Key Highlights:
- M/I Homes (MHO, Financial) reports a Q1 GAAP EPS of $3.98, missing estimates by $0.18.
- Revenue for the quarter declined by 7% year-over-year, reaching $976 million, falling short by $144 million.
- Despite these challenges, M/I Homes maintained a robust cash position with $776 million and repurchased $50 million in stock.
Quarterly Financial Performance
M/I Homes (MHO) recently released its first-quarter financial results, reporting a GAAP EPS of $3.98, which narrowly missed expectations by $0.18. The company experienced a 7% decline in revenue compared to the same period last year, totaling $976 million and falling $144 million short of market predictions. Additionally, the company saw an 8% decrease in home deliveries alongside a drop in new contracts year-over-year.
Despite these setbacks, M/I Homes demonstrated financial resilience by repurchasing $50 million worth of stock and maintaining a strong balance sheet with a cash reserve of $776 million. This strategic financial management positions the company well for future growth opportunities and market challenges.
Wall Street Analysts' Outlook
Analysts remain optimistic about M/I Homes' (MHO, Financial) future, offering a one-year average price target of $168.00. This forecast ranges from a high estimate of $185.00 to a low estimate of $151.00, suggesting a potential upside of 53.66% from the current trading price of $109.33. For those interested in more detailed projections, please visit the M/I Homes Inc (MHO) Forecast page.
The current consensus recommendation from three brokerage firms positions M/I Homes at a 1.3 rating, indicative of a "Buy" status. This rating operates on a scale from 1 to 5, where 1 represents a Strong Buy, and 5 indicates a Sell.
GuruFocus Valuation Insights
According to GuruFocus estimates, the GF Value for M/I Homes Inc (MHO, Financial) in the coming year is projected at $99.61. This suggests a potential downside of 8.89% from the current price of $109.33. The GF Value represents GuruFocus' assessment of the fair value at which the stock should ideally trade, calculated based on historical trading multiples, past business growth, and future performance estimates. For further details, investors may explore additional data on the M/I Homes Inc (MHO) Summary page.
Investors are encouraged to analyze these financial metrics and analyst insights to make informed decisions regarding M/I Homes' stock as it navigates through 2023.
