Shares of homebuilding company D.R. Horton (NYSE:DHI) are surging higher today after it delivered a robust set of third-quarter numbers. Revenue jumped 10.6% year-over-year to $9.73 billion, scaling past estimates by $1.32 billion. EPS at $3.90 too comfortably outperformed estimates by $1.07.
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DHI closed 22,985 homes worth $8.7 billion in Q2. While net sales orders rose 37% to 22,879 homes, the cancellation rate dropped to 18% from 24% in the year-ago period. Further, the sales order backlog of homes under contract dropped by 34% to 19,186 homes at the end of June 2023.
Importantly, the 37% jump in net sales orders came despite elevated mortgage rates and inflationary challenges. Looking ahead, for fiscal 2023, DHI expects its top line to hover between $34.7 billion and $35.1 billion alongside $3 billion in cash flow from operations. It also expects to close between 82,800 and 83,300 homes during this period.
Moreover, DHI has also announced a quarterly dividend of $0.25 per share. The dividend is payable on August 14 to investors of record on August 7.
Overall, the Street has a $130.67 consensus price target on DHI alongside a Moderate Buy consensus rating. Shares of the company have skyrocketed nearly 72.1% over the past year.
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