NEW YORK (TheStreet) -- UBS increased its target price on PulteGroup (PHM - Get Report) to $25 and increased its estimates. The firm cited growth at Del Webb and authorization for $2 billion for land spending in 2014 as the reasons for the increase.
The stock was falling 0.79% to $20.15 at 9:31 a.m. on Monday.
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- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Household Durables industry. The net income increased by 274.6% when compared to the same quarter one year prior, rising from $58.74 million to $220.05 million.
- PHM's revenue growth trails the industry average of 28.8%. Since the same quarter one year prior, revenues slightly increased by 5.6%. Growth in the company's revenue appears to have helped boost the earnings per share.
- The current debt-to-equity ratio, 0.47, is low and is below the industry average, implying that there has been successful management of debt levels.
- The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. Compared to other companies in the Household Durables industry and the overall market, PULTEGROUP INC's return on equity significantly exceeds that of both the industry average and the S&P 500.
- PULTEGROUP INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. However, we anticipate underperformance relative to this pattern in the coming year. During the past fiscal year, PULTEGROUP INC increased its bottom line by earning $6.74 versus $0.53 in the prior year. For the next year, the market is expecting a contraction of 82.4% in earnings ($1.19 versus $6.74).
- You can view the full analysis from the report here: PHM Ratings Report