77 days have passed by since the last earnings report for PulteGroup, Inc. (NYSE:PHM) and the new quarterly results look set to arrive in 14 days. The shares of PHM at the moment are trading at a volume of 3.56 million, which compares with its normal daily standard volume of 3.43 million shares. This has led to the shares of the company declining by -0.92%, currently exchanging hands at $36.75 a share. PHM stock has been up by $0.3 (-0.92%) ever since it reached its 52-week high of $37.05 back in October 04, 2019. It has progressed above its 50-day moving average of $34.69 and is up 0.55% over the past week. The stock has added 10.8% since the last one arrived so the question here is that will the upbeat trend in that time frame continue leading up to its next earnings release, or is the PHM share price due for a correction?
PulteGroup, Inc. (PHM) Forecasts And Latest Quarter Earnings
Ahead of their fiscal third-quarter to be released on Tuesday, Oct 22, 2019, 15 analysts who are covering the company are estimating that it will record a profit of $0.92 per share, with analysts having different outlooks from $0.84 to $0.98. The current agreed outlook, when compared to the profit recorded last year, is at $1.01 a share, thus a decrease of -8.91% is expected. The profit view for a complete financial year for PulteGroup, Inc. is expected to be around $3.42 in current year, a growth of nearly -3.66% from last year which was $3.55.
Let’s now look at their sales section, PHM’s revenue is estimated to be $2.65B, a figure which is less than the $2.65B recorded for Q3 last year. Their sequential sales though are expected to grow by 3.61% from their Q2’s sales which were $2.49B. Their full-year outlook is pegged at $9.99B, implying that there would be a drop of -1.96% over the $10.19B they recorded last year in revenue. PulteGroup, Inc. is projected to get sales lifted by 6.01% in the next quarter, with a revenue target of $10.59B.
Analyzing The Earnings History Of PulteGroup, Inc. (NYSE:PHM)
In the past few years, the PHM stock has been known to miss the Wall Street’s earnings projection. The company missed 0% of the time, according to the data pulled on their earnings, was able to meet predictions on 1 occasions and topped expectations 11 times. Looking at the past trend, the price of PulteGroup, Inc. shares had risen following the release of their earnings in 21 of the last 38 quarters.
Looking back, here is how PulteGroup, Inc. (PHM) stock reacted to earnings misses and beats. It gave investors reason to be bullish with the price going down after 1 of the last four earnings reports. The shares of PulteGroup, Inc. recorded -8.33%, 3.74%, 0.81% and 7.28%, respectively, on the first day of past earnings releases. After a week of earnings reports, the changes were -6%, 3.67%, -0.89% and 12.16%. Their post-earnings price movements have resulted in an average increase of 0.88% and an average increase of 2.24% in PulteGroup, Inc. on next day and 7th day, sequentially. PHM’s one month stock performance led to its shares rising by 6.31% with a return of 54.48% witnessed over the last 52 weeks.
The lower number of analysts has assigned a buy or better ratings (4) on the PulteGroup, Inc. stock, while 12 of them have a rating of a Hold with the 11-year target price suggested by the analysts standing at $34.58. This price target implies potential upside of -5.9 percent over the next 12 months based on the current share price.
PulteGroup, Inc. (PHM) Post Earnings Announcement Drift (PEAD)
Back on July 23, 2019, PulteGroup, Inc. (NYSE:PHM) released its Q2 results, in which it recorded EPS of $0.86 that exceeded consensus estimates of $0.83. After the earnings were reported, the price of PHM stock kicked off the session at $30.57 and remained in a range of $32.1 to $33.14 on the first day. The shares were priced at $30.69 at the close with a total volume of shares being 11401114.
On April 23, 2019, the Q1 earnings report was disclosed with EPS of $0.59. This was above the estimation of $0.47 per share. The stock price range of PHM was between $30.75 and $31.71 on the first-day post announcement, after opening the day at $30.52. The session came to close at $31.35 and there was a total volume of 7086968 shares.
January 29, 2019 was the day when its Q4 results were unveiled. The earnings came in at $0.84, missing the projected $1.1 per share. The very next day, PHM stock opened at $25.1 while staying in a range of $25.65 to $27.48. At the end, it moved to $27.25 a total volume of shares been 9250860.
In the year-ago Q3 earnings on October 23, 2018, the company saw profit per share of $1.01. That was better than the $0.95 analysts had expected. PulteGroup, Inc. share price started at $20.64 on the first full trading day post-earning and then exchanged hands between $20.7 and $22.84 throughout the session. The closing price of $22.4 came on the back of 16957012 shares in volume.