DR Horton, in the Spotlight Soon

Seth Jayson, The Motley Fool
Updated

DR Horton (NYS: DHI) is expected to report Q4 earnings on Nov. 12. Here's what Wall Street wants to see:

The 10-second takeaway
 Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict DR Horton's revenues will increase 25.7% and EPS will expand 172.7%.

The average estimate for revenue is $1.38 billion. On the bottom line, the average EPS estimate is $0.30.


Revenue details
 Last quarter, DR Horton tallied revenue of $1.15 billion. GAAP reported sales were 15% higher than the prior-year quarter's $999.2 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
 Last quarter, non-GAAP EPS came in at $0.20. GAAP EPS of $2.21 for Q3 were much higher than the prior-year quarter's $0.09 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
 For the preceding quarter, gross margin was 18.7%, 190 basis points better than the prior-year quarter. Operating margin was 6.8%, 140 basis points better than the prior-year quarter. Net margin was 68.5%, 6,560 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $4.38 billion. The average EPS estimate is $0.69.

Investor sentiment
 The stock has a two-star rating (out of five) at Motley Fool CAPS, with 576 members out of 1,143 rating the stock outperform, and 567 members rating it underperform. Among 324 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 153 give DR Horton a green thumbs-up, and 171 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on DR Horton is hold, with an average price target of $17.98.

The article DR Horton, in the Spotlight Soon originally appeared on Fool.com.

Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no positions in the stocks mentioned above. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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