D.R. Horton stock: buy or sell

DHI stock price: $96.29 1.39% At close on May 14th, 2021

Updated on:
May 17th, 2021

2

D.R. Horton stock brief

  • D.R. Horton stock moved up 1.39% to close at $96.29 on the stock market last Friday.
  • From the chart point view, price is drawing a scaled uptrend since last January with higher tops and higher bottoms. Up to date, shares made a 50.36% gain since the beginning of this rally
  • D. R. Horton, Inc. operates as a homebuilding company in East, Midwest, Southeast, South Central, Southwest, and West regions in the United States.

Should I buy D.R. Horton stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best

Is $DHI stock a buy?

In the current situation of D.R. Horton there is just one buy setup eligible:

Uptrend buy setup

D.R. Horton stock is in an uptrend since last January that so far marked a gorgeous 50.00% gain. Price marked a local bottom in this uptrend at $92.26 last Wednesday, and since then it bounced off a 4.37%. Breaking out above $106.89 - it's last top - will be a good entry point if D.R. Horton resumes the uptrend. If you decide to enter this trade, the suggested stop loss is at $96.20

Buy setupBuy pointStop lossRisk
Uptrend buy setup$106.89$96.2010.00%

Should I sell D.R. Horton stock?

"To sell or not to sell", if you are holding D.R. Horton stock?. Similarly to when we have to buy shares, choosing when is appropiate to sell is not a whimsical decision, and we must adhere our own trading style. Our trading system selects very simple setups to guide us on when is the best time to sell our shares. Be aware that these setups are not intended for shorting $DHI stock

As a rule of thumb, you should not keep an operation that generates higher than expected losses at the time of purchase. When to sell your stock should always be determined by the stop-loss (automatic or manual)

Is it time to sell D.R. Horton stock?

Currently, D.R. Horton stock doesn't match any of our preferred sell setups, so if you own D.R. Horton stock and your operation is in profit probably is not time to sell now

D.R. Horton ratings

In the last month, 11 analyst ratings were published for D.R. Horton. General sentiment is bullish, with 11 out of 11 posting optimistic forecasts

D.R. Horton analysts' ratings - Last month
Brokerage firmRating
Apr 21st, 2021
Barclays Buy
Wells Fargo & Company Buy
Apr 23rd, 2021
BTIG Research Strong buy
Raymond James Buy
Royal Bank of Canada Buy
Apr 26th, 2021
Argus Strong buy
Apr 27th, 2021
Barclays Buy
Apr 29th, 2021
BTIG Research Strong buy
Raymond James Buy
Royal Bank of Canada Buy
May 3rd, 2021
Argus Strong buy

D.R. Horton stock analysis

D.R. Horton shares started an uptrend last January, and grew an amazing 50.36%. During this uptrend, the price gave some entry points on the breakouts. Latest low was last Wednesday, when price bounced at $92.26. Like in all uptrends, price needs to rest and currently price is consolidating the gains in a range between $106.89 and $92.26

SMAs overview

DHI stock SMAs chart

Supports and resistances

The current resistance levels are:

  • R1: $96.72 (0.45% above)
  • R2: $106.89 (11.01% above)
  • The current supports are:

  • S1: $92.26 (-4.19% below)
  • S2: $89.62 (-6.93% below)
  • S3: $84.04 (-12.72% below)
  • Bollinger bands

    DHI stock Bollinger Bands chart

    Relative strength index

    The RSI dropped below the overbought level of 70 last Tuesday after just crossing to the overbough zone for just one day (weak signal). The RSI reading last Friday was 49.77. Since RSI lost the overbought zone, D.R. Horton shares sank a 7.81%

    DHI stock RSI chart

    D.R. Horton stock price history

    D.R. Horton started trading priced at an adjusted price1 of $1.16 on Jun 1992. Since then, DHI stock surged by 8,200.86%, with an average of 292.89% per year. An investment of $1,000USD on the IPO would worth $83,008.62 today.

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

    DHI stock price history chart

    Price target for D.R. Horton stock

    How much a stock will be priced tomorrow or next week is quite unpredictable. Banks and financial organisations issue their analysis forecasting how a particular stock will performance in the future.

    The following table shows the price target released by brokerage institutions over the last 30 days. If you are a small investor you don't have to trade based on these predictions.

    The average price target for D.R. Horton stock calculated from the table below is $111.18. That is a 15.46% than the current price ($96.29).

    D.R. Horton stock price predictions
    Brokerage firmPrice target
    Apr 21st, 2021
    Barclays $95.00$108.00
    Wells Fargo & Company $105.00
    Apr 23rd, 2021
    BTIG Research $108.00$124.00
    Raymond James $91.00$110.00
    Royal Bank of Canada $87.00$104.00
    Apr 26th, 2021
    Argus $105.00$110.00
    Apr 27th, 2021
    Barclays $108.00$114.00
    Apr 29th, 2021
    BTIG Research $108.00$124.00
    Raymond James $91.00$110.00
    Royal Bank of Canada $87.00$104.00
    May 3rd, 2021
    Argus $105.00$110.00

    Earnings and financials

    Financial call was hosted by D.R. Horton ($DHI) in mid-April after releasing the earnings report. D.R. Horton posted earnings of $2.53 per share on sales of $6.4 billion. The market estimate was $2.15 per share on revenue of $6.1 billion.

    By comparison, the EPS for the same quarter last year was $1.30, so reported EPS means a gain of 94.62%. Looking at revenues, figures skyrocketed a 43.26% compared to $45.0B same quarter a year ago.

    D.R. Horton ($DHI) will host the earnings call next July. Market analysts analysts estimate of $2.79, that is a 10.28% more than previous quarter.

    D.R. Horton competitors

    D.R. Horton is classified inside the Residential Construction industry, where it has industry peers.

    D.R. Horton biggest competitors are:

    D.R. Horton competitors
    CompanyMarket capRatingBullish ratings1
    D.R. Horton ($DHI) $29.8B Strong buy 11
    Lennar ($LEN) $29.0B Neutral 0
    NVR ($NVR) $16.3B Neutral 0
    Pulte ($PHM) $12.8B Buy 3
    Toll Brothers ($TOL) $6.6B Strong buy 2
    KB Home (KBH) $4.4B Buy 1
    M.D.C (MDC) $4.2B Neutral 0
    Meritage Homes (MTH) $3.2B Buy 2
    M/I Homes (MHO) $1.6B Neutral 0

    1 In the last 30 days.

    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, NVR, Pulte, Toll Brothers, KB Home, M.D.C, Meritage Homes and M/I Homes.

    DHI performance compared
    Company1m3m6m
    D.R. Horton ($DHI) 3.10% 18.20% 33.70%
    Lennar ($LEN) -3.20% 8.00% 31.00%
    NVR ($NVR) 1.40% 5.90% 15.60%
    Pulte ($PHM) 8.90% 20.50% 37.70%
    Toll Brothers ($TOL) 3.70% 12.70% 40.70%
    KB Home (KBH) -3.30% 7.00% 43.10%
    M.D.C (MDC) -1.80% 6.80% 39.60%
    Meritage Homes (MTH) 17.30% 29.80% 24.20%
    M/I Homes (MHO) 13.60% 24.80% 58.20%

    Important:
    The comments given in this article are personal and not recommendations for you to buy or sell shares. The author of this document does not have an understanding of the individual circumstances of the reader, his or her finances or what is in his or her best interest at any given time. All users should speak with their financial advisor before buying or selling any securities Comments are provided for educative motives only

    D.R. Horton summary

    Friday, May 14th, 2021
    Open$96
    Close$96.29
    Day range$95.15 - $96.63
    Previous close$94.97
    Session gain1.39%
    Average true range$4.12
    50d mov avg$91.65
    100d mov avg$83.01
    200d mov avg$77.49
    Earnings dateJuly 27th, 2021

    Frequently asked questions

    What is D.R. Horton stock symbol?

    D.R. Horton, Inc. is a public company trading in the US stock market with the DHI symbol

    Is D.R. Horton stock a buy or sell?

    D.R. Horton received 11 ratings in the last 30 days: 11 bullish, 0 bearish and 0 neutral.

    Will DHI go up?

    D.R. Horton had different price forecasts posted by analysts in the last month setting the target price to $111.18. That is a 15.46% than the current price ($96.29).