PulteGroup (NYSE:PHM) Given New $110.00 Price Target at Royal Bank Of Canada

Key Points

• Royal Bank of Canada cut PulteGroup’s price target from $111 to $110 and maintained a “sector perform” rating, implying 7.73% downside from the prior close.
• PulteGroup reported quarterly EPS of $2.53 and revenue of $3.97 billion, missing analyst estimates of $2.63 and $4.15 billion, respectively; revenue fell 9.8% year over year.
• Analyst sentiment remains cautiously positive, with a consensus “Moderate Buy” rating and $137.18 target, while elevated mortgage rates and affordability pressures continue to weigh on housing demand. Institutional investors own approximately 89.9% of the company.

PulteGroup (NYSE:PHM - Get Free Report) had its target price decreased by research analysts at Royal Bank Of Canada from $111.00 to $110.00 in a research report issued on Friday, Benzinga reports. The brokerage currently has a "sector perform" rating on the construction company's stock. Royal Bank Of Canada's price objective indicates a potential downside of 7.73% from the company's previous close.

Several other research analysts also recently issued reports on PHM. The Goldman Sachs Group set a $138.00 price target on shares of PulteGroup in a research report on Monday, October 12th. Weiss Ratings upgraded shares of PulteGroup from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Friday, October 16th. Wolfe Research set a $129.00 target price on shares of PulteGroup and gave the stock an "outperform" rating in a research note on Monday, August 24th. Barclays reduced their target price on shares of PulteGroup from $110.00 to $109.00 and set an "equal weight" rating on the stock in a research report on Friday. Finally, Wells Fargo & Company decreased their price target on shares of PulteGroup from $150.00 to $145.00 and set an "overweight" rating on the stock in a research note on Friday, September 11th. One investment analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and nine have given a Hold rating to the company's stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus target price of $137.18.

PulteGroup Price Performance

PHM traded down $0.27 during trading on Friday, hitting $119.21. The company's stock had a trading volume of 178,234 shares, compared to its average volume of 1,805,013. The company has a quick ratio of 0.78, a current ratio of 0.78 and a debt-to-equity ratio of 0.14. The stock has a market capitalization of $22.35 billion, a price-to-earnings ratio of 12.19, a price-to-earnings-growth ratio of 1.57 and a beta of 1.16. The firm's 50 day moving average price is $119.99 and its two-hundred day moving average price is $122.71. PulteGroup has a 12 month low of $107.15 and a 12 month high of $144.49.

PulteGroup (NYSE:PHM - Get Free Report) last announced its earnings results on Thursday, October 22nd. The construction company reported $2.53 EPS for the quarter, missing the consensus estimate of $2.63 by ($0.10). PulteGroup had a return on equity of 15.21% and a net margin of 11.62%. The business had revenue of $3.97 billion for the quarter, compared to the consensus estimate of $4.15 billion. During the same quarter in the previous year, the company posted $2.96 EPS. PulteGroup's revenue for the quarter was down 9.8% on a year-over-year basis. Sell-side analysts forecast that PulteGroup will post 10.06 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of the business. State Street Corp raised its stake in shares of PulteGroup by 3.2% during the second quarter. State Street Corp now owns 9,174,111 shares of the construction company's stock worth $1,261,092,000 after buying an additional 288,054 shares during the last quarter. First Trust Advisors LP boosted its stake in PulteGroup by 7.8% in the first quarter. First Trust Advisors LP now owns 4,314,501 shares of the construction company's stock valued at $507,428,000 after acquiring an additional 313,581 shares during the last quarter. Dimensional Fund Advisors LP boosted its stake in PulteGroup by 0.9% in the first quarter. Dimensional Fund Advisors LP now owns 3,146,857 shares of the construction company's stock valued at $370,008,000 after acquiring an additional 26,790 shares during the last quarter. Bank of America Corp DE grew its holdings in PulteGroup by 4.3% during the 1st quarter. Bank of America Corp DE now owns 1,963,175 shares of the construction company's stock worth $230,889,000 after acquiring an additional 80,352 shares during the period. Finally, Bank of New York Mellon Corp acquired a new stake in PulteGroup during the 2nd quarter worth $189,931,000. Institutional investors own 89.90% of the company's stock.

Trending Headlines about PulteGroup

Here are the key news stories impacting PulteGroup this week:

• Positive Sentiment: PulteGroup reported $475.7 million in net income, or $2.53 per share, while management highlighted the benefits of its diversified operating platform amid challenging housing conditions. The company also expects 27,000–27,500 full-year home closings and plans approximately $5.3 billion in 2026 land investment, supporting future growth. PulteGroup Announces Q3 2026 Net Income and Financial Results PulteGroup Closing Outlook and Land Spending
• Positive Sentiment: Analysts and financial commentary point to PulteGroup’s cash-flow generation and relatively modest leverage as reasons the shares may look attractively valued. Its diversified geographic and product exposure may also help it navigate uneven demand. PulteGroup Stock Valuation and Cash Flow
• Neutral Sentiment: Backlog growth provides some forward visibility, but investors will focus on whether the backlog converts into closings and margins as mortgage rates and affordability pressures persist. PulteGroup Q3 2026 Earnings Call Transcript
• Negative Sentiment: Third-quarter EPS of $2.53 missed the $2.63 consensus estimate, while revenue of $3.97 billion fell short of the $4.15 billion forecast. Net income declined from $586 million, or $2.96 per share, a year earlier, and revenue dropped 9.8% year over year. PulteGroup Third-Quarter Financial Results
• Negative Sentiment: Elevated mortgage rates, inflation and economic uncertainty are reducing homebuyer demand, pressuring sales volumes, pricing and margins—particularly in the luxury-home segment. These factors initially drove selling pressure despite the company’s longer-term growth plans. PulteGroup Net Income Declines as Mortgage Rates Weigh on Sales

PulteGroup Company Profile

PulteGroup, Inc is a major U.S. homebuilding company that designs, builds and sells homes for a range of buyers, including first-time, move-up and active-adult customers. Its operations include land acquisition and development, home construction, sales and marketing, and customer service.

The company markets homes under several well-known brands, including Pulte, Centex, Del Webb, DiVosta and American West. Through these brands, PulteGroup offers a variety of single-family home designs and communities, with products tailored to different price points, lifestyles and stages of homeownership.

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