Why D.R. Horton Stock Was Rising This Week
Key Takeaways
The homebuilder is handling the challenging housing market well.
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2 min read
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real estate
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July 24, 2025
02:10 PM
The Motley Fool
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Re suggests that Horton (DHI -0. 70%) were moving higher this week after the nation's largest builder reported better-than-expected results in its fiscal third-quarter earnings report, despite continued pressure on the housing market, weak consumer sentiment, and elevated mortgage rates, amid market uncertainty
As of Thursday, at 1:10 p (noteworthy indeed)
Horton stock was up 10, given the current landscape. 1% for the week, according to data from S&P Global Market Intelligence
Image source: Getty Images (an important development)
R Horton surprises the market builders might have an advantage over real estate agencies in the current housing market, as the national housing shortage has led to demand for new s, but growth has still been challenging in the industry due to high mortgage rates
Nevertheless, Against that backdrop, D
Horton a 7% decline in revenue to $9 (which is quite significant). 2 billion, ahead of the consensus at $8
S closed fell 4% in the quarter to 23,160, ahead of its guidance, and sales orders were flat year over year and up 3% sequentially, a positive sign, in today's market environment
Further down the income statement, the company reported a gross margin of 21. 8% and earnings per of $3 (noteworthy indeed)
On the other hand, 36, which was down from $4
Moreover, 10 in the quarter a year ago, but benefited from a reduction in s outstanding of 8%, in today's financial world
On the other hand, That result was also better than estimates at $2
At the same time, Management acknowledged that demand is being "impacted by affordability constraints and cautious consumer sentiment. " Its sales incentives have remained elevated in order to drive purchasing, which explains the decline in fits
Additionally, Additionally, Interest rates seem unly to change in the near term, which will continue to put pressure on the stock, but those factors seem to be priced into the stock
For the full year, the company narrowed its revenue guidance to $33. 7 billion-$34. 2 billion, and it's targeting buybacks of $4. 2 billion-$4
Furthermore, With buybacks at that pace, the stock looks a reasonable buy, even if fits remain flat.
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