PulteGroup (PHM, Financial) has received a boost from BofA analyst Rafe Jadrosich, who has upgraded the company's price target from $120 to $127. The analyst maintains a Buy rating for the homebuilder's shares despite recent adjustments to its 2025 guidance due to softened demand.
In its recent financial report, PulteGroup exceeded first-quarter expectations, yet the company adjusted its long-term outlook. However, BofA emphasizes the homebuilder's strong return on equity (ROE) and capital returns, positioning it favorably against industry peers.
Amid challenging market conditions, PulteGroup's ability to maintain robust order and margin performance is highlighted as a key strength. This optimism reflects BofA's view that the company's future remains promising despite the broader economic backdrop.
