Citigroup Issues Pessimistic Forecast for D.R. Horton (NYSE:DHI) Stock Price

D.R. Horton (NYSE:DHI) had its target price lowered by equities researchers at Citigroup from $186.00 to $185.00 in a research report issued to clients and investors on Wednesday, Benzinga reports. The firm presently has a “neutral” rating on the construction company’s stock. Citigroup’s target price points to a potential upside of 9.47% from the company’s current price.

Several other equities analysts have also commented on the company. Wedbush upgraded D.R. Horton from an “underperform” rating to a “neutral” rating and set a $165.00 price target on the stock in a research note on Tuesday, October 15th. Evercore ISI cut their price target on D.R. Horton from $218.00 to $204.00 and set an “outperform” rating on the stock in a research note on Wednesday. Keefe, Bruyette & Woods raised their price target on D.R. Horton from $178.00 to $208.00 and gave the company an “outperform” rating in a research note on Tuesday, July 23rd. Wells Fargo & Company cut their price target on D.R. Horton from $220.00 to $190.00 and set an “overweight” rating on the stock in a research note on Wednesday. Finally, BTIG Research cut their target price on D.R. Horton from $190.00 to $186.00 and set a “buy” rating on the stock in a research note on Wednesday. One analyst has rated the stock with a sell rating, six have issued a hold rating and ten have issued a buy rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $185.33.

D.R. Horton Stock Performance

DHI stock opened at $169.00 on Wednesday. The company has a quick ratio of 1.30, a current ratio of 7.22 and a debt-to-equity ratio of 0.23. The business’s fifty day simple moving average is $186.95 and its two-hundred day simple moving average is $165.18. D.R. Horton has a twelve month low of $102.23 and a twelve month high of $199.85. The firm has a market cap of $55.07 billion, a price-to-earnings ratio of 11.77, a PEG ratio of 0.78 and a beta of 1.72.

D.R. Horton (NYSE:DHI) last released its earnings results on Tuesday, October 29th. The construction company reported $3.92 earnings per share for the quarter, missing analysts’ consensus estimates of $4.20 by ($0.28). D.R. Horton had a return on equity of 20.72% and a net margin of 13.36%. The business had revenue of $10 billion during the quarter, compared to analysts’ expectations of $10.22 billion. During the same quarter in the previous year, the business earned $4.45 EPS. The business’s revenue for the quarter was down 4.7% on a year-over-year basis. Analysts predict that D.R. Horton will post 14.03 earnings per share for the current year.

D.R. Horton announced that its board has approved a share buyback program on Thursday, July 18th that permits the company to buyback $4.00 billion in shares. This buyback authorization permits the construction company to buy up to 6.9% of its shares through open market purchases. Shares buyback programs are usually a sign that the company’s leadership believes its stock is undervalued.

Institutional Investors Weigh In On D.R. Horton

Institutional investors and hedge funds have recently modified their holdings of the company. Vanguard Group Inc. increased its position in shares of D.R. Horton by 7.6% in the first quarter. Vanguard Group Inc. now owns 34,856,397 shares of the construction company’s stock valued at $5,735,620,000 after buying an additional 2,474,262 shares in the last quarter. Assenagon Asset Management S.A. increased its position in shares of D.R. Horton by 1,761.6% in the second quarter. Assenagon Asset Management S.A. now owns 1,043,909 shares of the construction company’s stock valued at $147,118,000 after buying an additional 987,834 shares in the last quarter. Principal Financial Group Inc. increased its position in shares of D.R. Horton by 51.2% in the second quarter. Principal Financial Group Inc. now owns 1,657,028 shares of the construction company’s stock valued at $233,525,000 after buying an additional 561,337 shares in the last quarter. Long Pond Capital LP increased its position in shares of D.R. Horton by 438.6% in the first quarter. Long Pond Capital LP now owns 659,761 shares of the construction company’s stock valued at $108,564,000 after buying an additional 537,276 shares in the last quarter. Finally, National Bank of Canada FI increased its position in shares of D.R. Horton by 265.6% in the first quarter. National Bank of Canada FI now owns 488,376 shares of the construction company’s stock valued at $73,239,000 after buying an additional 354,789 shares in the last quarter. Institutional investors and hedge funds own 90.63% of the company’s stock.

D.R. Horton Company Profile

D.R. Horton, Inc operates as a homebuilding company in East, North, Southeast, South Central, Southwest, and Northwest regions in the United States. It engages in the acquisition and development of land; and construction and sale of residential homes in 118 markets across 33 states under the names of D.R.