Shares of homebuilder KB Home (KBH, Financial) dropped 5.41% in pre-market trading after the company released its third-quarter earnings report.
Investors were concerned as the company's backlog, a key indicator of future demand, came in below expectations.
Currently, KB Home (KBH, Financial) is trading at $82.7. The stock faced a 4.73% price change. The company's market capitalization stands at $6.22 billion, reflecting its substantial presence in the homebuilding industry.
KB Home (KBH, Financial) is presently valued with a price-to-earnings (P/E) ratio of 10.6, and its price-to-book (P/B) ratio is at 1.56. Despite recent setbacks, the company maintains a strong Altman Z-Score of 4.52, indicating financial stability and low risk of bankruptcy. Additionally, the Beneish M-Score of -2.37 suggests that the company is unlikely to be manipulating its earnings.
The company's operating margin is expanding, which is a positive sign for future profitability. KB Home's GF Value is estimated at $53.63, and it's currently considered "Significantly Overvalued" by GF Value.
Analyzing the dividend yield, KB Home (KBH, Financial) offers a forward dividend yield of 1.21%, although it is currently close to a 3-year low. The company also shows a robust dividend growth rate, with a 5-year growth rate of 44.8% and a 1-year growth rate of 41.7%.
Despite the short-term stock price drop, KB Home (KBH, Financial) has shown consistent growth over the years. The stock has experienced a 20.09% increase over the past 12 weeks and an 81.33% increase over the past 52 weeks. Investors with long-term perspectives might find these metrics reassuring.
