KBH · NYSE · STOCK
KB Home (KBH) Stock Analysis
$43.12
52W $42.88 – $67.57
52/100
$2.64B
11.9
1.34
Is KBH Bullish or Bearish?
Mixed.
Innellis AI committee rates KB Home (KBH) Watch with a composite score of 52/100
, based on 6 analysts with 33% agreement.
Last updated October 10, 2026.
What Would Change This View
- Upgrade to Buy
- Requires a committee score of 60.0 — +8.15 from today. Applies on the first day at or above the line; upgrades are never dampened.
- Downgrade to Reduce
- Requires the score to fall below 40.0 — -11.85 from today. The band boundary is 45.0, 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 committee is genuinely divided. Value Analyst sees a compelling case — p/e of 9.6 is inexpensive for the broad market. Portfolio Manager remains cautious — sector concentration is already high (hhi 2796.97). This disagreement is itself the signal — the setup is not clean in either direction.
Bull & Bear Case
Bull Case
- P/E of 9.6 is inexpensive for the broad market — Value
- Price-to-book of 1.1x is a discount to asset value — Value
- Quarter-over-quarter growth rate is ACCELERATING, not just positive — Growth
- Weekly trend (downtrend) confirms the daily trend -- multi-timeframe agreement — Technical
Bear Case
- Revenue declining -17.5% YoY -- this is not a growth story right now — Growth
- EPS declining -45.5% YoY despite any revenue growth — Growth
- Price structure making lower highs and lower lows — Technical
- RSI at 20 is in oversold territory (could mean either capitulation or a bounce setup) — Technical
- MACD histogram negative -- bearish momentum — Technical
- Price trading below the lower Bollinger Band -- stretched to the downside — Technical
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 October 10, 2026
Overall Committee Score
52/100
Agreement
33%
Analysts
6
Conviction
Contested
Sector Rank
Top 78%
of 178 Consumer Cyclical peers
Value Analyst
bullish
77
/ 100 · Moderate confidence
Classic value case: cheap on multiples with earnings power to back it up
+ P/E of 9.6 is inexpensive for the broad market
Growth Analyst
bearish
40
/ 100 · High confidence
Growth story is weak, decelerating, or inconsistent
+ Quarter-over-quarter growth rate is ACCELERATING, not just positive
− Revenue declining -17.5% YoY -- this is not a growth story right now
Technical Analyst
neutral
41
/ 100 · High confidence
Mixed or range-bound price action
+ Weekly trend (downtrend) confirms the daily trend -- multi-timeframe agreement
− Price structure making lower highs and lower lows
Risk Analyst
bearish
35
/ 100 · Low confidence
Elevated risk from leverage, volatility, event exposure, or portfolio concentration -- size accordingly
− Bollinger bandwidth of 15.6% signals elevated volatility
Macro Analyst
bullish
65
/ 100 · Low confidence
Macro backdrop is supportive of risk assets generally, and this name's beta works in its favor
News Analyst
neutral
53
/ 100 · Low confidence
News flow is mixed or quiet -- no strong signal either way right now
Portfolio Manager
bearish
30
/ 100 · Moderate confidence
The existing book itself argues for caution here, independent of how good this specific stock looks
− Sector concentration is already high (HHI 2796.97)
Investment Thesis Evolution
Committee score weakened from 55.2 to 51.9.
- Committee agreement fell modestly from 40% to 33%.
- New bearish signals: 4 appeared.
- Bullish support removed: 1 signal(s) disappeared.
- New bullish signals: 1 appeared.
- Bearish pressure eased: 2 signal(s) disappeared.
- New analyst(s) joined: Risk Analyst.
Analyst-level changes:
- Risk Analyst joined: bearish at 35.
- Technical Analyst: +3 bearish signal(s).
- Value Analyst: +1 bullish signal(s).
Comparing 2026-10-09 to 2026-10-10 (1 day apart).
Technical Analysis
RSI (14)
20.1
Oversold
MACD Histogram
-0.154
Bearish Momentum
Trend Direction
Downtrend
Weekly: Downtrend
Market Structure
Mixed
Support
$42.19
Resistance
$44.21
Bollinger %B
-0.02
Below Lower Band
Price vs Moving Averages
EMA 9
$45.13
Below
EMA 21
$47.04
Below
EMA 50
$50.03
Below
EMA 200
$54.34
Below
Fundamental Analysis
Valuation
100
Growth
63
Profitability
35
Financial Health
99
Cash Flow
70
Valuation
P/E Ratio
11.9×
P/B Ratio
0.69×
PEG Ratio
-0.24
Dividend Yield
2.32%
52W High
$67.57
52W Low
$42.88
Quality & Growth
ROE
1099.2%
ROA
638.0%
Gross Margin
1363.2%
Operating Margin
507.9%
Revenue Growth YoY
—
Debt / Equity
0.55
AI Fundamental Assessment
P/E ratio of 11.9 (inexpensive relative to a 15-40x range); Price-to-book of 0.7x; PEG ratio of -0.2 (under 1.0 suggests growth is undervalued relative to price); Return on equity of 11.0%; Return on assets of 6.4%; Net margin of 4.4%; Gross margin of 13.6%; Current ratio of 6.19 (healthy short-term liquidity); Debt-to-equity of 0.55; Free cash flow per share is positive (0.52); Most recent quarter beat estimates by 16.4%; EPS growth accelerating (-23.2% -> +144.2% QoQ); Average YoY EPS growth of -34.8%; Analyst estimates rising over recent quarters
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