Beazer Homes USA (NYSE:BZH) Releases Earnings Results, Beats Expectations By $0.69 EPS

Key Points

• Beazer reported EPS of ($0.03), beating estimates by $0.69, but revenue declined 27.5% year‑over‑year to about $409.9M, coming in below consensus.
• Management lowered near‑term targets—now expecting a sales pace just above 2 (versus prior 2.5) and only 200–300 bps of margin expansion by Q4—reducing the likelihood of full‑year EBITDA growth.
• The company executed disciplined capital allocation—buying $30M of a $72M repurchase plan (over 1M shares at ~60% of book)—while maintaining ~$400M total liquidity, a $525M revolver extended to 2030, and a strong lot pipeline (~60% option‑controlled land).

Beazer Homes USA (NYSE:BZH - Get Free Report) announced its quarterly earnings data on Thursday. The construction company reported ($0.03) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.72) by $0.69, FiscalAI reports. The company had revenue of $409.85 million during the quarter, compared to analysts' expectations of $448.79 million. Beazer Homes USA had a net margin of 0.44% and a return on equity of 2.11%. Beazer Homes USA's revenue was down 27.5% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.42 EPS.

Here are the key takeaways from Beazer Homes USA's conference call:

• Management lowered its near‑term targets—now expects a sales pace just above 2 (versus prior 2.5 target) and 200–300 bps of margin expansion by Q4, reducing the likelihood of full‑year EBITDA growth.
• Product mix is improving with to‑be‑built sales at 43% (highest since Q1 2024) and new communities at 34%, supporting higher ASPs (Q2 closed ASP $525k; backlog >$580k) and sequential margin gains.
• Disciplined capital allocation—executed $30M of a $72M repurchase plan in Q2, buying >1M shares at ~60% of book and on track to repurchase nearly 20% of shares since early FY2025.
• Strong liquidity and land position—~$400M total liquidity (including $160M cash), revolver increased to $525M and extended to March 2030, and a robust lot pipeline with 60% option‑controlled land.

Beazer Homes USA Trading Up 2.0%

Beazer Homes USA stock traded up $0.42 during midday trading on Thursday, reaching $21.59. The stock had a trading volume of 388,959 shares, compared to its average volume of 363,832. Beazer Homes USA has a twelve month low of $18.58 and a twelve month high of $28.33. The stock has a market capitalization of $637.15 million, a PE ratio of 71.97, a price-to-earnings-growth ratio of 1.75 and a beta of 2.21. The company has a debt-to-equity ratio of 0.94, a quick ratio of 1.81 and a current ratio of 19.62. The stock's 50-day simple moving average is $21.82 and its 200 day simple moving average is $22.45.

Wall Street Analyst Weigh In

A number of analysts have recently weighed in on the company. Weiss Ratings lowered Beazer Homes USA from a "hold (c)" rating to a "sell (d)" rating in a research report on Friday, January 30th. Wall Street Zen downgraded shares of Beazer Homes USA from a "hold" rating to a "strong sell" rating in a research report on Saturday, January 31st. Finally, Zacks Research raised Beazer Homes USA from a "strong sell" rating to a "hold" rating in a research report on Friday, January 16th. Two investment analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the company presently has an average rating of "Hold" and a consensus target price of $31.33.

Institutional Investors Weigh In On Beazer Homes USA

Hedge funds have recently added to or reduced their stakes in the stock. Royal Bank of Canada lifted its holdings in shares of Beazer Homes USA by 93.9% in the fourth quarter. Royal Bank of Canada now owns 1,883 shares of the construction company's stock valued at $38,000 after buying an additional 912 shares during the period. Osaic Holdings Inc. lifted its position in shares of Beazer Homes USA by 454.9% in the second quarter. Osaic Holdings Inc. now owns 2,103 shares of the construction company's stock worth $47,000 after purchasing an additional 1,724 shares in the last quarter. Comerica Bank acquired a new stake in Beazer Homes USA during the third quarter valued at $48,000. Aquatic Capital Management LLC bought a new stake in shares of Beazer Homes USA in the 3rd quarter valued at approximately $70,000. Finally, Tower Research Capital LLC TRC boosted its holdings in Beazer Homes USA by 123.4% in the second quarter. Tower Research Capital LLC TRC now owns 3,500 shares of the construction company's stock worth $78,000 after purchasing an additional 1,933 shares in the last quarter. 85.65% of the stock is currently owned by institutional investors.

Beazer Homes USA Company Profile

Beazer Homes USA, Inc is a national homebuilder specializing in the design, construction and sale of single-family homes. The company serves a diverse range of buyers, offering product lines that span from entry-level homes to move-up and active adult communities. In addition to its core homebuilding operations, Beazer provides mortgage financing, title and closing services through its subsidiaries, aiming to simplify the home-buying process and manage risk across the transaction.

Operating in key growth markets across the United States, Beazer Homes maintains a presence in more than a dozen metropolitan areas, including select markets in the Southeast, Southwest and West.

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