D.R. Horton (NYSE:DHI) Stock Price Target Lowered at Barclays

Key Points

• Barclays lowered D.R. Horton’s price target from $130 to $125 while maintaining an “equal weight” rating, implying roughly 14.3% downside from the prior close.
• Analyst sentiment remains cautious: the stock carries an overall “Hold” rating, with an average price target of $152.93; several firms have recently reduced their targets.
• D.R. Horton’s latest quarter showed mixed results: revenue of $9.37 billion exceeded estimates, but EPS of $2.67 missed consensus, declined year over year, and revenue fell 3.2% amid elevated mortgage rates and weaker housing demand.

D.R. Horton (NYSE:DHI - Get Free Report) had its target price dropped by research analysts at Barclays from $130.00 to $125.00 in a research report issued on Friday, Benzinga reports. The brokerage currently has an "equal weight" rating on the construction company's stock. Barclays's price objective would suggest a potential downside of 14.34% from the company's previous close.

A number of other research firms have also recently weighed in on DHI. Morgan Stanley started coverage on D.R. Horton in a report on Thursday, October 1st. They issued an "equal weight" rating and a $151.00 price target for the company. Citigroup dropped their price objective on D.R. Horton from $160.00 to $150.00 and set a "neutral" rating on the stock in a report on Thursday, October 15th. The Goldman Sachs Group restated a "buy" rating and issued a $182.00 price objective (down from $190.00) on shares of D.R. Horton in a research report on Monday, October 12th. Wells Fargo & Company reduced their target price on D.R. Horton from $145.00 to $140.00 and set an "equal weight" rating for the company in a research note on Friday, October 16th. Finally, Truist Financial reduced their target price on D.R. Horton from $150.00 to $140.00 and set a "hold" rating for the company in a research note on Wednesday, September 16th. Five analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat, the stock currently has an average rating of "Hold" and an average price target of $152.93.

D.R. Horton Stock Performance

DHI stock traded down $0.61 during midday trading on Friday, hitting $145.92. 401,973 shares of the stock traded hands, compared to its average volume of 2,717,234. D.R. Horton has a 1-year low of $130.40 and a 1-year high of $170.79. The company has a debt-to-equity ratio of 0.29, a current ratio of 6.43 and a quick ratio of 1.04. The stock's fifty day simple moving average is $140.80 and its 200-day simple moving average is $147.77. The firm has a market cap of $40.81 billion, a P/E ratio of 13.86, a PEG ratio of 2.23 and a beta of 1.35.

D.R. Horton (NYSE:DHI - Get Free Report) last issued its quarterly earnings data on Thursday, October 29th. The construction company reported $2.67 earnings per share for the quarter, missing analysts' consensus estimates of $3.01 by ($0.34). D.R. Horton had a return on equity of 12.47% and a net margin of 9.15%. The firm had revenue of $9.37 billion during the quarter, compared to analyst estimates of $9.07 billion. During the same quarter last year, the company posted $3.04 EPS. The company's revenue was down 3.2% on a year-over-year basis. On average, analysts expect that D.R. Horton will post 10.43 earnings per share for the current year.

Hedge Funds Weigh In On D.R. Horton

Several hedge funds and other institutional investors have recently modified their holdings of DHI. Mirae Asset Global Investments Co. Ltd. purchased a new stake in shares of D.R. Horton in the 3rd quarter valued at approximately $10,427,000. Cidel Asset Management Inc. boosted its position in shares of D.R. Horton by 12.3% during the 3rd quarter. Cidel Asset Management Inc. now owns 4,676 shares of the construction company's stock worth $639,000 after purchasing an additional 513 shares during the period. Unison Advisors LLC increased its holdings in D.R. Horton by 0.3% in the 3rd quarter. Unison Advisors LLC now owns 39,398 shares of the construction company's stock valued at $5,384,000 after purchasing an additional 115 shares during the last quarter. Greatmark Investment Partners Inc. acquired a new stake in D.R. Horton in the 3rd quarter valued at approximately $228,000. Finally, Verdence Capital Advisors LLC raised its position in D.R. Horton by 12.7% in the third quarter. Verdence Capital Advisors LLC now owns 18,513 shares of the construction company's stock valued at $2,530,000 after purchasing an additional 2,086 shares during the period. 90.63% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting D.R. Horton

Here are the key news stories impacting D.R. Horton this week:

• Positive Sentiment: D.R. Horton reported fourth-quarter revenue of $9.37 billion, exceeding the $9.07 billion analyst consensus. The company also raised its quarterly dividend 11.1% to $0.50 per share, or $2.00 annually, signaling continued confidence in cash generation. D.R. Horton Full-Year Earnings Results
• Positive Sentiment: The homebuilder maintained a solid balance sheet, with a reported current ratio of 6.43 and debt-to-equity ratio of 0.29. These metrics could help D.R. Horton continue offering incentives and managing through a softer housing market.
• Neutral Sentiment: Management forecast fiscal 2027 revenue of approximately $30 billion to $32 billion. The outlook reflects expectations for continued demand challenges but provides investors with a framework for performance as mortgage conditions evolve. D.R. Horton Fiscal 2027 Revenue Outlook
• Negative Sentiment: Fourth-quarter earnings per share declined to $2.67 from $3.04 a year earlier and missed the $3.01 consensus estimate. Revenue also fell 3.2% year over year, indicating that higher sales volume did not translate into comparable profitability. D.R. Horton Q4 Earnings Miss
• Negative Sentiment: Elevated mortgage rates weakened orders, increased cancellations and pressured demand. Management warned that these conditions could persist into fiscal 2027, while a $91 million impairment charge further weighed on quarterly results. D.R. Horton Profit and Mortgage Rates

D.R. Horton Company Profile

D.R. Horton, Inc is a residential construction company that builds and sells single-family detached and attached homes in the United States. Its offerings include entry-level, move-up, luxury and active-adult housing, serving a range of homebuyers through brands such as D.R. Horton, Express Homes, Emerald Homes and Freedom Homes.

The company's operations also include land acquisition and development, home financing and title services. Through subsidiaries and affiliated businesses, D.R.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.