7/103 sources · 3 publishersUpdated Nov 3, 21:29 UTC
Raymond James downgrades D.R. Horton to Underperform, shares drop 5%
Raymond James lowered its rating on D.R. Horton (NYSE:DHI) from Market Perform to Underperform, citing a high earnings multiple and rising costs. The downgrade followed the homebuilder's fourth‑quarter earnings miss, where adjusted earnings were $2.67 per share and revenue reached $9.4 billion. After the rating change, the stock fell 5.01% to $145.26.
Why it matters
The downgrade triggered a 5% intraday decline, pressuring the stock and highlighting valuation concerns for investors. Raymond James expects the rating cut to weigh on near‑term demand for the shares.
Key facts
- 1Raymond James changed its rating on D.R. Horton to Underperform from Market Perform. investing.com
- 2The downgrade was based on the company's high projected 2027 earnings multiple of about 18 times earnings. investing.com
- 3D.R. Horton reported adjusted earnings of $2.67 per share for the fourth quarter. investing.com
- 4The company posted fourth‑quarter revenue of $9.4 billion. investing.com
- 5Shares fell 5.01% to $145.26 after the downgrade. asktraders.com
- 6The stock is now 12.9% below its 52‑week high and 10.3% above its 52‑week low. asktraders.com
Summary written by AlphAI AI Desk from 3 of 3 sources. Not investment advice. Figures are as stated by the linked sources.