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PulteGroup (PHM) Stock Fundamentals, Analysis & Risk Signals

Health score, competitive moat, risk signals, and key metrics at a glance.

NYSE•Consumer Cyclical•Residential Construction
C
AverageMetricSide Score: 59/100
ProfitabilityProfit25/30
GrowthGrowth6/25
Balance SheetBalance17/25
Cash QualityCash11/20
Price & Volume
Market Cap $25.68B

PulteGroup, Inc., through its subsidiaries, engages in the homebuilding business in the United States. The company is involved in the acquisition and development of land primarily for residential purposes, as well as construction of housing; and sale of single-family detached homes; and attached homes, such as townhomes, condominiums, and duplexes under the Centex, Pulte Homes, Del Webb, DiVosta Homes, and John Wieland Homes and Neighborhoods brands. It also engages in the mortgage banking, title, and insurance agency operations. PulteGroup, Inc. was founded in 1950 and is headquartered in Atlanta, Georgia.

Moat Signals

Competitive analysis based on 63 quarters of fundamental data

Pricing Power

Moderate Moat

Operating margins are positive at ~18.6% on average, but show some variability — pricing power may be sensitive to market conditions.

Competitive Advantage

Strong Moat

Consistently high ROE averaging 21.8% suggests a durable competitive advantage and efficient capital allocation.

Cash Generation

Strong Moat

Free cash flow is consistently positive and growing — a hallmark of a capital-light business that can self-fund growth.

Demand Durability

Weak Moat

Revenue has been flat or declining over recent quarters, which may indicate eroding demand or competitive pressure.

Risk Signals

Data-driven red flags and warnings across 63 quarters

Some Concerns

Margin Pressure

Red Flag

Operating margins dropped 22.0% over recent quarters — a sharp decline suggesting serious cost or pricing challenges.

Earnings Quality

Red Flag

FCF consistently trails net income (avg 0.7x) — earnings may be inflated by non-cash items or aggressive accounting.

Leverage Risk

Healthy

Limited debt-to-equity data available.

Revenue Decline

Watch

Revenue has softened, declining in 5 quarters. Monitor for further erosion.

Cash Burn

Healthy

Free cash flow is consistently positive — the business self-funds without external capital reliance.

Share Dilution

Healthy

Shares decreased 8.3% — net buybacks are reducing shares outstanding and boosting per-share value.

Metrics at a Glance

as of March 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue
$16.83B
5.9%
Q. Revenue
$3.41B
TTM EBITDA
$2.88B
26.1%
TTM Op. Income
$2.77B
26.4%
Q. Op. Income
$442.65M
TTM Net Income
$2.04B
30.6%
Q. Net Income
$347.00M
EPS
$1.81
Shares Out.
$192.09M
4.9%
$16.83B in TTM revenue declined 5.9% YoY, reaching $3.41B last quarter. TTM EBITDA of $2.88B and TTM operating income of $2.77B shows growth is flowing through. Net income of $2.04B TTM confirms the company is converting revenue into profit. Revenue is contracting — assess whether this is cyclical or structural.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin
25.9%
10.3%
EBITDA Margin
13.7%
Op. Margin
13.0%
25.1%
Net Margin
10.2%
24.2%
Op. margin of 13.0% is down 4.3% YoY — costs are rising relative to revenue. Net margin at 10.2% and gross margin of 25.9% — earnings take a bigger bite when COGS stays lean..

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio
12.6x
P/S Ratio
1.5x
P/B Ratio
2.0x
At 12.6x P/E, the stock trades below market averages — potentially undervalued. P/S of 1.5x and P/B of 2.0x provide additional context. Assess whether the current multiple is justified by the company's growth and profitability trajectory.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets
$18.20B
Cash
$1.81B
Long-Term Debt
N/A
Book Value
$12.95B
D/E Ratio
N/A
Debt/EBITDA
0.0

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow
$159.75M
Free Cash Flow
$134.35M
28.4%
FCF Margin
0.8%
FCF / Net Income
0.4
FCF of $134.35M on $159.75M in operating cash flow. The FCF / Net Income ratio of 0.1x indicates partial cash conversion — earnings quality needs attention.

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