PulteGroup Stock Analysis, Valuation (NYSE:PHM)
Investors can watch the Amigobulls PulteGroup stock analysis video here. This video puts forward our latest analysis highlighting the pros and cons for PHM stock.
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.
PulteGroup, Inc. Stock Rating 3.5/5
Amigobulls PHM stock analysis relies on business fundamentals such as PulteGroup revenue growth, profits and return on equity measures from the latest quarter 2018 Q1 earnings. PulteGroup valuation analysis is based on relative valuation multiples like PE ratio and price to sales ratio. Based on a company's historical fundamentals we arrive at PulteGroup stock rating which is indicative of the company's financial performance.
Should you buy PHM stock?
- The Year Over Year (YoY) revenue growth for PulteGroup was 21% in 2018-03.
- Long term revenue growth has been strong with a 5 year compounded annual growth of 11.8.
- The TTM operating margin was good at 11.48 for PulteGroup.
- Net margins stood at a healthy 5.9% (average) for PulteGroup in the Trailing Twelve Months.
- The PulteGroup stock currently trades at a price to earnings ratio of 12.1, compared to the sector average of 19.1. We rate this as a positive.
- The company has a healthy free cash flow margin of 8.6.
Amigobulls PulteGroup stock analysis helps in evaluating the financial statements of a company to arrive at a conclusion about the fair value of PHM stock. The fundamentals of a company are vital to identify long-term investment opportunities.
While doing a study of the company financials, PulteGroup revenue growth and profit or net income are two main metrics which help in identifying whether PHM stock is overvalued or undervalued. Technical analysis comes in handy to check whether the market sentiment is in line with the fundamental picture of the company.