KBH · NYSE · STOCK
KB Home (KBH) Stock Analysis
$43.31
52W $40.92 – $67.57
54/100
$2.65B
12.0
1.34
Is KBH Bullish or Bearish?
Mixed.
Innellis AI committee rates KB Home (KBH) Watch with a composite score of 54/100
, based on 6 analysts with 33% agreement.
Last updated October 16, 2026.
What Would Change This View
- Upgrade to Buy
- Requires a committee score of 60.0 — +6.18 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 — -13.82 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 11.6 is inexpensive for the broad market. Portfolio Manager remains cautious — sector concentration is already high (hhi 2739.42). This disagreement is itself the signal — the setup is not clean in either direction.
Bull & Bear Case
Bull Case
- P/E of 11.6 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 -20.8% YoY -- this is not a growth story right now — Growth
- EPS declining -50.1% YoY despite any revenue growth — Growth
- Price structure making lower highs and lower lows — Technical
- MACD histogram negative -- bearish momentum — Technical
- Bollinger bandwidth of 19.5% signals elevated volatility — Risk
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 16, 2026
Overall Committee Score
54/100
Agreement
33%
Analysts
6
Conviction
Contested
Sector Rank
Top 71%
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 11.6 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 -20.8% YoY -- this is not a growth story right now
Technical Analyst
neutral
49
/ 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 19.5% 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
58
/ 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 2739.42)
Investment Thesis Evolution
Committee score moved marginally from 52.2 to 53.8.
- New bearish signals: 2 appeared.
- Bullish support removed: 1 signal(s) disappeared.
- New bullish signals: 1 appeared.
- Bearish pressure eased: 4 signal(s) disappeared.
Analyst-level changes:
- Portfolio Manager: +1 bearish signal(s).
- Risk Analyst: +1 bearish signal(s).
- Technical Analyst: score 41->49 (+8).
- Value Analyst: +1 bullish signal(s).
Comparing 2026-10-15 to 2026-10-16 (1 day apart).
Technical Analysis
RSI (14)
43.0
Neutral
MACD Histogram
-0.082
Bearish Momentum
Trend Direction
Downtrend
Weekly: Downtrend
Market Structure
Mixed
Support
$42.19
Resistance
$44.21
Bollinger %B
0.28
Inside Bands
Price vs Moving Averages
EMA 9
$43.60
Below
EMA 21
$45.58
Below
EMA 50
$48.90
Below
EMA 200
$53.87
Below
Fundamental Analysis
Valuation
100
Growth
63
Profitability
35
Financial Health
99
Cash Flow
70
Valuation
P/E Ratio
12.0×
P/B Ratio
0.70×
PEG Ratio
-0.24
Dividend Yield
2.29%
52W High
$67.57
52W Low
$40.92
Quality & Growth
ROE
1099.2%
ROA
638.0%
Gross Margin
1646.2%
Operating Margin
507.9%
Revenue Growth YoY
—
Debt / Equity
0.55
AI Fundamental Assessment
P/E ratio of 12.0 (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 16.5%; Current ratio of 6.71 (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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