The Chart of the Day belongs to the home builder PutleGroup (PHM) . I found the stock by using Barchart's powerful screening functions to find stocks with the highest technical buy signals, highest Weighted Alpha, superior current momentum and having a Trend Seeker buy signal then used the Flipchart feature to review the charts for consistent price appreciation. Since the Trend Seeker signaled a buy on 3/23 the stock gained 17.52%.
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, American West, and John Wieland Homes and Neighborhoods brand names. As of December 31, 2022, it controlled 211,112 lots, of which 108,848 were owned and 102,264 were under land option agreements. In addition, the company arranges financing through the origination of mortgage loans primarily for homebuyers; sells the servicing rights for the originated loans; and provides title insurance policies, and examination and closing services to homebuyers. The company was founded in 1950 and is headquartered in Atlanta, Georgia.
Barchart's Opinion Trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 20 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report.
Barchart Technical Indicators:
- 100% technical buy signals
- 75.19+Weighted Alpha
- 59.21% gain in the last year
- Trend Seeker buy signal
- Above its 20, 50 and 100 day moving averages
- 12 new highs and up 17.19% in the last month
- Relative Strength Index 81.40%
- Recently traded at $66.27 with 50 day moving average of $57.25
Fundamental Factors:
- Market Cap $14.50 billion
- P/E 5.70
- Dividend yield .99%
- Despite Analysts predictions of negative growth in both Revenue and Earnings most have a positive price target prediction
Analysts and Investor Sentiment -- I don't buy stocks because everyone else is buying but I do realize that if major firms and investors are dumping a stock it's hard to make money swimming against the tide:
- Wall Street analysts issued 7 strong buys, 3 buys and5 hold opinions on this stock
- Analysts have price targets from $65 to $88 with a consensus of $75.83 up 13.40% from today's close
- The individual investors on Motley Fool are very split in their opinions with votes of 633 to 649 to not beat the market with the more experienced investors voting 124 to 129 for the same slightly negative result
- Value Line gave the stock its above average rating of 2 but a projected annual rate of return of a negative 7% to 30% decline
- CFRAs MarketScope has a hold but a price target of $67
- Zacks Comments: One company value investors might notice is PulteGroup (PHM). PHM is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 8.81, which compares to its industry's average of 10.44. Over the past year, PHM's Forward P/E has been as high as 8.81 and as low as 3.32, with a median of 4.34. Tthe stock is likely undervalued right now. When factoring in the strength of its earnings outlook, PHM looks like an impressive value stock at the moment.
- 22,140 investors monitor the stock on Seeking Alpha
Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in the next 72 hours.
Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance and reevaluate your stop losses at least on a weekly basis.
On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
