PulteGroup (NYSE:PHM) Announces Earnings Results

PulteGroup (NYSE:PHM) issued its earnings results on Thursday. The construction company reported $2.56 earnings per share for the quarter, missing the consensus estimate of $2.78 by ($0.22), FiscalAI reports. The firm had revenue of $4.61 billion during the quarter, compared to analyst estimates of $4.34 billion. PulteGroup had a return on equity of 19.58% and a net margin of 14.93%.

Here are the key takeaways from PulteGroup’s conference call:

• Strong 2025 financial performance — Pulte reported ~29,500 home closings, $16.7 billion in home sale revenue, full-year gross margin of 26.3%, net income of $2.2 billion, and $1.9 billion cash from operations, finishing 2025 with $2.0 billion cash and a net debt-to-capital of -3%.
• 2026 guidance — Management expects 28,500–29,000 closings, average selling price of $550k–$560k, gross margin of 24.5%–25.0%, SG&A 9.5%–9.7%, ~$5.4B land spend and roughly $1B in operating cash flow for 2026.
• Strategic divestiture of ICG (off-site manufacturing) — Pulte plans to sell its off-site manufacturing operations to focus capital and management on core homebuilding, recording an $81M Q4 charge but expecting to benefit from external innovation without owning the asset.
• Inventory and product mix discipline — Spec inventory was reduced (specs down 18% YoY; ~2,000 finished specs), starts are being matched to sales, and management is shifting toward more built‑to‑order (targeting ~60% BTO) to improve margins and capital efficiency.
• Rising lot costs and localized market pressure — Management expects lot costs to increase ~7%–8% in 2026 and noted continued weakness in Texas and many Western markets, which could pressure margins despite a large 235,000‑lot pipeline.

PulteGroup Stock Performance

Shares of PHM opened at $127.18 on Friday. The company has a market capitalization of $24.79 billion, a PE ratio of 9.79, a price-to-earnings-growth ratio of 1.01 and a beta of 1.33. The company has a debt-to-equity ratio of 0.13, a current ratio of 0.81 and a quick ratio of 0.81. PulteGroup has a one year low of $88.07 and a one year high of $142.11. The company’s fifty day moving average price is $124.58 and its 200 day moving average price is $124.56.

PulteGroup Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, January 6th. Investors of record on Tuesday, December 16th were issued a $0.26 dividend. This is a boost from PulteGroup’s previous quarterly dividend of $0.22. The ex-dividend date was Tuesday, December 16th. This represents a $1.04 annualized dividend and a yield of 0.8%. PulteGroup’s payout ratio is 8.01%.

Institutional Investors Weigh In On PulteGroup

Several hedge funds and other institutional investors have recently made changes to their positions in PHM. Fulcrum Asset Management LLP acquired a new position in PulteGroup in the 3rd quarter valued at approximately $47,000. MUFG Securities EMEA plc bought a new stake in shares of PulteGroup during the second quarter valued at approximately $63,000. EverSource Wealth Advisors LLC raised its stake in shares of PulteGroup by 197.1% in the second quarter. EverSource Wealth Advisors LLC now owns 1,212 shares of the construction company’s stock valued at $128,000 after purchasing an additional 804 shares in the last quarter. Johnson Financial Group Inc. lifted its position in PulteGroup by 58.3% in the third quarter. Johnson Financial Group Inc. now owns 964 shares of the construction company’s stock worth $128,000 after purchasing an additional 355 shares during the period. Finally, DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main lifted its position in PulteGroup by 77.1% in the second quarter. DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main now owns 1,821 shares of the construction company’s stock worth $192,000 after purchasing an additional 793 shares during the period. 89.90% of the stock is owned by institutional investors and hedge funds.

More PulteGroup News

Here are the key news stories impacting PulteGroup this week:

• Positive Sentiment: Revenue beat: PulteGroup reported Q4 revenue of $4.61B, above Street expectations (~$4.34B), showing demand at the top line was stronger than feared. PulteGroup Reports Fourth Quarter 2025 Financial Results
• Positive Sentiment: 2026 operating targets: Management outlined a 3%–5% community‑count growth target for 2026 and reiterated a strategic focus on divesting non-core manufacturing assets and improving margins — signals of disciplined growth and capital allocation. PulteGroup outlines 3%–5% community count growth for 2026 amid strategic divestiture and margin focus
• Positive Sentiment: Brokerage sentiment mixed but some support remains: consensus broker ratings include a “Moderate Buy” view from a number of firms, which can underpin near‑term investor interest as management executes its plan. PulteGroup, Inc. (NYSE:PHM) Receives Consensus Rating of “Moderate Buy” from Brokerages
• Neutral Sentiment: Earnings call & materials available: Management held the Q4 call and published slides/transcript — useful for investors seeking details on incentives, order trends and Spring 2026 guidance. PulteGroup, Inc. (PHM) Q4 2025 Earnings Call Transcript
• Neutral Sentiment: Seasonality watch — spring selling season: Analysts and commentary note that spring home‑buying activity (late Feb onward) and any guidance updates will be pivotal for near‑term revenue/lot-turn expectations. Housing Market’s Spring Season Is Around the Corner. Watch These Numbers in PulteGroup Earnings.
• Negative Sentiment: EPS missed and one‑time charges: Reported net income was $502M, or $2.56/share, below consensus — the quarter included an $81M pre‑tax charge tied to an intended manufacturing‑asset divestiture and $35M of land impairment charges, reducing reported EPS. PulteGroup Reports Fourth Quarter 2025 Financial Results
• Negative Sentiment: Margins and demand concerns: Management flagged softer homebuyer demand and increased incentives; analysts note cost pressures and cautious buyers weighed on margins, prompting some estimate cuts. Pultegroup quarterly profit, revenue fall as homebuyer demand remains weak
• Negative Sentiment: Analyst downgrades/estimate revisions: Zacks and other outlets noted downward revisions to near‑term EPS estimates and at least one “Strong Sell” rating, which could cap upside until clearer recovery in demand/margins. PulteGroup Q4 Earnings & Revenues Top Estimates, Stock Down

Wall Street Analysts Forecast Growth

A number of equities analysts recently commented on PHM shares. Barclays set a $115.00 price objective on PulteGroup in a report on Monday, December 8th. Citizens Jmp initiated coverage on shares of PulteGroup in a report on Wednesday, January 7th. They set a “market outperform” rating and a $145.00 price target on the stock. Wedbush reaffirmed an “outperform” rating and issued a $150.00 price objective on shares of PulteGroup in a research note on Tuesday, October 21st. BTIG Research began coverage on shares of PulteGroup in a report on Monday, December 1st. They issued a “neutral” rating for the company. Finally, Citigroup cut their target price on PulteGroup from $135.00 to $128.00 and set a “neutral” rating on the stock in a report on Thursday, January 8th. Nine analysts have rated the stock with a Buy rating, six have given a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $138.85.

About PulteGroup

PulteGroup, Inc (NYSE: PHM) is a U.S.-based residential homebuilder that designs, constructs and sells single-family homes and develops master-planned communities. The company operates multiple national and regional brands that target different buyer segments, including first-time buyers, move-up buyers and active-adult customers. Its operations encompass land acquisition and development, home design and construction, community amenities and ongoing customer service and warranty programs.

PulteGroup markets homes under several well-known brands, such as Pulte Homes, Centex and Del Webb, among others, offering a range of product types from entry-level detached homes to larger, higher-end residences and age-restricted active-adult communities.