United Homes Group (UHG) AI Stock Analysis

• Market Cap: $103.49M
• Dividend Yield: N/A
• Average Volume (3M): 414.92K
• Price to Earnings (P/E): 28.1
• Beta (1Y): 0.83
• Revenue Growth: 7.51%
• EPS Growth: -97.77%
• Country: US
• Employees: 175
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Residential Construction
• EPS (TTM): -0.11
• Shares Outstanding: 21,828,983
• 10 Day Avg. Volume: 1,072,407
• 30 Day Avg. Volume: 414,916
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 2.57
• Enterprise Value/Revenue: 0.60
• Enterprise Value/Gross Profit: 3.41
• Enterprise Value/Ebitda: 18.97
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 48 Neutral
• Price Target: $1.50 ▼(-25.74% Downside)

United Homes Group's stock score is primarily impacted by its financial performance challenges, including declining margins and high leverage. Technical indicators further suggest bearish momentum, while valuation metrics indicate potential overvaluation. Despite some positive developments in the earnings call, such as improved gross margins, the overall sentiment remains cautious due to a net loss and declining sales metrics.

United Homes Group Business Overview & Revenue Model

Company Description

United Homes Group, Inc., a land development and homebuilding company, designs, builds, and sells homes in South Carolina. It provides a series of single-family detached and attached homes for entry-level buyers, first-time move-ups, second-time move-ups, and third-time move-ups, as well as offers custom builds. The company was founded in 2004 and is based in Chapin, South Carolina.

How the Company Makes Money

United Homes Group generates revenue through multiple streams, primarily from the sale of newly constructed residential properties. The company profits by purchasing land, developing it into residential communities, and selling homes at a markup. In addition to home sales, UHG also earns revenue from ancillary services, such as property management fees and the sale of warranties or home-related products. The company may engage in partnerships with local governments or other developers to enhance project financing and expand its market reach, which can further contribute to its earnings. Additionally, fluctuations in the housing market and interest rates can significantly impact the company's revenue, as demand for new homes directly influences sales volume.

United Homes Group Financial Statement Overview

Summary

United Homes Group demonstrates strong profitability with consistent revenue growth, a solid equity position, and robust cash flow management. The elimination of debt and substantial cash reserves highlight financial resilience, although past leverage levels suggest a need for continued prudent financial practices.

Income Statement

United Homes Group demonstrates strong profitability with a healthy gross profit margin and net profit margin, driven by consistent revenue growth over the years. Notably, the company achieved significant revenue growth from 2023 to 2024. EBIT and EBITDA margins indicate efficient operational management, supporting high performance in the residential construction industry.

Balance Sheet

The balance sheet reflects a solid equity position with a significant improvement in stockholders' equity in 2024. The company has eliminated its debt, thus showcasing excellent financial stability and a strong equity ratio. However, historical leverage was relatively high, which could have posed risks in less favorable conditions.

Cash Flow

United Homes Group exhibits robust cash flow management with significant free cash flow growth. The operating cash flow to net income ratio is favorable, indicating effective cash generation relative to earnings. The transition to positive free cash flow and substantial cash reserves in 2024 further highlight financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	445.96M	463.71M	421.47M	477.05M	432.89M	327.25M
Gross Profit	78.06M	79.83M	79.73M	118.81M	100.62M	67.14M
EBITDA	14.02M	39.01M	15.96M	70.37M	62.51M	37.43M
Net Income	5.17M	46.91M	125.06M	69.49M	62.41M	38.98M
Balance Sheet
Total Assets	281.07M	265.38M	298.65M	208.34M	202.26M	131.60M
Cash, Cash Equivalents and Short-Term Investments	36.54M	22.63M	56.67M	12.24M	51.50M	29.18M
Total Debt	134.03M	120.30M	154.06M	121.80M	102.50M	74.82M
Total Liabilities	198.90M	198.51M	329.83M	149.34M	135.70M	97.43M
Stockholders Equity	82.16M	66.87M	-31.18M	59.00M	66.56M	23.11K
Cash Flow
Free Cash Flow	15.44B	15.41M	28.06M	34.45M	57.91M	70.98M
Operating Cash Flow	15.47B	15.44M	28.22M	34.62M	58.32M	71.78M
Investing Cash Flow	-29.15K	-12.59M	-24.30M	-206.88K	-394.05K	-785.29K
Financing Cash Flow	-26.21M	-33.98M	40.51M	-73.68M	-35.60M	-51.42M

United Homes Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.02
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For UHG, the sentiment is Negative. The current price of 2.02 is below the 20-day moving average (MA) of 3.46, below the 50-day MA of 3.90, and below the 200-day MA of 3.45, indicating a bearish trend. The MACD of -0.62 indicates Positive momentum. The RSI at 21.17 is Positive, neither overbought nor oversold. The STOCH value of 1.93 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for UHG.

United Homes Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CCS	―	$1.86B	9.22	8.37%	1.79%	-6.28%	-31.55%
LEGH	―	$574.76M	10.71	11.33%	―	8.79%	2.30%
HOV	―	$827.42M	6.48	20.08%	―	7.97%	-35.64%
Sector *	―	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
LGIH	―	$1.06B	6.87	7.84%	―	-7.89%	-19.53%
BZH	―	$717.28M	10.82	5.65%	―	9.97%	-52.57%
UHG	―	$103.49M	28.08	9.58%	―	7.51%	-97.77%

United Homes Group Corporate Events

United Homes Group Directors Announce Upcoming Resignations

On October 19, 2025, several directors of United Homes Group announced their intention to resign from the Board, effective no later than November 14, 2025, to facilitate an orderly transition and allow the company to file its quarterly report on time. This decision follows the conclusion of a strategic review process by the company’s special committee, which determined that continuing as an independent public company is in the best interest of stakeholders, despite macroeconomic challenges. The resignations were partly due to disagreements over the role of Michael Nieri, the Executive Chairman, and his refusal to step down or forego compensation, as proposed by the directors.

The most recent analyst rating on (UHG) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on United Homes Group stock, see the UHG Stock Forecast page.

United Homes Group Reports Decline in Net New Orders

On October 7, 2025, United Homes Group, Inc. reported a decline in net new orders by 5% year-over-year for the third quarter ending September 30, 2025, due to weaker demand in July, which improved in August and September. The company faced industry-wide pressures from elevated new home inventory levels, affecting sales and margins. Despite these challenges, the company saw a 66% increase in home starts year-over-year, attributed to an increase in community count, which reached 56 by the end of September, and expects continued growth through the end of 2025.

The most recent analyst rating on (UHG) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on United Homes Group stock, see the UHG Stock Forecast page.

United Homes Group Amends Credit Agreements

On September 29, 2025, United Homes Group, Inc. amended its credit agreements with Wells Fargo and Kennedy Lewis, adjusting financial covenants and thresholds. These amendments impact the company’s financial operations by altering debt service coverage ratios and liquidity requirements, potentially affecting its financial flexibility and stakeholder relations.

The most recent analyst rating on (UHG) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on United Homes Group stock, see the UHG Stock Forecast page.

United Homes Group’s Earnings Call: Mixed Sentiments and Strategic Moves

United Homes Group, Inc. recently held its second quarter 2025 earnings call, where the sentiment was a mix of cautious optimism and acknowledgment of challenges. The company demonstrated improvements in gross margins and successful product refresh initiatives. However, it faced hurdles with declining revenue, home closings, and net new orders. The emphasis on affordability and strategic new community openings were positive developments, yet the current net loss and decreased community count highlight ongoing difficulties.

United Homes Group Reports Q2 2025 Financial Results

United Homes Group, Inc., a publicly traded residential builder, focuses on the design, construction, and sale of single-family homes in high-growth markets across the southeastern United States. The company operates with a land-light strategy, utilizing lot option contracts to manage its supply of building lots.