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The Company is a homebuilding company, which constructs and sells single-family homes through its operating divisions in 25 states and 74 metropolitan markets of the United States.
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snielsen2 (49.69) Submitted: 6/04/07 6:15 PM : Start Price: $22.21 DHI Score: -19.15
Quarterly earnings are down 85% yoy as the housing market hit the brakes over the past few quarters. This will turn over the long run (next 2 - 3 years) making this stock an attractive buy, even though the current Forward P/E is around 16.5 and PEG is at around 4.0. The company has a great brand awareness and a good reputation compared to other national homebuilders. The product quality is higher than other nationals.If you have a 3 to 5 year time horizon this is a buy.
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leohaas (99.80) Submitted: 7/19/07 12:37 PM
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Unfortunately, it is not clear if this company (and most other homebuilders) is going to make any money over the next quarters.Therefore, Forward P/E and PEG are not reliable numbers. Do not believe them until the housing market in general has bottomed out, and the builders stop taking impairment charges.
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