PulteGroup (PHM) Stock Gains on Q2 Earnings, Revenue Beat
NEW YORK (TheStreet) -- Shares of PulteGroup (PHM) - Get Report are advancing 3.09% to $21.05 this morning after the company posted higher-than-expected earnings for the 2016 second quarter.
The Atlanta-based homebuilding company reported diluted earnings of 34 cents per share, beating analysts' estimates of 32 cents per share.
PulteGroup also reported revenue of $1.79 billion, rising 41% from the previous year. Analysts had estimated revenue of $1.66 billion for the quarter.
"We remain optimistic about the direction of the overall housing market and expect that current economic conditions, continued job formations and low interest rated can support slow and steady growth in housing demand for the next several years," said CEO Richard Dugas Jr. in a company statement.
New orders for the quarter rose by 11.3% over the previous year to 5,697 homes.
Also, the company announced this morning that it is adding three new independent directors to its board: John Peshkin, Scott Powers and Joshua Gotbaum. The appointments are effective immediately.
Separately, TheStreet Ratings rated this stock as a "buy" with a ratings score of B.
The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, impressive record of earnings per share growth, attractive valuation levels and increase in net income.
TheStreet Ratings feels its strengths outweigh the fact that the company shows weak operating cash flow.
You can view the full analysis from the report here: PHM
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.