Hovnanian Enterprises Stock Analysis, Valuation (NYSE:HOV)

Add to My Stocks
$2.24 $0.12 (5.66%) HOV stock closing price Feb 16, 2018 (Closing)
Watch Robo Advisor Video of HOV Stock Analysis
Hovnanian Enterprises
Updated on : Feb 16, 2018
previous close
HOV 2.2 (0%)
S&P 500 2732.2 (0%)
Closing Price On: Feb 16, 2018
stock rating
RATING: ★★★★★★★★★★ (0/5)
Industry :
Building-Residential-Commercial
Sector :
Construction
5 Quarter Revenue
Revenue Growth
2017-Q4
$million
%
YOY GROWTH
Compared to the industry
Long Term Growth
5 Year CAGR:
10.5%
Operating Profit
Operating Margin:
3.9%
Sector Average:
7.8%
5 Quarter Net Profit
Net Margins
2017-Q4
%
LTM Margin
Cash Flow
Operating cash flow:
$152.1M
Net Income:
$11.8M
PROS      CONS
Long Term Growth
FCF Margin
PS Valuation
Operating Margins
Net Margins
ROIC
PE Valuation
Rating: ★★★★★★★★★★ (0/5)
Relative Valuation
HOV PS :
0.1
Industry PS :
1
Sector:   Construction.   *PE adjusted for one time items.
Other Metrics
Return on Invested Capital:
4.9%
Free Cash Flow Margin:
20.9%
Double Tap To Exit Full Screen
0:00
/

Hovnanian Enterprises Stock Analysis

66 5 2

Watch the robo advisor video of Hovnanian Enterprises stock analysis on Amigobulls. Our analyst opinion covering the buy and sell arguments for HOV stock is shown in the video.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

Hovnanian Enterprises, Inc. Stock Rating 1.9/5

Amigobulls HOV stock analysis relies on business fundamentals such as Hovnanian Enterprises revenue growth, profits and return on equity measures from the latest quarter 2017 Q4 earnings. Hovnanian Enterprises valuation forms a crucial part of our stock analysis. Hovnanian Enterprises stock rating is our opinion about the business fundamentals of the company.

Should you buy HOV stock?

  • Long term revenue growth has been strong with a 5 year compounded annual growth of 10.5%.
  • When compared with the Building-Residential-Commercial industry average PS ratio of 1, the price-to-sales ratio of 0.1 for HOV stock is attractive.
  • Hovnanian Enterprises has a healthy FCF (Free Cash Flow) margin of 20.9%.

Should you sell HOV stock?

  • Hovnanian Enterprises's TTM operating margin of 3.9% was rather poor.
  • Hovnanian Enterprises registered an average TTM Net loss of -13.5%.
  • The HOV stock currently trades at a PE of 74.7, which is expensive, compared to the industry average of 21.1.
  • Hovnanian Enterprises has a poor return on invested capital of 4.9%.

Comments on this video and Hovnanian Enterprises stock

Amigobulls Hovnanian Enterprises stock analysis helps investors in understanding how the company's fundamentals have performed in the last few quarters. Company's fundamentals remain one of the key driver of HOV stock and helps investors in making good buy and sell decision.

Among the financials of the company, Hovnanian Enterprises revenue growth along with the profit or net income give a clear picture of the financial health. Investors could make use of HOV technical analysis to check whether the fundamental story is reflected in the market sentiment.