Century Communities (NYSE:CCS) Releases Earnings Results, Misses Estimates By $0.19 EPS

Key Points

• Century Communities missed quarterly estimates: EPS came in at $1.01 versus the $1.20 consensus, while revenue of $864.47 million fell short of the $949.83 million estimate.
• Higher mortgage rates and weaker consumer confidence reduced traffic, conversions, orders and deliveries. Incentives reached about 13% of deliveries and are expected to rise another 200–250 basis points in the fourth quarter, pressuring margins.
• The company lowered its 2026 outlook to 9,350–9,650 home deliveries and $3.3–$3.4 billion in home sales revenue, though its HistoryMaker Homes acquisition expands its Dallas-Fort Worth presence and strengthens its long-term market position.

Century Communities (NYSE:CCS - Get Free Report) released its earnings results on Wednesday. The construction company reported $1.01 earnings per share for the quarter, missing analysts' consensus estimates of $1.20 by ($0.19), FiscalAI reports. The firm had revenue of $864.47 million during the quarter, compared to the consensus estimate of $949.83 million. Century Communities had a return on equity of 6.06% and a net margin of 3.41%.

Here are the key takeaways from Century Communities' conference call:

• Higher mortgage rates and weaker consumer confidence slowed traffic, conversions, orders and deliveries; management said these trends continued into October.
• Incentives rose to approximately 13.0% of deliveries in the third quarter and are expected to increase another 200–250 basis points in the fourth quarter, pressuring adjusted gross margins.
• Century lowered its 2026 outlook to 9,350–9,650 home deliveries and $3.3–$3.4 billion in home sales revenue, reflecting the industry-wide slowdown in absorption.
• The acquisition of HistoryMaker Homes expands Century’s Dallas-Fort Worth communities from 12 to 41, adds entry-level and move-up products, and strengthens its position in a market management views as having favorable long-term fundamentals.
• Century ended the quarter with record community count and book value per share, $864 million of liquidity, and a larger $1.2 billion revolving facility; its low-deposit land strategy is intended to preserve flexibility while it controls costs and matches starts with demand.

Century Communities Trading Down 1.6%

NYSE:CCS traded down $0.94 during midday trading on Wednesday, reaching $56.76. 235,992 shares of the stock traded hands, compared to its average volume of 287,080. The company has a fifty day moving average of $61.37 and a 200 day moving average of $62.42. Century Communities has a 12 month low of $47.28 and a 12 month high of $76.00. The company has a debt-to-equity ratio of 0.44, a quick ratio of 0.56 and a current ratio of 0.56. The stock has a market capitalization of $1.61 billion, a P/E ratio of 12.45 and a beta of 1.28.

Century Communities Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Wednesday, September 9th. Investors of record on Wednesday, August 26th were issued a dividend of $0.32 per share. This represents a $1.28 dividend on an annualized basis and a yield of 2.3%. The ex-dividend date was Wednesday, August 26th. Century Communities's dividend payout ratio is currently 28.07%.

Analyst Ratings Changes

CCS has been the topic of several research reports. Zelman & Associates downgraded shares of Century Communities from a "neutral" rating to an "underperform" rating in a research note on Tuesday, July 7th. Zacks Research lowered shares of Century Communities from a "strong-buy" rating to a "hold" rating in a report on Monday, September 21st. Finally, Weiss Ratings upgraded shares of Century Communities from a "hold (c-)" rating to a "hold (c)" rating in a research report on Monday, August 24th. Two research analysts have rated the stock with a Buy rating, three have given a Hold rating and two have given a Sell rating to the company. According to MarketBeat, the company currently has an average rating of "Hold" and an average price target of $67.00.

About Century Communities

Century Communities, Inc NYSE: CCS is a residential homebuilder that designs, develops and constructs single-family detached and attached homes for a range of homebuyers, including first-time, move-up and active-adult buyers. The company sells homes under the Century Communities and Century Complete brands, offering a variety of floor plans, home features and community amenities.

Founded in 2000 and headquartered in Denver, Colorado, Century Communities operates in numerous housing markets across the Western, Southern and Southeastern United States.

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