DR Horton Inc (DHI): Today's Featured Materials & Construction Laggard

DR Horton ( DHI) pushed the Materials & Construction industry lower today making it today's featured Materials & Construction laggard. The industry as a whole closed the day down 0.4%. By the end of trading, DR Horton fell 49 cents (-2.7%) to $17.90 on average volume. Throughout the day, 7.1 million shares of DR Horton exchanged hands as compared to its average daily volume of 8.1 million shares. The stock ranged in price between $17.74-$18.89 after having opened the day at $18.65 as compared to the previous trading day's close of $18.39. Other company's within the Materials & Construction industry that declined today were: Chicago Bridge & Iron Company ( CBI), down 14.2%, Armstrong World Industries ( AWI), down 12.8%, Patrick Industries ( PATK), down 7.4%, and Avalon Holdings ( AWX), down 7%.

D.R. Horton, Inc. operates as a homebuilding company in the United States. The company's Homebuilding segment engages in the acquisition and development of land, and construction and sale of residential homes in 25 states and 73 markets in the United States primarily under the D.R. DR Horton has a market cap of $5.99 billion and is part of the industrial goods sector. The company has a P/E ratio of 44.8, above the average materials & construction industry P/E ratio of 43.7 and above the S&P 500 P/E ratio of 17.7. Shares are up 45.8% year to date as of the close of trading on Friday. Currently there are five analysts that rate DR Horton a buy, two analysts rate it a sell, and six rate it a hold.

TheStreet Ratings rates DR Horton as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, compelling growth in net income, impressive record of earnings per share growth and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows low profit margins.

On the positive front, Shaw Group ( SHAW), up 55.5%, MYR Group ( MYRG), up 9.6%, Integrated Electrical Services ( IESC), up 5.8%, and Tutor Perini ( TPC), up 5.5%, were all gainers within the materials & construction industry with Republic Services ( RSG) being today's featured materials & construction industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the materials & construction industry could consider SPDR S&P Homebuilders ETF ( XHB) while those bearish on the materials & construction industry could consider ProShares Short Basic Materials Fd ( SBM).
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