Get the Weekly Intelligence Brief — top committee picks every Sunday.
DHI · NASDAQ · STOCK

D. R. Horton

Consumer Cyclical Updated August 09, 2026
$151.06
52W $131.75 – $184.55
66/100
$42.26B
14.3
1.38
AI Committee Verdict
Buy
66/100
Conviction: High · 83% agreement · 6 analysts
+2.1%
-7.2%
0.29:1
High
Buy rating, but near-term risk/reward is unfavorable
The long-term recommendation is based on the composite investment score. The near-term risk/reward is based on nearby support and resistance levels. These can differ when a strong company trades close to resistance with support further below.

Is DHI Bullish or Bearish?

Bullish. Innellis AI committee rates D. R. Horton (DHI) Buy with a composite score of 66/100 , based on 6 analysts with 83% agreement. Last updated August 09, 2026.

What Would Change This View

Upgrade to Strong Buy
Requires a committee score of 75.0 — +9.33 from today. Applies on the first day at or above the line; upgrades are never dampened.
Downgrade to Watch
Requires the score to fall below 55.0 — -10.67 from today. The band boundary is 60.0, but a one-step downgrade must clear a further margin first. A score oscillating around the line should not change the rating every night.

Executive Summary

The primary driver is low leverage (debt-to-equity 0.25) -- balance sheet can absorb a shock. The main limiting factor is revenue declining -3.5% yoy -- this is not a growth story right now. The committee is constructive but not yet at full conviction.

Bull & Bear Case

Bull Case
  • P/E of 13.8 is inexpensive for the broad market — Value
  • 3 consecutive earnings beats -- consistent execution — Growth
  • Quarter-over-quarter growth rate is ACCELERATING, not just positive — Growth
  • MACD histogram positive -- bullish momentum — Technical
  • Weekly trend (sideways) confirms the daily trend -- multi-timeframe agreement — Technical
  • Low leverage (debt-to-equity 0.25) -- balance sheet can absorb a shock — Risk
Bear Case
  • Revenue declining -3.5% YoY -- this is not a growth story right now — Growth
  • EPS declining -15.7% YoY despite any revenue growth — Growth
Both cases are generated from quantitative data signals, not qualitative or forward-looking judgement. They summarise what the numbers say today.
Price History (6M)

AI Investment Committee

Committee Consensus As of August 09, 2026
Overall Committee Score
66/100
Agreement
83%
Analysts
6
Conviction
High
Sector Rank
Top 15%
of 124 Consumer Cyclical peers
Value Analyst bullish
68 / 100 · Moderate confidence
Classic value case: cheap on multiples with earnings power to back it up
+ P/E of 13.8 is inexpensive for the broad market
Growth Analyst neutral
50 / 100 · High confidence
Moderate growth -- present but not remarkable
+ 3 consecutive earnings beats -- consistent execution
− Revenue declining -3.5% YoY -- this is not a growth story right now
Technical Analyst bullish
61 / 100 · High confidence
Price action is constructive -- trend and momentum agree
+ MACD histogram positive -- bullish momentum
Risk Analyst bullish
80 / 100 · Low confidence
Risk profile is manageable -- leverage, volatility, and event exposure all look contained
+ Low leverage (debt-to-equity 0.25) -- balance sheet can absorb a shock
Macro Analyst bullish
70 / 100 · Moderate confidence
Macro backdrop is supportive of risk assets generally, and this name's beta works in its favor
+ Market regime is bullish (Bull market -- normal position sizing)
News Analyst bullish
64 / 100 · Low confidence
News flow and recent filings/analyst actions are net positive
+ News sentiment is positive (+0.21 across 14 articles, 14d)
Portfolio Manager neutral
55 / 100 · Moderate confidence
Portfolio-level factors are mixed -- worth a deliberate sizing decision, not a default-size position
+ Portfolio position concentration is currently healthy
− 4 existing position pair(s) are highly correlated already
Open Full Terminal →

Investment Thesis Evolution

Committee score moved marginally from 65.3 to 65.7.

Analyst-level changes:
  • News Analyst: +1 bullish signal(s).

Comparing 2026-08-08 to 2026-08-09 (1 day apart).

Technical Analysis

RSI (14)
56.4
Neutral
MACD Histogram
0.544
Bullish Momentum
Trend Direction
Sideways
Weekly: Sideways
Market Structure
Hh Hl
Support
$140.10
Resistance
$154.18
Bollinger %B
0.74
Inside Bands
Price vs Moving Averages
EMA 9
$148.33 Above
EMA 21
$148.82 Above
EMA 50
$149.73 Above
EMA 200
$149.69 Above

Fundamental Analysis

Valuation
98
Growth
76
Profitability
57
Financial Health
100
Cash Flow
70
Valuation
P/E Ratio 14.3×
P/B Ratio 1.82×
PEG Ratio -0.90
Dividend Yield 1.19%
52W High $184.55
52W Low $131.75
Quality & Growth
ROE 1482.1%
ROA 1010.7%
Gross Margin 2261.2%
Operating Margin 1163.9%
Revenue Growth YoY
Debt / Equity 0.30
AI Fundamental Assessment
P/E ratio of 14.3 (inexpensive relative to a 15-40x range); Price-to-book of 1.8x; PEG ratio of -0.9 (under 1.0 suggests growth is undervalued relative to price); Return on equity of 14.8%; Return on assets of 10.1%; Net margin of 9.2%; Gross margin of 22.6%; Current ratio of 9.84 (healthy short-term liquidity); Debt-to-equity of 0.30; Free cash flow per share is positive (11.51); Most recent quarter beat estimates by 4.4%; 3 consecutive earnings beats; EPS growth accelerating (+10.3% -> +42.9% QoQ); Average YoY EPS growth of -4.8%; Analyst estimates rising over recent quarters
Get the Full DHI Analysis
Interactive charts · Live committee votes · Trade plan · Paper trading · AI Q&A
Open in Terminal →

Explore DHI Further

📈 Rating History 💰 Earnings 📰 Recent Events 🔄 What Changed 📖 Thesis Evolution 🔍 Similar Stocks
Weekly Intelligence Brief
Get the committee's top-scored stocks every Sunday.
Free · No spam · Unsubscribe anytime