M/I Homes (MHO) ended the recent trading session at $152.96, demonstrating a -2.71% change from the preceding day's closing price. The stock fell short of the S&P 500, which registered a gain of 0.27% for the day. Elsewhere, the Dow saw an upswing of 0.43%, while the tech-heavy Nasdaq appreciated by 0.37%.
Shares of the homebuilder witnessed a gain of 21.35% over the previous month, beating the performance of the Construction sector with its gain of 4.79%, and the S&P 500's gain of 1.85%.
Analysts and investors alike will be keeping a close eye on the performance of M/I Homes in its upcoming earnings disclosure. The company is predicted to post an EPS of $4.37, indicating a 14.31% decline compared to the equivalent quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $1.12 billion, indicating a 2.27% decline compared to the corresponding quarter of the prior year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $17.25 per share and a revenue of $4.39 billion, indicating changes of -12.48% and -2.57%, respectively, from the former year.
Investors might also notice recent changes to analyst estimates for M/I Homes. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. At present, M/I Homes boasts a Zacks Rank of #5 (Strong Sell).
Looking at its valuation, M/I Homes is holding a Forward P/E ratio of 9.11. Its industry sports an average Forward P/E of 11.93, so one might conclude that M/I Homes is trading at a discount comparatively.
The Building Products – Home Builders industry is part of the Construction sector. Currently, this industry holds a Zacks Industry Rank of 229, positioning it in the bottom 8% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
