D.R. Horton (DHI) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

D.R. Horton

NYSE•Consumer Cyclical•Residential Construction

$140.38+2.06(0.01%)After hours

Market Cap

$39.62B

P/E

13.0x

P/S

1.2x

P/B

1.7x

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 126 markets across 36 states under the names of D.R. Horton. The company also constructs and sells single-family detached homes; and attached homes, such as townhomes and duplexes. In addition, it provides mortgage financing and title agency services; and engages in the residential lot development business. Further, the company develops, constructs, owns, leases, and sells multi-family and single-family rental properties; conducts insurance-related operations; and owns water rights and other water-related assets, as well as non-residential real estate, including ranch land and improvements. It primarily serves homebuyers. D.R. Horton, Inc. was founded in 1978 and is headquartered in Arlington, Texas.

How this company scores

AverageMetricSide Score: 54/100

Strongest: Cash & Earnings Quality (19/25); weakest: Growth (5/25).

Profitability15/25

Growth5/25

Balance Sheet & Red Flags15/25

Cash & Earnings Quality19/25

Strengths

Interest easily coveredNet cash positionImproving marginsNo share dilution

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 13.0x5y range 4.0x – 14.0x

Currently above its 20-quarter median.

P/S · 1.2x5y range 0.7x – 1.7x

Currently near its 20-quarter median.

P/B · 1.7x5y range 1.2x – 2.5x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

High Risk

Margin Pressure

Watch

Operating margins declined 19.3% — watch for continued compression, which may signal competitive or cost pressure.

Earnings Quality

Watch

FCF/Net Income has dropped below 0.7x in 4 quarters — monitor for earnings quality deterioration.

Price & Volume

Market Cap $39.62B

Metrics at a Glance

as of June 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $33.35B
Q. Revenue: $9.23B
TTM EBITDA: $3.97B
TTM Op. Income: $3.81B
Q. Op. Income: $1.16B
TTM Net Income: $3.05B
Q. Net Income: $904.90M
EPS: $3.21
Shares Out.: $282.20M

$33.35B in TTM revenue declined 3.5% YoY, reaching $9.23B last quarter. TTM EBITDA of $3.97B and TTM operating income of $3.81B show growth is flowing through to the bottom line. TTM net income of $3.05B means revenue is converting into profit. Over the past year, TTM revenue is down 4% — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin: 23.3%
EBITDA Margin: 12.8%
Op. Margin: 12.5%
Net Margin: 9.8%

Op. margin of 12.5% is down 1.2% YoY — costs are rising relative to revenue. Net margin at 9.8% and gross margin of 23.3% show how much of each revenue dollar survives to profit. Over the past year, operating margin is down 9% — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 13.0x
P/S Ratio: 1.2x
P/B Ratio: 1.7x

At 13.0x P/E, the stock trades below typical market levels. P/S of 1.2x and P/B of 1.7x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Over the past year, P/E is up 31% — a weakening trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $36.51B
Cash: $2.08B
Long-Term Debt: N/A
Book Value: $23.82B
D/E Ratio: N/A
Debt/EBITDA: 0.0

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $439.30M
TTM Free Cash Flow: $3.20B
FCF Margin: 9.6%
FCF / Net Income: 1.0

TTM FCF of $3.20B on $439.30M in operating cash flow. The FCF / Net Income ratio of 1.0x means free cash flow covers net income — earnings are backed by cash. Over the past year, free cash flow is up 15% — a weakening trend.