PulteGroup (PHM, $41.36) beats Q2 earnings estimates
On Thursday, PulteGroup posted second-quarter earnings that beat analysts’ expectations.
The home construction company’s second quarter earnings came in at an adjusted $1.15 a share, exceeding the 87 cents a share expected by analysts polled by FactSet.
Revenue climbed +4.2% year-over-year to $2.59 billion, compared to $2.53 billion expected by analysts surveyed by FactSet.
Home-sales revenue revealed a +6% increase in closings, to 5,937 homes. However, the increase was partly offset by a -3% decrease in average sales price to $416,000.
Net new orders fell -4% year over year to 6,522 homes with an average sales price of $410,000, down from $426,000 in the year-ago period.
PulteGroup said it paid down the $700 million it had borrowed as a precaution in March when the coronavirus pandemic broke out.
According to Tickeron, PHM in +4.95% Uptrend, advancing for three consecutive days on July 22, 2020
As a Bullish sign, keep an eye on this company's ticker for future growth. Considering data from situations where PHM advanced for three days, in 237 of 347 cases, the price rose further within the following month. The odds of a continued Uptrend are 68%.
Current price $41.31 crossed the resistance line at $40.67 and is trading between $42.10 resistance and $40.67 resistance lines. Throughout the month of 06/19/20 - 07/22/20, the price experienced a +14% Uptrend. During the week of 07/15/20 - 07/22/20, the stock enjoyed a +9% Uptrend growth.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator exceeded the 0 level on July 08, 2020. Traders may consider buying the ticker or exploring call options. In 64 of 94 cases where the ticker's Momentum Indicator exceeded 0, its price rose further within the subsequent month. The odds of a continued Uptrend are 68%.
The Moving Average Convergence Divergence (MACD) just turned positive. Considering data from situations where PHM's MACD histogram became positive, in 32 of 48 cases, the price rose further within the following month. The odds of a continued Uptrend are 67%.
Bearish Trend Analysis
The RSI Indicator demonstrated that the ticker has entered the overbought zone. Expect a price pull-back in the near future.
The Stochastic Indicator demonstrated that the ticker has stayed in the overbought zone for 6 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
The higher Bollinger Band was broken -- a price fall is expected as the ticker heads toward the middle band, which invites the trader to consider selling or shorting the ticker, or exploring put options. In 30 of 54 cases where PHM's price broke its higher Bollinger Band, its price dropped further during the following month. The odds of a continued Downtrend are 56%.
The Aroon Indicator entered a Downtrend today. In 79 of 110 cases where PHM Aroon's Indicator entered a Downtrend, the price fell further within the following month. The odds of a continued Downtrend are 72%.
Fundamental Analysis (Ratings)
Tickeron has a positive outlook on this ticker and predicts a further increase by more than 4.00% within the next month with a likelihood of 64%. During the last month, the daily ratio of advancing to declining volumes was 1.59 to 1.
The Tickeron Valuation Rating of 25 (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.91) is normal, around the industry mean (1.28). P/E Ratio (10.33) is within average values for comparable stocks, (16.79). Projected Growth (PEG Ratio) (0.79) is also within normal values, averaging (0.75). PHM has a moderately high Dividend Yield (1.16) as compared to the industry average of (0.32). P/S Ratio (0.58) is also within normal values, averaging (0.59).
The Tickeron Price Growth Rating for this company is 39 (best 1 - 100 worst), indicating fairly steady price growth. PHM’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is 42 (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 43 (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 67, placing this stock slightly better than average.
The Tickeron SMR rating for this company is 53 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
PHM sees MACD Histogram just turned negative
PHM saw its Moving Average Convergence Divergence Histogram (MACD) turn negative on May 19, 2023. This is a bearish signal that suggests the stock could decline going forward. Tickeron's A.I.dvisor looked at 52 instances where the indicator turned negative. In of the 52 cases the stock moved lower in the days that followed. This puts the odds of a downward move at .
Technical Analysis (Indicators)
Bearish Trend Analysis
The 10-day RSI Indicator for PHM moved out of overbought territory on May 22, 2023. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 36 similar instances where the indicator moved out of overbought territory. In of the 36 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Momentum Indicator moved below the 0 level on May 22, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on PHM as a result. In of 101 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where PHM declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
Bullish Trend Analysis
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 3 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where PHM advanced for three days, in of 338 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 280 cases where PHM Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Fundamental Analysis (Ratings)
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating outstanding price growth. PHM’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 66, placing this stock better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.587) is normal, around the industry mean (6.623). P/E Ratio (5.714) is within average values for comparable stocks, (120.716). Projected Growth (PEG Ratio) (0.481) is also within normal values, averaging (2.278). PHM has a moderately low Dividend Yield (0.009) as compared to the industry average of (0.048). P/S Ratio (0.913) is also within normal values, averaging (71.794).
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
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