Morgan Stanley Issues Pessimistic Forecast for D.R. Horton (NYSE:DHI) Stock Price

D.R. Horton (NYSE:DHI) had its price objective reduced by Morgan Stanley from $151.00 to $130.00 in a note issued to investors on Tuesday, Benzinga reports. The brokerage currently has an “equal weight” rating on the construction company’s stock. Morgan Stanley‘s target price suggests a potential downside of 10.71% from the company’s current price.

A number of other research analysts have also commented on the stock. The Goldman Sachs Group reiterated a “buy” rating and issued a $182.00 price target (down from $190.00) on shares of D.R. Horton in a research note on Monday, October 12th. Raymond James Financial downgraded shares of D.R. Horton from a “market perform” rating to an “underperform” rating in a research note on Tuesday. Citigroup upped their price objective on D.R. Horton from $150.00 to $152.00 and gave the stock a “neutral” rating in a research report on Monday. Truist Financial dropped their target price on shares of D.R. Horton from $150.00 to $140.00 and set a “hold” rating for the company in a report on Wednesday, September 16th. Finally, Evercore reduced their price target on shares of D.R. Horton from $171.00 to $166.00 in a research note on Thursday, October 8th. Five research analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and four have given a Sell rating to the company. According to MarketBeat, the company has an average rating of “Hold” and an average price target of $151.33.

D.R. Horton Stock Performance

Shares of DHI stock traded down $7.33 on Tuesday, reaching $145.60. The stock had a trading volume of 720,411 shares, compared to its average volume of 2,723,911. D.R. Horton has a 12 month low of $130.40 and a 12 month high of $170.79. The firm has a market capitalization of $40.72 billion, a price-to-earnings ratio of 14.35, a P/E/G ratio of 2.23 and a beta of 1.35. The firm’s 50-day moving average is $140.85 and its two-hundred day moving average is $147.66. The company has a quick ratio of 1.04, a current ratio of 6.43 and a debt-to-equity ratio of 0.29.

D.R. Horton (NYSE:DHI) last posted its quarterly earnings results on Thursday, October 29th. The construction company reported $2.67 EPS for the quarter, missing analysts’ consensus estimates of $3.01 by ($0.34). The business had revenue of $9.37 billion for the quarter, compared to the consensus estimate of $9.07 billion. D.R. Horton had a return on equity of 12.47% and a net margin of 9.15%. The company’s revenue for the quarter was down 3.2% on a year-over-year basis. During the same quarter in the previous year, the business posted $3.04 EPS. On average, research analysts expect that D.R. Horton will post 11.35 EPS for the current fiscal year.

Hedge Funds Weigh In On D.R. Horton

A number of hedge funds have recently modified their holdings of DHI. Fiduciary Financial Advisors bought a new position in D.R. Horton during the 2nd quarter worth $25,000. Caitlin John LLC bought a new stake in shares of D.R. Horton in the 2nd quarter valued at about $25,000. Compass Wealth Management LLC acquired a new stake in shares of D.R. Horton in the third quarter valued at about $27,000. Pension & Wealth Management Advisors Inc. acquired a new stake in shares of D.R. Horton in the third quarter valued at about $28,000. Finally, Compass Financial Management LLC bought a new position in shares of D.R. Horton during the second quarter worth about $31,000. Institutional investors and hedge funds own 90.63% of the company’s stock.

D.R. Horton Company Profile

D.R. Horton, Inc is a residential construction company that builds and sells single-family detached and attached homes in the United States. Its offerings include entry-level, move-up, luxury and active-adult housing, serving a range of homebuyers through brands such as D.R. Horton, Express Homes, Emerald Homes and Freedom Homes.

The company’s operations also include land acquisition and development, home financing and title services. Through subsidiaries and affiliated businesses, D.R.