2019-1-9Keefe, Bruyette & WoodsMarket PerformOutperform
2019-1-23Wedbushn/aOutperform
2019-1-23MizuhoNeutralBuy
2019-1-2JMP Securitiesn/aBuy
2019-1-11Keefe, Bruyette & WoodsOutperformMarket Perform

D.R. Horton stock analysis

Daily outlook

D.R. Horton raised 0.90% to $53.97 after yesterday all time highs.

After marking all time highs on Thursday, D.R. Horton raised 0.90% to $53.97. From a daily perspective, DHI is in a short term uptrend after plotting its last bottom ($51.76, on Oct 10th) higher than the previous bottom, and its last top ($54.41, on Thursday) also over the previous top. Now trading in between its last bottom and last top DHI might consolidate in a plain range, waiting to break out over $54.41 or down under $51.76. On June DHI price bounced up over the SMA of 100 days demonstrating to be a significant support for this stock. On Thursday, DHI hit new all time highs, pushing higher previous ATH of $53.70 recorded on Wednesday. New ATHs are usual entry points for many trading setups as there aren't higher resistences.

DHI stock chart (daily)

Weekly outlook

Shares of D.R. Horton closed this week at $53.97 after marking a new all time high ($54.41) and rose a pretty good 3.81%.

Late April, SMA20w and SMA40w crossed up triggering a rise of 23.47%. Since early March when DHI stock price broke up the SMA40w line, it gained $15.44 (40.07%).

DHI stock chart (weekly)

D.R. Horton stock price history

D.R. Horton IPO was on June 5th, 1992 at $1.17 per share1. Since then, DHI stock surged a 4,512.80%, with a yearly average of 167.10%. If you had invested $1,000 in D.R. Horton stock in 1992, it would worth $45,128.00 today.

1: Adjusted price after possible price splits or reverse-splits.

D.R. Horton stock historical price chart

DHI stock reached all-time highs on Thursday with a price of $54.41.

D.R. Horton stock price target is $48.60

How much a stock will be priced tomorrow or next week is quite unpredictable However, many stock price predictions are published every day by banks, financial institutions and independent analysts. You should not follow the analysts' DHI stock price predictions in the hope that they will be met as they may be wrong and not met. We found 11 price predictions for D.R. Horton stock published in the last month:
DHI stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-9-17JMP SecuritiesRaises Target$49.00$52.006.1%
2019-8-23Seaport Global SecuritiesInitiatesn/a$59.00-
2019-7-31Buckingham ResearchRaises Target$53.00$55.003.8%
2019-7-31BarclaysRaises Target$46.00$52.0013%
2019-6-6KeyCorpRaises Target$45.00$52.0015.6%
2019-4-9JMP SecuritiesRaises Target$44.00$49.0011.4%
2019-4-26Royal Bank of CanadaSet Price Targetn/a$43.00-
2019-2-21WedbushDowngradesn/a$41.00-
2019-1-23WedbushReiteratesn/a$43.00-
2019-1-23MizuhoUpgrades$40.00$45.0012.5%
2019-1-2JMP SecuritiesSet Price Targetn/a$44.00-
(in average)$46.20$48.605.0%
Moving in a range from $59.00 and $41.00, the price forecast for D.R. Horton stock is $48.60. In average, analysts' outlook on DHI price target is positive, increasing the forecast by a 5.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

After publishing its last earnings report on April, D.R. Horton . Unfortunately, reported EPS is not yet available in our database.
DHI earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a0.77n/a
2017-Q32017-11-090.810.821.2%
2017-Q42018-01-310.490.490.0%
2018-Q12018-04-260.860.915.8%
2018-Q22018-07-261.081.189.3%
2018-Q32018-11-081.231.22-0.8%
2018-Q42019-01-250.780.76-2.6%
2019-Q12019-04-240.87n/an/a
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

In 2018, D.R. Horton annual turnover climbed an outstanding 14.03% to $16,068.00 million dollars from $14,091.00 marked in 2017. Slightly worse, its profit margin (compared to revenues) raised to 9.09%, that is $1,460.30 million.

D.R. Horton fiscal year ends in September, and to evaluate its evolution since then, we estimate annual sales and income figures by adding results from the last 4 quarters. This is called TTM (or Twelve Trailing Months). So, D.R. Horton TTM sales up to March 2019 were $16,588.10 and income $1,558.50 M USD. When comparing this TTM figures with the last reported annuality, we can esteem D.R. Horton business evolution since September 2018: Annual revenues up to March, compared to lastest yearly report, gained a decent 3.24%. Nonetheless, profit margin (net income/sales) remained steady at 9.09%.

DHI annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$6,260 M-$463 M7.4%-
2014$8,025 M28.19%$534 M6.6%15.30%
2015$10,824 M34.88%$751 M6.9%40.71%
2016$12,157 M12.32%$886 M7.3%18.06%
2017$14,091 M15.90%$1,038 M7.4%17.16%
2018$16,068 M14.03%$1,460 M9.1%40.63%
TTM $16,588 M3.24%$1,559 M9.4%6.72%

Quarterly financial results

D.R. Horton posted $4,128.70 million in sales for 2019-Q1, a 17.33% up compared to previous quarter. Reported quarter income marked $351.30 million with a profit margin of 8.51%. Profit margin remained stable a 0.35% compared to previous quarter when profit margin was 8.16%. When comparing turnover to same quarter last year, D.R. Horton sales marked a pretty good increase and rose a 8.80%.
DHI quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$3,780 M-$289 M7.6%-
2017-Q3$4,159 M10.03%$313 M7.5%8.41%
2017-Q4$3,333 M-19.87%$189 M5.7%-39.58%
2018-Q1$3,795 M13.86%$351 M9.2%85.42%
2018-Q2$4,435 M16.88%$454 M10.2%29.29%
2018-Q3$4,505 M1.57%$466 M10.3%2.73%
2018-Q4$3,519 M-21.89%$287 M8.2%-38.40%
2019-Q1$4,129 M17.33%$351 M8.5%22.32%

D.R. Horton ownership

When you are planning to invest in a company, it's always worth to overview its ownership structure.

D.R. Horton shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 8.24% of all shares.

Bearish positions for DHI stock account 0.00%, no big difference from last month.

For a better understanding, the next table shows ownership data compared to other related companies:

DHIKBHLENMDCMHO
Market cap$20.0 B$3.2 B$17.3 B$2.8 B$1.1 B
Total shares369.8 M88.2 M279.9 M62.0 M27.6 M
Float shares335.4 M78.4 M289.6 M49.3 M27.0 M
  - Institutional holdings (%)85.7%91.7%97.6%82.6%99.0%
  - Insider holdings (%)8.2%11.7%1.9%20.0%2.3%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

D.R. Horton summary

Friday, October 18th, 2019
Open$53.58
Close$53.97
Day range$53.22 - $54.02
Previous close$53.49
Session gain0.90%
Average true range$1.01
50d mov avg$50.51
100d mov avg$47.61
200d mov avg$44.31
Daily patternlt06a
Weekly pattern

D.R. Horton performance

To better understand D.R. Horton performance you must compare its gains with other related stocks in same sector or industry. For D.R. Horton, the benchmark is made against , Lennar, M.D.C, M/I Homes, Meritage, NVR, Pulte and Toll Brothers.
Stock3m6m12m
DHID.R. Horton20.31%17.02%52.46%
KBH37.40%41.34%86.69%
LENLennar33.46%16.90%51.62%
MDCM.D.C24.09%49.45%78.43%
MHOM/I Homes33.85%38.57%79.86%
MTHMeritage38.10%51.88%126.52%
NVR 10.59%26.22%79.40%
PHMPulte15.61%26.86%80.15%
TOLToll Brothers12.75%4.10%36.80%

D.R. Horton competitors

We selected a few stocks to conform a list of D.R. Horton competitors to check if you are interested in investing in DHI:

Latest D.R. Horton stock news