Beazer Homes USA Inc. Common Stock (BZH)
StalwartFairStock Score: 15/100 — RISKY
Key Financials
| Current Price | $22.12 |
| Market Cap | $675M |
| P/E Ratio | -122.89 |
| ROE | -0.32% |
| Dividend Yield | —% |
| Sector | Consumer Cyclical |
Strengths
- Generates $4 million in annual free cash flow (0.6% yield on market cap)
Concerns
- Elevated P/E of 77.8x prices in substantial future growth that may not materialize
- Currently unprofitable—sustained losses could lead to dilutive capital raises or balance sheet deterioration
- Revenue declining at 22.5% year-over-year signals potential demand weakness or market share loss
- Weak Piotroski F-Score of 2/9 suggests deteriorating financial quality across multiple dimensions
AI Analysis
Beazer Homes USA Inc. Common Stock is a micro-cap consumer cyclical company valued at $675 million. Revenue stands at $2.3 billion, though the company is currently unprofitable. From a quality standpoint, Beazer shows weak Piotroski F-Score of 2/9 signaling deteriorating fundamentals and distressed Altman Z-Score of 1.6 warrants caution. On valuation, the stock is commanding a steep 77.8x multiple, with trades above its Graham Number with a negative 41% margin. Growth dynamics show revenue growing at -22.5% and profit growth of -1141.4%. Our composite FairStock Score of 15/100 reflects below-average fundamentals overall. Without profitability, this remains speculative—suitable only for those with high risk tolerance and a long time horizon.
Bull Case
Improving fundamentals and sector tailwinds could drive meaningful earnings growth, compressing the effective multiple for patient investors. With $4 million in annual free cash flow (0.6% yield), management has ample capital for buybacks, dividends, or accretive acquisitions.
Bear Case
At 78x earnings, any growth disappointment triggers rapid multiple compression—a 20% earnings miss plus multiple contraction to 20x implies 40%+ downside. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.
Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer