D.R. Horton, Inc. (DHI)

FairStock Score: 59/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I see D.R. Horton as a financially sturdy but deeply cyclical homebuilder. It sells homes in 126 markets across 36 states and handles mortgage and title work, but its economics follow housing demand rather than a durable franchise pattern. In fiscal Q3 2026, the quarter ended 2026-06-30, revenue was $9.2B, net income $904.9M, and diluted EPS $3.20; compared with fiscal Q3 2025, the quarter ended 2025-06-30, net income was $1.0B and diluted EPS $3.36, so profit softened while sales were flat. The longer record is uneven: fiscal 2025 revenue was $34.3B, net income $3.6B, diluted EPS $11.57, down from fiscal 2024 revenue $36.8B, net income $4.8B, diluted EPS $14.34. Still, the balance sheet looks reasonable, with FairStock's debt-to-equity at 0.29, Altman Z-score 4.70, Piotroski 6/9, and trailing free cash flow of $3.2B. At the $146.52 close on 2026-10-26, FairStock shows P/E 13.97, P/B 1.73, ROE 12.63%, ROCE 6.88%, EV/EBITDA 11.82, and a Graham Number of $141.52, leaving margin of safety -4.21%. That is not a bargain by Graham's test, but it is not stretched either. The computed Lynch category is CYCLICAL — Residential Construction, so I would expect earnings to swing with the economy; the price looks fair, not compelling.

In plain English: D.R. Horton builds and sells homes across the U.S. and also provides mortgage and title services. In its latest reported quarter, sales were flat and profit fell from a year earlier, so the business looks financially solid but tied to the housing cycle and not growing quickly. The stock price looks roughly fair versus its reported earnings and assets, not clearly cheap.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-26 close · note generated 2026-10-28 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q3 2026 10-Q (period ended 2026-06-30) · fiscal Q2 2026 10-Q (period ended 2026-03-31) · fiscal Q1 2026 10-Q (period ended 2025-12-31) · fiscal Q3 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-09-30) · FY2024 10-K (period ended 2024-09-30) · FY2023 10-K (period ended 2023-09-30)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer