D.R. Horton, Inc.DHI
NYSE•Consumer Cyclical•Residential Construction
D.R. Horton, Inc. operates as a homebuilding company in East, North, Southeast, South Central, Southwest, and Northwest regions in the United States. It engages in the acquisition and development of land; and construction and sale of residential homes in 126 markets across 36 states under the names of D.R. Horton. The company also constructs and sells single-family detached homes; and attached homes, such as townhomes and duplexes. In addition, it provides mortgage financing and title agency services; and engages in the residential lot development business. Further, the company develops, constructs, owns, leases, and sells multi-family and single-family rental properties; conducts insurance-related operations; and owns water rights and other water-related assets, as well as non-residential real estate, including ranch land and improvements. It primarily serves homebuyers. D.R. Horton, Inc. was founded in 1978 and is headquartered in Arlington, Texas.
D.R. Horton, Inc. (DHI) reported trailing twelve months revenue of $33.35B as of March 2026, a 5.6% decline year-over-year. Quarterly revenue reached $7.56B, reflecting a contraction in sales.
D.R. Horton, Inc. generated $3.17B in TTM net income, with quarterly EBITDA of $828.10M. The operating margin contracted from 12.9% to 10.6%, suggesting rising cost pressures or pricing headwinds.
The spread between operating margin (10.6%) and net margin (8.6%) indicates tight cost control with minimal non-operating drag. Net margin has narrowed from 10.5% a year ago, reflecting increased costs or interest expense.
DHI trades at a P/E of 12.0x (below the broader market average) and a P/S of 1.1x. The price-to-book ratio of 1.6x reflects a moderate premium to book value.
The company reported negative free cash flow of $-449.70M, indicating cash consumption over the period. The balance sheet shows $35.57B in total assets with no in long-term debt against $23.63B in stockholders equity. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are positive at ~13.3% on average, but show some variability — pricing power may be sensitive to market conditions.
ROE averages 16.7% but has fluctuated — the competitive advantage may be cyclical or emerging.
6 of the last 8 quarters generated positive FCF. The company generally funds itself but has occasional cash consumption quarters.
Revenue has been flat or declining over recent quarters, which may indicate eroding demand or competitive pressure.
Data-driven red flags and warnings across 21 quarters
Operating margins dropped 22.1% over recent quarters — a sharp decline suggesting serious cost or pricing challenges.
FCF/Net Income has dropped below 0.7x in 4 quarters — monitor for earnings quality deterioration.
Limited debt-to-equity data available.
Revenue declined in 7 of the last 7 quarters — persistent contraction signals a fundamental problem.
FCF turned negative in 2 of the last 8 quarters — occasional cash consumption.
Shares decreased 12.3% — net buybacks are reducing shares outstanding and boosting per-share value.
Quarterly standardized metrics.
Stock price and market valuation
Revenue and earnings growth across quarters
Assets, cash, debt, and leverage
Price multiples and return ratios
Operating efficiency and return metrics
Free cash flow, earnings quality, and capital allocation