BTIG has revised its price target for PulteGroup (PHM, Financial), reducing it from $145 to $124, while maintaining a Buy rating on the company's stock. This adjustment comes as part of a comprehensive analysis of the homebuilders sector, which is poised to begin its earnings season.
The firm anticipates a challenging period ahead, forecasting a 7% drop in new home sales in the United States. This decline is attributed to a significant decrease in consumer confidence, driven by growing uncertainties surrounding income stability, job security, and the rising cost of living. Additionally, elevated interest rates continue to exert pressure on potential homebuyers.
Alongside the anticipated reduction in home sales, BTIG projects a 27% average decline in earnings across the industry. These expectations reflect the broader economic concerns currently affecting the housing market.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 14 analysts, the average target price for PulteGroup Inc (PHM, Financial) is $129.94 with a high estimate of $161.00 and a low estimate of $100.00. The average target implies an upside of 37.08% from the current price of $94.79. More detailed estimate data can be found on the PulteGroup Inc (PHM) Forecast page.
Based on the consensus recommendation from 18 brokerage firms, PulteGroup Inc's (PHM, Financial) average brokerage recommendation is currently 2.2, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for PulteGroup Inc (PHM, Financial) in one year is $93.48, suggesting a downside of 1.38% from the current price of $94.79. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the PulteGroup Inc (PHM) Summary page.
