PulteGroup, Inc. (PHM) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+15.5%

$150.40

vs $130.20 price

Levered DCF

$140.45

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

5.6

Safe zone

Rating

Overall 4 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	10.46×	7.35×	8.75×	4.11×	7.68×	8.31×	10.57×	7.22×
P/B	1.79×	1.87×	2.19×	1.2×	1.98×	1.76×	1.95×	1.53×
P/S	1.34×	1.26×	1.41×	0.67×	1.08×	1.05×	1.04×	0.72×
EV / EBITDA	7.81×	5.7×	6.65×	3.54×	6.12×	6.82×	9.08×	6.88×
Gross margin	26.4%	29.1%	29.4%	30.2%	27.5%	25.2%	23.5%	23.3%
Operating margin	17.3%	21.7%	21.1%	21.5%	18.6%	15.8%	13.1%	13.2%
Net margin	12.8%	17.2%	16.2%	16.4%	14.2%	12.7%	10.0%	10.0%
Current ratio	5.91×	5.72×	4.87×	4.1×	3.26×	3.4×	3.93×	3.85×
Debt / equity	0.19×	0.19×	0.25×	0.32×	0.38×	0.51×	0.6×	0.7×
Interest coverage	4,956.49×	8,120.87×	7,241.59×	12,120.27×	5,094.07×	411.26×	2,292.55×	2,180.56×
Dividend yield	0.8%	0.7%	0.6%	1.3%	1.0%	1.1%	1.1%	1.4%
Payout ratio	8.0%	5.4%	5.5%	5.5%	7.6%	9.3%	12.0%	10.2%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	17.1%	25.4%	25.1%	29.4%	26.0%	21.4%	18.6%	21.2%
Return on invested capital	14.3%	19.8%	18.9%	21.6%	19.1%	14.5%	11.8%	12.5%
Return on assets	12.3%	17.8%	16.2%	17.7%	14.6%	11.5%	9.5%	10.0%
Free cash flow yield	7.5%	6.9%	9.3%	5.2%	6.3%	14.9%	9.6%	18.9%
Earnings yield	9.6%	13.6%	11.5%	24.5%	13.1%	12.1%	9.5%	13.9%
Enterprise value	$23.6B	$23.3B	$23.5B	$12.4B	$15.8B	$12.3B	$12.7B	$9.6B
Net debt / EBITDA	0.13×	0.17×	0.22×	0.49×	0.38×	0.39×	1.44×	1.6×
Cash conversion cycle (days)	355	379	388	374	331	339	358	341