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DR Horton Inc
XMUN:HO2

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DR Horton Inc
XMUN:HO2
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Price: 136.2 EUR -3.28% Market Closed
Market Cap: €28.5B

EV/FCFF

10.9
Current
2%
More Expensive
vs 3-y average of 10.7

Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.

EV/FCFF
10.9
=
Enterprise Value
€32.7B
/
Free Cash Flow to Firm
$3.5B

Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.

EV/FCFF
10.9
=
Enterprise Value
€32.7B
/
Free Cash Flow to Firm
$3.5B

Valuation Scenarios

DR Horton Inc is trading above its 3-year average

If EV/FCFF returns to its 3-Year Average (10.7), the stock would be worth €134.15 (2% downside from current price).

Statistics
Positive Scenarios
3/4
Maximum Downside
-2%
Maximum Upside
+114%
Average Upside
53%
Scenario EV/FCFF Value Implied Price Upside/Downside
Current Multiple 10.9 €136.2
0%
3-Year Average 10.7 €134.15
-2%
5-Year Average 11.3 €141.52
+4%
Industry Average 21.5 €269.37
+98%
Country Average 23.2 €291.2
+114%

Forward EV/FCFF
Today’s price vs future free cash flow to firm

Not enough data available to calculate forward EV/FCFF

Peer Comparison

All Multiples
EV/FCFF
P/E
All Countries
Close
Market Cap EV/FCFF P/E
US
DR Horton Inc
XMUN:HO2
28.5B EUR 10.9 10.5
US
D R Horton Inc
NYSE:DHI
45.4B USD 14.3 14.3
US
Pultegroup Inc
NYSE:PHM
24.6B USD 14.1 12
US
Lennar Corp
NYSE:LEN
23B USD -277.2 13
US
NVR Inc
NYSE:NVR
18B USD 15.7 14.5
US
Toll Brothers Inc
NYSE:TOL
14B USD 10.7 10.1
JP
Sekisui House Ltd
TSE:1928
2.2T JPY 28.3 9.5
US
TopBuild Corp
NYSE:BLD
12.5B USD 21.7 24
UK
Barratt Developments P L C
LSE:BDEV
6.8B GBP 34.2 31.3
US
Installed Building Products Inc
NYSE:IBP
8.1B USD 28.5 30.3
JP
Open House Group Co Ltd
TSE:3288
1T JPY 51.2 9.9

Market Distribution

Lower than 84% of companies in the United States of America
Percentile
16th
Based on 8 393 companies
16th percentile
10.9
Low
0 — 15.4
Typical Range
15.4 — 35.1
High
35.1 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 15.4
Median 23.2
70th Percentile 35.1
Max 3 178 983.5

DR Horton Inc
Glance View

In the labyrinth of the American housing market, D.R. Horton Inc. stands as a formidable architect of suburban dreams, weaving the aspirations of countless families into tangible realities. Founded in 1978 by Donald R. Horton in the fertile grounds of Fort Worth, Texas, the company has etched its name as a cornerstone in homebuilding, capitalizing on the burgeoning demand for residential spaces across America. D.R. Horton’s journey is characterized by its acute ability to deliver quality homes without losing sight of affordability, serving a diverse clientele that spans from entry-level buyers to luxury seekers. This strategic approach is anchored in its robust land acquisition and development prowess, allowing the company to position itself optimally across various markets and economic cycles. As the largest homebuilder by volume in the United States, D.R. Horton skillfully navigates the intricate dance of supply and demand, scaling its operations and adjusting its product mix with the ebb and flow of market conditions. The company’s financial orchestration is noteworthy, with revenue streams harmonized from home sales boosted by its mortgage subsidiary, DHI Mortgage, which offers tailored financial services to its buyers. By marrying construction with financing, D.R. Horton not only captures additional revenue margins but also fortifies its customer base, ensuring that its homes are accessible to a broad segment of society. Thus, its business model is a symphony of strategic planning, operational efficiency, and customer-focused service, which forms the backbone of its sustained growth and market dominance.

HO2 Intrinsic Value
124.85 EUR
Overvaluation 8%
Intrinsic Value
Price €136.2
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