NYSE: DHI · Homebuilding
D.R. Horton
D.R. Horton is the largest U.S. homebuilder by homes closed, operating in 126 markets across 36 states. It also has rental (single- and multi-family), mortgage/title financial services and a roughly 62% stake in Forestar, a publicly traded lot developer. In fiscal 2025 (year ended September 2025) it closed 84,863 homes at an average price of $370,400; revenue was $34.3 billion (−7%) and net income $3.6 billion. Homes closed rose 4% in Q3 FY2026. In September 2026 D.R. Horton authorized another $5 billion of buybacks.
Last updated
Analysis last edited: November 6, 2026 · Financial data fetched: October 17, 2026 10:07 (SEC EDGAR) · Source 10-K filed: November 19, 2025
Built on10-K FY2025 · filed 2025-11-1910-Q (quarter ended 2026-06-30) · filed 2026-07-23
Next update expectedAfter FY2026’s 10-K is filed (roughly 60–90 days after fiscal year end (sooner for larger filers)), financials and analysis will be refreshed.
01
At a glanceFrom SEC data
Eight headline measures, each placed among the companies covered on this site.
- Revenue growthCAGRSmooths out year-to-year swings into "grew X% a year on average." Makes growth pace comparable across companies of very different sizes.
- 11.0%
- Operating marginOperating marginHow many cents of operating profit are left per dollar of revenue. Reflects pricing power and cost structure.
- —
- ROIC minus WACCROIC − WACC spreadThe difference between ROIC and WACC. Consistently positive implies value creation; consistently negative implies value destruction.
- —
- Net debt ÷ EBITDAEBITDAOperating income with D&A added back. A rough proxy for cash-generating power that’s less distorted by capital intensity, depreciation method, or financing/tax differences than net income.
- —
- Cash conversionOperating CF ÷ net income (cash conversion)How much of reported profit shows up as actual cash. 1x or higher means profit is backed by cash.
- 0.95x
- Dividend raisesDividend per shareTotal annual dividend paid per share (sum of all declared payments for the year).
- 5 of 5
- P/E todayP/EShare price ÷ EPS — how many years of current earnings the stock price represents. This site uses the period-end figure as reported in the filing.
- 14.9x
- Betaβ (beta)How much a stock moves, on average, for a 1% move in the overall market. Above 1 means more volatile than the market, which raises the return shareholders require. This site computes it from about 2.5 years (roughly 130 weeks) of weekly returns, built from Yahoo Finance daily prices, regressed against an S&P 500 ETF (SPY) as the market proxy, then applies the well-known long-run mean-reversion adjustment (0.67 × β + 0.33) as the WACC default.
- 0.69
Higher than 67% of 372 non-financial companies
Average yearly growth over the years shown
Latest fiscal year (FY2025)
Return on capital above (or below) its estimated cost
Below 0 means more cash than debt
Higher than 8% of 349 non-financial companies
Operating cash flow ÷ net income
Years the dividend per share rose, of the last 5
Latest close 2026-11-04; trailing 12 months to 2026-06-30
Above 1 = moves more than the market
Each marker shows where this company sits among the non-financial companies covered on this site, not all listed companies (left = lowest, right = highest). A high position is not automatically good — for net debt ÷ EBITDA, higher means more debt. Details and formulas are in the sections below and in How to read this.
02
Valuation todayFrom SEC data
Price-based measures at the latest close, next to the same measures at the last fiscal year-end.
Share price$154.15close on 2026-11-04
Market cap$45.39B
- P/EP/EShare price ÷ EPS — how many years of current earnings the stock price represents. This site uses the period-end figure as reported in the filing. today
- 14.9x
- P/BP/BShare price ÷ book value per share. Below 1x means the market values the company below its accounting net worth. This site uses the closing price nearest the fiscal year-end and highlights sub-1x readings. today
- 1.9x
- EV/EBITDAEV/EBITDAEnterprise value (≈ market cap + interest-bearing debt − cash) as a multiple of EBITDA — roughly, "how many years of EBITDA to buy the whole company." Lower is generally viewed as cheaper, and it’s more comparable than P/E across companies with different debt loads or depreciation policies. This site excludes noncontrolling interests from the EV calculation. today
- —
- FCF yieldFree cash flow (FCF)Operating CF minus capital expenditures — cash generated by the business after funding its own investment, available for dividends, buybacks, acquisitions, or debt paydown. Acquisitions and securities purchases (also in investing CF) are not subtracted, so FCF can be positive in a year when total investing CF exceeds operating CF. today
- 7.2%
- Dividend yieldDividend per shareTotal annual dividend paid per share (sum of all declared payments for the year). today
- 1.0%
At FY2025 year-end: 14.7x
Earnings: trailing 12 months to 2026-06-30
At FY2025 year-end: 2.1x
Book value at FY2025 year-end
At FY2025 year-end: —
EBITDA for FY2025
At FY2025 year-end: 6.6%
Free cash flow for FY2025
Dividends per share for FY2025
“Today” uses the latest closing price (2026-11-04, Yahoo Finance daily closing prices) and shares outstanding at the last fiscal year-end. The rest of this page — including the financial table and ROIC vs. WACC — uses fiscal year-end prices. These are reference figures, not a judgment of whether the stock is cheap or expensive.
03
What changed since last earningsFrom SEC data
The latest reported quarter against the same quarter a year earlier, the balance sheet against the previous quarter-end, and what management said in its latest earnings release.
Quarter ended Jun 30, 2026.
These figures are behind: a newer quarter was reported on Oct 29, 2026, but SEC's structured data doesn't include it yet. Read the release ↗
- Revenue$9.23B → $9.23B (vs. a year earlier)→ +0.0%$9.23B → $9.23B (vs. a year earlier)
- Net income$1.02B → $905M (vs. a year earlier)↓ −11.7%$1.02B → $905M (vs. a year earlier)
- Diluted EPS$3.36 → $3.20 (vs. a year earlier)↓ −4.8%$3.36 → $3.20 (vs. a year earlier)
- Cash$1.92B → $2.08B (vs. previous quarter-end)↑ +8.4%$1.92B → $2.08B (vs. previous quarter-end)
Source: Form 10-Q ↗ (SEC XBRL). Long-term debt is the tagged long-term debt figure and leaves out short-term borrowings.
From the earnings release of Oct 29, 2026.
Key changes
Q4 net income down 18% to $741.8M; EPS down 12% to $2.67. Source sentence
Horton for its fourth fiscal quarter decreased 18% to $741.8 million, and earnings per diluted share decreased 12% to $2.67.
Revenues $9.4B, pre-tax margin 10.8%. Source sentence
Consolidated pre-tax income was $1.0 billion on revenues of $9.4 billion, resulting in a pre-tax profit margin of 10.8%.
Repurchased 24.0M shares for $3.6B. Source sentence
Repurchased 24.0 million shares of common stock for $3.6 billion, reducing outstanding share count by 8%, and paid cash dividends of $513.3 million
Written by AI. A line appears only if its figures and direction match the quoted sentence, which an automatic check confirms. Companies' outlooks are their own and may not be met. Read the release ↗
04
Company profileFrom SEC dataShow
- Legal name
- HORTON D R INC /DE/
- Headquarters
- ARLINGTON, TX
- Incorporated in
- Delaware
- Fiscal year end
- 09/30
- Exchange & ticker
- NYSE: DHI
- Industry
- Homebuilding
- CIK
- 882184
- Website
- https://www.drhorton.com/ ↗
Workforce (as of FY2025 year-end)
Employees
14,341
Source: Form 10-K (FY2025) cover page and business description
05
Earnings calendarFrom SEC dataShow
When the company reports each quarter: the quarter-end date, the day results were released, and when the 10-Q or 10-K was filed.
Next report
Q1 FY2027
Quarter end: December 2026. In past years, Q1 results were released 20–23 days after quarter end (Jan 20, 2026; Jan 21, 2025; Jan 23, 2024). No date has been announced in the sources this site uses.
Reporting pattern
- Fiscal year ends around September 30.
- Reports four times a year: three quarterly reports (10-Q) and an annual report (10-K) for Q4.
- Earnings releases came 17–38 days after quarter end over the last 13 quarters.
| Quarter | Quarter ended | Earnings release (8-K) | Report filed (10-Q / 10-K) |
|---|---|---|---|
| Q4 FY2026 | — | Oct 29, 2026 | Not yet filed |
| Q3 FY2026 | Jun 30, 2026 | Jul 21, 2026 (+21 days) | Jul 23, 2026 10-Q (+23 days) |
| Q2 FY2026 | Mar 31, 2026 | Apr 21, 2026 (+21 days) | Apr 23, 2026 10-Q (+23 days) |
| Q1 FY2026 | Dec 31, 2025 | Jan 20, 2026 (+20 days) | Jan 22, 2026 10-Q (+22 days) |
| Q4 FY2025 | Sep 30, 2025 | Oct 28, 2025 (+28 days) | Nov 19, 2025 10-K (+50 days) |
| Q3 FY2025 | Jun 30, 2025 | Jul 22, 2025 (+22 days) | Jul 23, 2025 10-Q (+23 days) |
| Q2 FY2025 | Mar 31, 2025 | Apr 17, 2025 (+17 days) | Apr 23, 2025 10-Q (+23 days) |
| Q1 FY2025 | Dec 31, 2024 | Jan 21, 2025 (+21 days) | Jan 23, 2025 10-Q (+23 days) |
| Q4 FY2024 | Sep 30, 2024 | Oct 29, 2024 (+29 days) | Nov 19, 2024 10-K (+50 days) |
| Q3 FY2024 | Jun 30, 2024 | Jul 18, 2024 (+18 days) | Jul 23, 2024 10-Q (+23 days) |
| Q2 FY2024 | Mar 31, 2024 | Apr 18, 2024 (+18 days) | Apr 23, 2024 10-Q (+23 days) |
| Q1 FY2024 | Dec 31, 2023 | Jan 23, 2024 (+23 days) | Jan 24, 2024 10-Q (+24 days) |
| Q4 FY2023 | Sep 30, 2023 | Nov 7, 2023 (+38 days) | Nov 17, 2023 10-K (+48 days) |
Source: SEC EDGAR filing history. Release dates are the dates the earnings release was furnished to the SEC on Form 8-K (Item 2.02), which is normally the day results are announced. For a quarter whose 10-Q or 10-K isn’t filed yet, the date is the latest Item 2.02 8-K since the previous report, which may be a preliminary or other results-related update. Fiscal years are labeled by the calendar year in which they end.
06
Flagship products & servicesSite analysis
Homebuilding
Brands for different buyers
Homes from about 1,000 to 4,000 sq ft, priced from $250,000 to over $1,000,000.
Rental
Single-family and multi-family rentals
From the FY2025 Form 10-K.
U.S., worldwide and country/regional share of flagship products/services
Only shares the company itself states (in its filings or press releases, sometimes citing a research firm) are shown. Scope and timing vary by figure — treat these as approximate.
Homebuilding
U.S. homebuilders, by homes closed
U.S. share
Largest
Company-disclosedLargest U.S. homebuilder by volume every year since 2002, per the 10-K; no share percentage is given.
Worldwide share
—
Not disclosed
Sources:
07
Recent strategic focusSite analysis
FY2026 developments.
Q3 FY2026
Homes closed +4% to 23,983; net income $904.9M ($3.20/share, −5%); book value per share $84.85.
Source: Q3 FY2026 press release
Buyback
Additional $5.0B repurchase authorization in September 2026.
Source: 8-K filed 2026-09-15
Credit facilities
Revolver increased to $3.295B (March 2026); mortgage repurchase facility to $1.925B (May 2026).
Source: 8-Ks filed 2026-03-31 and 2026-05-12
Capex ÷ D&A (FY2025)
1.36x
Well above depreciation — expansion-stage investment
formulacapital expenditures ÷ depreciation & amortization
e.g.$137M ÷ $101M = 1.36x
termsCapital expenditures (capex) · Depreciation & amortization (D&A)
M&A spend (6-year total)
$612M
Latest year: $53M
Cash-flow-statement spending on acquisitions, net of cash acquired
Where the money goes, over time
Unit: $M. Capex went from $97M in FY2020 to $137M in FY2025
- Capex
- M&A spend
formulacapital expenditures ÷ depreciation & amortization
termsCapital expenditures (capex) · Depreciation & amortization (D&A)
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-11-19
08
Key figures at a glanceFrom SEC data
FY2020–FY2025, 6 years.
Revenue (FY2025)
$34.25B
As reported in the 10-K
Revenue CAGR (5 years)
+11.0%▲favorable
formula(last-period revenue ÷ first-period revenue) ^ (1 ÷ years) − 1
e.g.($34,250M ÷ $20,311M) ^ (1÷5) − 1 = 11.0%
termsCAGR · ^ (exponent) · Revenue (net sales)
Operating margin (FY2025)
—
formulaoperating income ÷ revenue × 100
ROE (FY2025)
14.5%▲favorable
6-year average: 23.7%
As reported in the 10-K
P/B (FY2025 end)
2.06x
formulafiscal year-end closing price ÷ book value per share
e.g.$169.47 ÷ $82.15 = 2.06x
Period-end (fiscal year-end) value, not today's P/B
EV/EBITDA (FY2025 end)
—
formula(market cap + interest-bearing debt − cash and equivalents) ÷ (operating income + depreciation & amortization)
termsEV/EBITDA · Market capitalization · Interest-bearing debt · EBITDA · Depreciation & amortization (D&A)
Period-end (fiscal year-end) value, not today's multiple
- ▲
Revenue grew +11.0% a year over 5 years (strong growth)
From $20.31B in FY2020 to $34.25B in FY2025. The annualized rate (CAGR) makes it possible to compare growth pace across companies of different sizes.
- ▲
Equity ratio is 68.2% (a high level of financial stability)
The share of total assets funded by equity rather than debt. 50%+ is often read as low bankruptcy risk, though the right level varies by industry (real estate and leasing run lower, for instance).
- ▲
Free cash flow was positive in 6 of 6 years
Operating cash flow minus capital expenditures: the cash left over after funding the business’s own investment, available for dividends, buybacks, acquisitions, or debt paydown. A negative year can mean heavy investment, or weak core earnings — worth distinguishing.
- ▲
ROE averaged 23.7% over 6 years (latest: 14.5%)
How much profit was generated on shareholders’ equity. Roughly 10%+ is often cited as solid for a U.S. company, though this varies a lot by industry and capital intensity.
09
Business modelSite analysis
Business Model Canvas
The whole company in nine blocks. Left side: how it delivers (partners, activities, resources, costs). Right side: who it serves and how it earns. Every entry comes from the company’s filings shown on this page.
08 · who helps
Key partners
- Forestar Group
07 · what it does
Key activities
Homebuilding
Construction and sales through commissioned sales staffRental, Forestar and Financial Services
Rental communities, lot development, mortgage origination
06 · what it draws on
Key resources
Homebuilding
Land and lots (partly from Forestar)- Subcontractors and materials
Rental, Forestar and Financial Services
Land, capital
02 · why customers buy
Value propositions
- Single-family homes from entry level to luxury in many markets, built at scale.
04 · how it keeps them
Customer relationships
- One-time home sales; a backlog of $4.1 billion (10,785 homes) at September 30, 2025.
03 · how it reaches them
Channels
- Decentralized divisions with sales offices and model homes; mortgage and title services through its own subsidiaries.
01 · who it serves
Customer segments
Homebuilding
Entry-level, move-up, active adult and luxury homebuyersRental, Forestar and Financial Services
Investors, homebuilders, homebuyers
09 · where money goes
Cost structure
FY2025, share of revenue ($34.25B)
- Cost of revenue76.3%
- Selling, general & administrative10.8%
Depreciation & amortization (inside the costs above): $101M. Capital spending: $137M.
Source: Form 10-K income statement and cash-flow statement (SEC XBRL).
05 · how money comes in
Revenue streams
Homebuilding
Home sales $31.4BRental, Forestar and Financial Services
Rental property sales $1.6B- Forestar $1.7B
Value propositions, channels and customer relationships: Form 10-K (FY2025)
Homebuilding
Builds and sells single-family homes (from entry level to luxury and active adult) through decentralized divisions, using subcontractors.
01 what it draws on
Inputs & resources
- Land and lots (partly from Forestar)
- Subcontractors and materials
02 what it does
Activities
- Construction and sales through commissioned sales staff
03 who it serves
Customers
- Entry-level, move-up, active adult and luxury homebuyers
04 how money comes in
How it earns
- Home sales $31.4B
Homebuilding: how it makes money
- Homebuilding pre-tax income $4.1B in FY2025.
- Scale gives access to capital, volume discounts and lower labor rates, according to the company.
Rental, Forestar and Financial Services
Builds and sells rental properties; Forestar develops lots; DHI Mortgage and title businesses serve homebuyers.
01 what it draws on
Inputs & resources
- Land, capital
02 what it does
Activities
- Rental communities, lot development, mortgage origination
03 who it serves
Customers
- Investors, homebuilders, homebuyers
04 how money comes in
How it earns
- Rental property sales $1.6B
- Forestar $1.7B
- Financial services $0.8B
Rental, Forestar and Financial Services: how it makes money
- 2,947 multi-family rental units sold in FY2025.
Government & regulation around the business
Non-market factors from the company’s filings: what governments and regulators fund, buy, set, approve or restrict, and which part of the flow above each one touches.
D.R. Horton must clear zoning and environmental reviews before building.
Approvals & licenses
Zoning and building rules
Land purchases require soil, environmental and zoning reviews and governmental entitlements.
Constrains the businessTouches: ActivitiesSource: Form 10-K (FY2025)
Revenue by segment (FY2025 (Sep))
Unit: $M — bar length = revenue, (%) = share of total company revenue, margin = segment profit ÷ segment revenue × 100
Homebuilding
31,515.5 (88%)profit 4,134.9 · margin 13.1%
Forestar
1,662.4 (5%)profit 219.3 · margin 13.2%
Rental
1,640.4 (5%)profit 170 · margin 10.4%
Financial Services
841.2 (2%)profit 278.7 · margin 33.1%
Source: Form 10-K (FY2025) — segment information Profit is income before income taxes; eliminations of $1.4B revenue (mostly Forestar lot sales to Homebuilding).
10
Contract structureSite analysisShow
Short-term or spot sales carry different earnings quality than long-term or auto-renewing contracts — this shows how the company actually contracts with its customers.
11
Alliances & capital tiesSite analysisShow
Equity stakes, joint ventures, and strategic partnerships disclosed across the 10-K, 8-Ks, and proxy statement.
Capital tie / equity stake
Forestar Group
D.R. Horton owns about 62% of Forestar, a public lot developer in 64 markets; a master supply agreement governs lot purchases.
Source: Form 10-K (FY2025) — Item 1
12
Customers & suppliersSite analysis
Who the company sells to and buys from. Companies rarely name either, so named counterparties come only from the company's own filings and press releases; otherwise this lists the concentration figures the 10-K discloses.
Customers
Individual homebuyers; investors buying rental properties.
Named by the company
No customer concentration.
Suppliers
Land sellers, Forestar, subcontractors and national, regional and local materials suppliers.
Named by the company
No supplier is named.
13
Competitors & peersSite analysis
Competitors the 10-K names, and the peer group the company itself chose in its proxy statement. Nothing here is this site's own pick.
The 10-K describes competition with homebuilders and resale homes without naming firms; the proxy's PSU peer group names other public builders.
Competitors named in the 10-K
D.R. Horton's 10-K doesn't name competitors.
Peer group the company chose
2025 PSU peer group, from the proxy statement. Peers are companies the board considers comparable — for example when setting executive pay — not necessarily direct competitors.
Publicly traded homebuilders; M.D.C. Holdings removed after its acquisition.
- KB Homesite ↗
- Lennarsite ↗
- Meritage Homessite ↗
- NVRsite ↗
- PulteGroupsite ↗
- Taylor Morrisonsite ↗
- Toll Brotherssite ↗
- Tri Pointe Homessite ↗
Company names link to this site’s analysis where one exists; “site ↗” opens the company’s own website.
14
Six years of financialsFrom SEC data
Each chart's axis holds a single unit (never mixing dollars, %, and $/share). The table's per-period header links to the filing the numbers came from.
Revenue over time
Unit: $M
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-11-19
Profit over time (operating → net)
Unit: $M
- Pretax income
- Net income
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-11-19
Margins over time
Unit: %
- Operating margin
- Net margin
formulaoperating income ÷ revenue × 100
formulanet income attributable to the company ÷ revenue × 100
Cash flow over time
Unit: $M (below zero = cash went out)
- Operating CF
- Investing CF
- Free CF
formulacash flow from operations − capital expenditures
termsFree cash flow (FCF) · Cash flow from operations (operating CF) · Capital expenditures (capex)
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-11-19
Financial stability & capital efficiency
Unit: %
- Equity ratio
- ROE
formulatotal equity ÷ total assets × 100 (as reported in the 10-K)
termsStockholders’ equity · Total assets
formulanet income ÷ average equity (beginning + ending, ÷2) × 100 (as reported in the 10-K)
termsNet income (attributable to the company) · Stockholders’ equity
Earnings per share (EPS) and dividend per share
Unit: $
- EPS
- Dividend per share
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-11-19
| Line item | FY202010-K on EDGAR ↗ | FY202110-K on EDGAR ↗ | FY202210-K on EDGAR ↗ | FY202310-K on EDGAR ↗ | FY202410-K on EDGAR ↗ | FY202510-K on EDGAR ↗ |
|---|---|---|---|---|---|---|
| Income statement ($M) | ||||||
| Revenue | 20,311 | 27,774 | 33,480 | 35,460 | 36,801 | 34,250 |
| Pretax income | 2,983 | 5,356 | 7,630 | 6,315 | 6,285 | 4,740 |
| Net income (attributable) | 2,374 | 4,176 | 5,858 | 4,746 | 4,756 | 3,585 |
| Revenue growthcalc(this year’s revenue − last year’s revenue) ÷ last year’s revenue × 100 | — | 36.7% | 20.5% | 5.9% | 3.8% | -6.9% |
| Net margincalcnet income attributable to the company ÷ revenue × 100 | 11.7% | 15.0% | 17.5% | 13.4% | 12.9% | 10.5% |
| Balance sheet ($M) | ||||||
| Total assets | 18,912 | 24,016 | 30,351 | 32,582 | 36,104 | 35,471 |
| Total equity | 12,122 | 15,216 | 19,786 | 23,138 | 25,824 | 24,742 |
| Interest-bearing debtSum of short- and long-term borrowings, notes/bonds payable | 4,283 | 5,412 | 6,067 | 5,095 | 5,918 | 5,966 |
| Equity ratio | 62.6% | 62.0% | 63.9% | 69.7% | 70.1% | 68.2% |
| ROE | 20.0% | 31.2% | 34.2% | 22.5% | 19.8% | 14.5% |
| Cash flow ($M) | ||||||
| Operating CF | 1,422 | 534 | 562 | 4,304 | 2,190 | 3,421 |
| Investing CF | -166 | -252 | -415 | -310 | -191 | -169 |
| Financing CF | 271 | -85 | -811 | -2,667 | -1,355 | -4,763 |
| Free cash flowcalccash flow from operations − capital expenditures | 1,325 | 441 | 414 | 4,156 | 2,025 | 3,284 |
| Cash and equivalents | 3,019 | 3,210 | 2,541 | 3,874 | 4,516 | 2,985 |
| Per share & other | ||||||
| EPS ($) | 6.41 | 11.41 | 16.51 | 13.82 | 14.34 | 11.57 |
| BVPS ($) | 32.53 | 41.81 | 56.39 | 67.78 | 78.12 | 82.15 |
| Dividend per share ($) | 0.70 | 0.80 | 0.90 | 1.00 | 1.20 | 1.60 |
| Payout ratiocalcdividend per share ÷ diluted EPS × 100 | 10.9% | 7.0% | 5.5% | 7.2% | 8.4% | 13.8% |
| P/E (x) | 11.8 | 7.4 | 4.1 | 7.8 | 13.3 | 14.7 |
| P/B (x)calcfiscal year-end closing price ÷ book value per share | 2.33 | 2.01 | 1.19 | 1.59 | 2.44 | 2.06 |
P/B and EV/EBITDA use each period’s period-end (fiscal year-end) figures, not the current share price. Figures without a "calc" tag are as reported in the Form 10-K (the consolidated financial statements and, for older years, earlier 10-Ks), pulled automatically from SEC EDGAR. Where a later filing restated a prior period, the restated figure is used.
Last 8 quarters
Three-month figures from 10-Q filings. Change is versus the same quarter a year earlier. Newest quarter on top.
| Quarter ended | Revenue | Net income | Diluted EPS |
|---|---|---|---|
| 2026-06-30 | $9.23B+0.0% | $905M-11.7% | $3.20 |
| 2026-03-31 | $7.56B-2.3% | $648M-20.1% | $2.24 |
| 2025-12-31 | $6.89B-9.5% | $595M-29.6% | $2.03 |
| 2025-09-30 † | $9.68B-3.2% | $905M-29.5% | — |
| 2025-06-30 | $9.23B | $1.02B | $3.36 |
| 2025-03-31 | $7.73B | $810M | $2.58 |
| 2024-12-31 | $7.61B | $845M | $2.61 |
| 2024-09-30 † | $10B | $1.28B | — |
† Fourth quarter = the 10-K’s annual figure minus the first three quarters; quarterly EPS isn’t derived this way because share counts change during the year.
15
Is ROIC above WACC?From SEC data
ROIC (the return on money invested in the business) above WACC (the cost of raising that money) means the company is creating value. WACC is an estimate, so its assumptions can be adjusted below.
Not enough data (operating income, equity, etc.) to compute ROIC/WACC.
16
What the price implies (DCF)From SEC data
A company's value can be written as its free cash flow divided by (cost of capital − perpetual growth). Working that backwards from the market's valuation shows how much growth the share price assumed — compared here with the company's actual past growth.
Growth the price implies (price on 2026-11-04)
1.4%
Perpetual FCF growth: g = r − FCF ÷ EV = 8.2% − 6.8%
Past FCF growth (FY2020–FY2025)
+19.9%
Compound annual rate, 5 years
Past revenue growth (FY2020–FY2025)
+11.0%
Compound annual rate, 5 years
Inputs (FY2025): free cash flow $3.28B (operating CF − capex); enterprise value $48.37B = market cap $45.39B (latest close, 2026-11-04) + debt $5.97B − cash and short-term investments $2.99B; r = WACC of 8.2% using this page’s default assumptions (β 0.69, risk-free 5.0%, market premium 5.5%).
Three WACC scenarios
The same calculation under cautious, base and optimistic cost-of-capital assumptions (risk-free rate fixed at the 10-year Treasury yield). Pick one to load it into the sliders below.
Try your own assumptions
V = FCF ÷ (r − g). It starts at the implied growth rate, where the theoretical value equals today’s enterprise value.
Theoretical enterprise value
$48.29B
FCF $3.28B ÷ (8.2% − 1.4%)
Theoretical ÷ actual enterprise value
1.00x
Below 1x: these assumptions value the business below the market did
How sensitive the answer is
Theoretical ÷ actual enterprise value for each combination of r and g.
| g \ r | 6.2% | 7.2% | 8.2% | 9.2% | 10.2% |
|---|---|---|---|---|---|
| 0% | 1.09x | 0.94x | 0.83x | 0.74x | 0.67x |
| 2% | 1.62x | 1.31x | 1.09x | 0.94x | 0.83x |
| 4% | 3.09x | 2.12x | 1.62x | 1.31x | 1.09x |
| 6% | 33.94x | 5.66x | 3.09x | 2.12x | 1.62x |
| 8% | — | — | 33.94x | 5.66x | 3.09x |
A simplified model for seeing what the market price assumes, not a forecast or a target price. It treats free cash flow as growing at one constant rate forever; the result swings widely with small changes in r and g, and is undefined when g reaches r. Free cash flow here is operating cash flow minus capex, which is after interest — a full DCF of enterprise value would use cash flow before interest. Market cap uses the latest close (2026-11-04) × shares at fiscal year-end; free cash flow and WACC inputs are from the latest fiscal year.
17
Earnings qualityFrom SEC dataShow
The same reported profit can mean different things depending on whether it's backed by cash, driven by the core business, or the result of a one-off item. Four checks below.
- !
Operating CF ÷ net income: averages 0.52x
Cash coming in trails reported profit. Worth checking for rising receivables/inventory or one-off gains.
- ✓
Accrual ratio (latest): 0.5%
A small share of profit rests on accounting estimates.
Operating CF vs. net income
Unit: $M — operating CF above net income means profit is backed by cash
- Operating CF
- Net income
formulacash flow from operations ÷ net income attributable to the company
termsCash flow from operations (operating CF) · Net income (attributable to the company)
formula(net income − operating CF) ÷ average total assets × 100
termsNet income (attributable to the company) · Cash flow from operations (operating CF) · Total assets
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-11-19
Worked examples (latest period)
formulacash flow from operations ÷ net income attributable to the company
e.g.$3,421M ÷ $3,585M = 0.95x
termsCash flow from operations (operating CF) · Net income (attributable to the company)
formulaoperating income ÷ income before income taxes × 100
termsOperating income · Income before income taxes (pretax income)
formulaaverage receivables (opening + closing ÷ 2) ÷ revenue × 365
formulaaverage inventory (opening + closing ÷ 2) ÷ cost of revenue × 365
termsInventory · Cost of revenue (COGS)
18
Who holds the sharesFrom SEC dataShow
How much of the stock large institutional investors report owning on SEC Form 13F, how much the directors and executive officers hold (and how much of the vote they control), and roughly how much is left for individual investors. Shown next to beta so the holder mix can be read alongside how much the stock swings.
Institutions, insiders and everyone else, 13F holdings as of 2026-06-30
“Everyone else” is what remains after shares reported on Form 13F and shares held by directors and executive officers: mostly individual investors, plus non-insider families or foundations and smaller or foreign institutions. The figures have different dates and 13F reports count some shares twice — read it as an approximate split.
- Held by 13F filers
- 86.6%
- Directors & officers (shares)
- 0.7%
- Everyone else (est.)
- 12.7%
- Directors & officers (voting power)
- 0.7%
- Institutional-ownership rank
- 239 of 416
- Beta (adjusted)
- 0.69
individuals and other non-13F holders
no separate voting figure; shown as shares
1 = most institutional; 57% of covered companies have more
above 1 = swings more than the market
- 242.2M shares reported by 1,237 13F filers ÷ 279.7M shares outstanding on 2026-07-16. Option positions are excluded.
- Directors and executive officers as a group, from the proxy statement’s beneficial-ownership table; includes shares they can acquire within 60 days.
- A large “everyone else” share can still reflect a family, trust or foundation stake held outside the board; check the proxy statement’s 5% holders.
Sources: SEC Form 13F data set (holdings as of 2026-06-30) · Form DEF 14A filed 2025-12-10 (beneficial ownership table) · Form 10-Q cover page (shares outstanding as of 2026-07-16)
19
Strengths & weaknessesSite analysis
Strengths
1. Scale leadership
Largest U.S. homebuilder by homes closed (84,863 in FY2025).
Evidence: Form 10-K (FY2025) Item 1
2. Strong balance sheet
Equity is about 70% of total assets.
Evidence: SEC EDGAR XBRL
3. Shareholder returns
Expected FY2026 buybacks of at least $3.25B; new $5B authorization.
Evidence: 8-K filed 2026-09-15
Weaknesses
1. Falling margins
Net income fell from $5.9B (FY2022) to $3.6B (FY2025); the company has used higher incentives and reduced prices and home sizes to address affordability.
Evidence: SEC EDGAR XBRL
2. Lower average prices
Average closing price fell 2% to $370,400 in FY2025.
Evidence: Form 10-K (FY2025)
20
What draws investors to itSite analysis
Why the stock can look attractive to investors — each point paired with what has to hold for it to stay true, and the opposing view. This is this site's analysis, not a recommendation to buy or sell.
P/E (FY2025)
14.7x
Price at fiscal year-end ÷ diluted EPS
Dividend yield (FY2025)
0.94%
Dividends per share ÷ fiscal year-end price
Payout ratio (FY2025)
14%
Dividends per share ÷ diluted EPS
FCF yield (FY2025)
6.6%
(Operating CF − capex) ÷ market cap
1. Cash return machine
Large buybacks shrank shares from 356M (FY2021) to 294M (FY2025).
- What has to hold
- Housing demand stable.
- The other side
- Cyclical.
Evidence: SEC EDGAR XBRL
The fiscal year ends September 30. Homebuilders capitalize interest into inventory, so interest expense and operating income are not shown.
21
ResilienceSite analysisShow
How well the company could absorb a bad year: its financial buffer, how its revenue and profit held up in the worst year on record, and what the 10-K says about the business's exposure to shocks. Figures and filing statements only — no overall rating.
1. Financial buffer (FY2025)
Cash & short-term investments ÷ debt due within a year
—
$2.99B vs. —
Interest coverage (operating income ÷ interest expense)
Not disclosed
The income statement has no operating income line.
Free cash flow ÷ dividends paid
6.6x
$3.28B vs. $495M (FCF = operating CF − capex)
2. Worst year in the record, and the recovery
| Figure | Worst year-over-year change | Back to the prior level? |
|---|---|---|
| Revenue | -6.9% in FY2025 ($36.8B → $34.25B) | Not yet, as of FY2025 |
Covers only the 6 fiscal years on record (FY2020–FY2025), which may not include a full recession — the worst year here isn’t necessarily how the company would fare in a severe downturn.
3. Business resilience (from the 10-K)
Liquidity
$3.0B of cash at FY2025 year-end and a $3.3B revolver.
Source: SEC EDGAR XBRL; 8-K filed 2026-03-31
Low leverage
Debt about $6.0B vs. equity $24.7B.
Source: SEC EDGAR XBRL
22
Legal & regulatory mattersSite analysisShow
Lawsuits, government investigations, enforcement actions and settlements the company discloses — where each stands, what is at stake, and what comes next. From the 10-K's Legal Proceedings and contingencies note, the latest 10-Q, and 8-Ks.
D.R. Horton carries about $1.1 billion of reserves for legal claims, about 99% for construction defects. It has resolved EPA and Maryland stormwater enforcement through consent decrees. A Forestar stockholder derivative suit challenges lot sales between Forestar and D.R. Horton.
1 open matter · 1 settled or closed
Forestar lot-sale derivative suit
PendingLawsuitMississippi Public Employees' Retirement System v. D.R. Horton, Inc. (Del. Ch.)
Filed April 29, 2025 on behalf of Forestar, alleging fiduciary breaches by D.R. Horton and Forestar directors in lot sales between the two companies.
Source: Form 10-Q (quarter ended 2026-06-30) — Legal Proceedings
Stormwater enforcement consent decrees
SettledEnvironmentalU.S. EPA Region 4 and Alabama/South Carolina regulators; Maryland Department of the Environment
A 2024 EPA consent decree imposed a $400,000 penalty, a supplemental environmental project and reporting duties. A May 2026 Maryland consent decree cost D.R. Horton a $200,000 penalty and $210,000 for restoration, with Forestar paying more.
Source: Form 10-Q (quarter ended 2026-06-30) — Legal Proceedings
Company statement: D.R. Horton believes liabilities from these matters will not have a material adverse effect. Legal contingency expense was $119 million in the first nine months of fiscal 2026.
Based on Form 10-Q (quarter ended 2026-06-30) — Legal Proceedings, reviewed 2026-10-18. Routine ordinary-course claims are not listed. “Major” is this site’s judgment of which matters could materially affect results.
23
Risks (including geopolitical)Site analysis
Starting from the 10-K's Risk Factors section, organized by category — geopolitical, currency, raw materials, regulatory, disaster, and more — with impact and likelihood assessed by this site.
Risk map
Vertical = impact on results, horizontal = likelihood. Upper right = most severe. Numbers match the list below (placement is this site’s own assessment).
Likelihood →
"Company disclosure" vs. "this site’s assessment"
The description and mitigation for each risk are this site’s summary of the 10-K’s "Risk Factors" section. Impact and likelihood are this site’s own assessment, not the company’s — where the company discloses its own likelihood assessment, that is noted in the summary.
Impact is judged from how large the affected business is relative to total revenue/profit, and from the risk’s track record of moving results in the past. Likelihood is judged from the filing’s wording and the current business environment (already occurring, or recurring). See the rating criteria.
- 1FX & interest rates
Mortgage rates and affordability
- Company disclosure (summarized from the 10-K)
- Demand depends on mortgage rates and buyer affordability.
- Company’s stated mitigation
- Incentives and product mix.
- This site’s assessment
- Impact High / Likelihood High
- 2Demand & macro
Housing cycle
- Company disclosure (summarized from the 10-K)
- New and secondary home sales activity drives results.
- Company’s stated mitigation
- Not stated in the filings.
- This site’s assessment
- Impact High / Likelihood Med
- 3Costs & inflation
Land, labor and materials
- Company disclosure (summarized from the 10-K)
- Availability of land, lots and qualified subcontractors affects costs.
- Company’s stated mitigation
- Forestar lot supply; scale purchasing.
- This site’s assessment
- Impact Med / Likelihood Med
- 4Competition & technology shift
Competition
- Company disclosure (summarized from the 10-K)
- Competes with other homebuilders and resale homes in each market.
- Company’s stated mitigation
- Scale.
- This site’s assessment
- Impact Med / Likelihood Med
24
What changed in the risk factorsFrom SEC data
Paragraphs in the latest 10-K's Risk Factors that have little overlap with the year before, and paragraphs that were dropped.
New or substantially reworded (2)
In addition, other types of lawsuits, claims and proceedings have been and may in the future be instituted or asserted against us. Read more
Some of these claims may result in significant defense costs and potentially significant judgments against us, some of which are not, or cannot be, insured against. We intend to defend ourselves vigorously in any litigation that has been or may be instituted or asserted against us; however, litigation is inherently uncertain and we cannot be certain of the ultimate outcomes of any claims that have arisen or may arise.
We are subject to income taxes at the federal, state and local levels, and any changes in tax legislation could adversely affect our future effective tax rates and the value of our deferred tax assets.
Matched automatically, quoted as filed, and may include rewording of an existing risk. Compares Item 1A of the 10-K filed Nov 19, 2025 ↗ with the 10-K filed Nov 19, 2024 ↗.
25
What to watch going forwardSite analysis
- Mortgage rates.
- Gross margin and incentives.
- Buyback execution.
- Rental segment monetization.
26
Source documentsShow
This page's financial figures come from the Form 10-Ks listed below. Check the original filings for full detail.
Last updated
Analysis last edited: November 6, 2026 · Financial data fetched: October 17, 2026 10:07 (SEC EDGAR) · Source 10-K filed: November 19, 2025
Built on10-K FY2025 · filed 2025-11-19
Next update expectedAfter FY2026’s 10-K is filed (roughly 60–90 days after fiscal year end (sooner for larger filers)), financials and analysis will be refreshed.
This page is this site’s own analysis based on public information, and does not represent D.R. Horton’s views. It is not a recommendation to buy or sell any security, and this site does not guarantee the accuracy of any figure or statement here. Always verify against the original source documents before making an investment decision.