#2 - Pulte Group (NYSE:PHM)
PulteGroup, Inc.
The next stock to look at is Pulte Group (NYSE:PHM). Although PHM stock has climbed nearly 100% since the selloff in March, it hasn’t quite turned back to a gain for the year. One factor that goes into evaluating these home builders is size. Pulte Group is the third-largest home construction company in the United States (per number of homes closed). It operates in 44 markets in 23 states.
Analysts have a consensus rating of Hold on the stock. However, on June 15, Citigroup raised its target for PHM stock from $32 to $43. The stock moved up over 5% on that recommendation alone. If the stock were to hit that target, it would post a gain of just over 20% from the stock’s level at the time of this writing.
Pulte Group has paid out a dividend in each of the last two years. The company has a payout ratio of 13.75% which should give investors confidence that the dividend is safe, and perhaps will be boosted again.
About PulteGroup
PulteGroup, Inc, through its subsidiaries, primarily engages in the homebuilding business in the United States. It acquires and develops land primarily for residential purposes; and constructs housing on such land. The company also offers various home designs, including single-family detached, townhomes, condominiums, and duplexes under the Centex, Pulte Homes, Del Webb, DiVosta Homes, John Wieland Homes and Neighborhoods, and American West brand names.
More- Current Price
- $110.44
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 11 Buy Ratings, 5 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $140.86 (27.5% Upside)
