How to Buy Pultegroup Stock
Pultegroup Inc
Pultegroup is a construction company located in Georgia, United States, which is part of the Consumer Cyclical sector, and is traded under the ticker PHM on the NYSE exchange.
Pultegroup stock last closed at $55.42, down 0.96% from the previous day, and has increased 17.04% in one year. It has overperformed other stocks in the Residential Construction industry by 0.07 percentage points. Pultegroup stock is currently +58.2% from its 52-week low of $35.03, and -8.98% from its 52-week high of $60.89.
As of Mar 17, 2023, there are 225.6M shares of PHM outstanding. The market value of PHM is $12.50B. In the past 24 hours, 8.68M PHM shares were traded.
How to Buy Pultegroup Stock
Not sure how to invest in Pultegroup stock? Here's how.
- Choose where to buy Pultegroup stock: You need to pick a stock brokerage, but don't worry - we've analyzed dozens of online stock brokerages and apps to help you decide where to buy Pultegroup stock.
- Sign up for a brokerage account: Sign up for 0% commission trading with the highest-rated brokerage we've found.
- Deposit money your investment account: Pick your payment method and add your info.
- Analyze Pultegroup stock: The Pultegroup ticker symbol is PHM. Is Pultegroup stock a good investment? Should you buy shares of PHM? How do PHM's underlying business fundamentals look? Do top analysts think Pultegroup is a good buy? Why has PHM's stock price moved recently? (Hint: Our stock research website can help you evaluate if PHM is a good stock to buy).
- Make your PHM purchase: Decide if you will purchase PHM shares at the current market price or use a limit order to purchase PHM stock at a given price.
- Watch your investment in PHM: Create a watchlist to important notifications about your new investment in Pultegroup shares.
Step 1: Choose where to buy Pultegroup stock
You need an online brokerage account in order to access the NYSE market and buy PHM shares.
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Open eToro AccountStep 2: Sign up for a brokerage account
Now that you've selected the best brokerage, you'll need to fill out some personal info so you can invest in PHM stock today.
How to Create a New Brokerage Account on eToro
- Click here to get started.
- Provide your personal details to open a new brokerage account.
- Submit your data by clicking the "Create Account" button.
Step 3: Deposit money your investment account
Now that you've filled out your info on a mobile trading app, you need to deposit funds:
Check out this video walkthrough for more details transferring funds into your investment account.
Step 4: Analyze Pultegroup stock
After you have figured out the best place to buy Pultegroup stock, it's very important to analyze their stock before you buy, so you actually comprehend the risk and opportunity.
Pultegroup shares data
Pultegroup Fundamentals
WallStreetZen was designed to help part-time investors perform more accurate fundamental analysis quickly.
You can see all of the due diligence checks on PHM's stock page.
What is the fair value of PHM stock?
Investors use many financial metrics, analyses, models, and charts to gauge PHM's intrinsic value.
Using relative valuations measures:
- PHM may be undervalued based on its P/E ratio of 5.01x, relative to Residential Construction industry P/E ratio of 6.46x
- PHM may be undervalued based on its P/B ratio of 1.4x, relative to Residential Construction industry P/B ratio of 1.43x
You can access more valuation research on PHM's stock here.
PHM Financial Health Overview
Positive Health Checks:
- PHM profit margin has gone up from 14% to 16.1% in the past year.
- PHM earnings of $3.44B is not enough to cover its interest payments.
- PHM's operating cash flow of $668.47M allows it to safely service it's debt of $2.63B.
- Total PHM debt is lower than 5 years ago, relative to shareholder equity.
Negative Health Checks:
- PHM has a relatively high debt to equity ratio of 0.66.
Is it a good time to buy Pultegroup stock, according to analysts?
Out of 15 Equities analysts who monitor PHM, the consensus analyst rating on PHM is a Buy
It's important to note that analyst forecasts are not recommendations, nor are they financial advice.
Most Recent PHM Analyst Upgrades/Downgrades
Kenneth Zener, a top 10% analyst from KeyBanc maintains PHM with a strong buy rating and raises their PHM price target from $51.00 to $66.00, on Feb 3, 2023.
Michael Rehaut, a top 7% analyst from JP Morgan maintains PHM with a strong buy rating and raises their PHM price target from $65.00 to $74.00, on Feb 2, 2023.
Pettinari raised his price target on PulteGroup, Inc. by 13.9% following the release of the company's Q4 and FY 2022 earnings report on 2023/01/31.
Results were "strong," the analyst told investors.
Management highlighted "solid" demand trends in 2023/01 with sales activity improving sequentially every month in Q4, Pettinari added, noting that a "reasonable valuation" keeps him positive on the name.
PulteGroup reported:
For Q4 2022:
- EPS of $3.63, which beat the Zacks Consensus Estimate of $2.88 and, by 44.6%, Q4 2021's $2.51.
- Revenue of $5.17B, which beat the Zacks Consensus Estimate by 12.33% and, by 18.6%, Q4 2021's $4.36B.
For FY 2022:
- EPS of $11.01, up 48.1% from FY 2021's $ 7.43.
- Revenue of $16.229B, up 16.5% from FY 2021's $13.927B.
In its earnings call, management guided for Q1 2023 (but declined to guide for FY 2023):
- Gross margins of 27%.
- SG&A expense of 10.5% to 11% compared to 10.7% in Q1 2022.
- Average selling price of $565,000 to $575,000. At the midpoint, that represents an increase of 12% over Q1 2022.
President & CEO Ryan Marshall commented: "Our strong Q4 results allowed PulteGroup to lower its debt-to-capital ratio to 18.7% and deliver a full-year return on equity of 32.9%.
“While demographics, supply dynamics and the overall financial benefits of home ownership keep us confident about long-term demand, Federal Reserve actions to fight inflation through higher interest rates continued to impact homebuying demand in the quarter.
"Given these conditions, we are managing our house and land inventory to efficiently turn our assets and maximize returns, while continuing to strengthen our balance sheet and return funds to our shareholders.”
Anthony Pettinari, a top 3% analyst from Citigroup maintains PHM with a strong buy rating and raises their PHM price target from $56.00 to $68.00, on Feb 2, 2023.
Mike Dahl, a bottom 16% analyst from RBC Capital maintains PHM with a hold rating and raises their PHM price target from $46.00 to $54.00, on Feb 1, 2023.
Jay McCanless, a top 8% analyst from Wedbush maintains PHM with a hold rating and raises their PHM price target from $47.00 to $57.00, on Feb 1, 2023.
You can dig deeper into what analysts are projecting on the Pultegroup stock forecast page.
Metrics for Advanced PHM Traders
How is PHM performing as a company?
Last year, PHM earnings were $2.62B. Over the past five year, PHM's earnings have grown by 50.16% per year. This was faster than the Residential Construction industry average of 41.12%.
Last year, PHM revenue was $16.23B. During the past five year, PHM's revenue has gone up by 13.6% per year. This was slower than the Residential Construction industry average of 17.38%.
You can analyze PHM's earnings and revenue performance here.
Are PHM insiders buying or selling the stock?
Over the last year, insiders at PHM have sold more shares than they have bought.
Todd N. Sheldon, EVP Gen Counsel Corp Secy of PHM, was the latest PHM insider to sell. They sold $861,204.34 worth of PHM shares on Mar 2, 2023.
Research more about who owns PHM shares here.
Can I get consistent income from PHM stock?
Pultegroup pays a dividend of 1.12%, compared to the Residential Construction industry's average dividend yield of 1.72%. If you owned $1,000 of PHM stock, you would have received $11.19 last year.
Pultegroup dividend payments have consistently grown over the past decade and have remained stable.
Get more analysis about Pultegroup dividend yield and history here.
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Step 5: Make your PHM purchase
You have two main order types:
- Market order: A market order is an order to buy or sell a security at the best possible price.
Market orders are usually sufficient. - Limit order: A limit order lets you buy or sell a security at a specific price (or better).
If you want to be sure you're buying or selling at a given dollar amount limit, place a limit order.
Hit the Open Trade button and eToro will execute your order.
If you need more assistance investing in stocks on eToro, click the how to video below:
Step 6: Watch your investment in PHM
Now that you own some PHM shares, you'll want to stay up-to-date on your stock purchase.
Add PHM to a watchlist to track your PHM stock.
PHM Feed
How to Buy Stock in Pultegroup
To reiterate, here are the 6 steps to buy stock in Pultegroup:
- Choose where to buy Pultegroup stock
- Sign up for a brokerage account
- Deposit money your investment account
- Analyze Pultegroup stock
- Make your PHM purchase
- Watch your investment in PHM
If you need a brokerage account, eToro is our recommended option.
Get Started with eToro TodayIf you would like to get the latest scoop on your investment in Pultegroup, add PHM to your watchlist by clicking the button below.
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