Beazer Homes USA, Inc. (BZH) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

M.D.C. Holdings, Inc.

Cavco Industries, Inc.

Skyline Champion Corp.

Green Brick Partners, Inc.

Patrick Industries, Inc.

Frontdoor, Inc.

M/I Homes, Inc.

Century Communities, Inc.

Beazer Homes USA, Inc.

Tri Pointe Homes, Inc.

LGI Homes, Inc.

Why is Beazer Homes USA, Inc. ?

Poor Management Efficiency with a low ROCE of 9.33%

The company has been able to generate a Return on Capital Employed (avg) of 9.33% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of 1.43% over the last 5 years

Negative results in Jun 25

ROCE(HY) Lowest at 5.65%
RAW MATERIAL COST(Y) Grown by 25.11% (YoY)
CASH AND EQV(HY) Lowest at USD 198.89 MM

With ROCE of 4.64%, it has a expensive valuation with a 0.74 Enterprise value to Capital Employed

The stock is trading at a fair value compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -33.11%, its profits have fallen by -40.8%

Below par performance in long term as well as near term

Along with generating -33.11% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Furniture, Home Furnishing)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Beazer Homes USA, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Beazer Homes USA, Inc.

-33.11%

-0.39

49.46%

S&P 500

13.22%

0.65

20.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.43%

EBIT Growth (5y)

-2.51%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

5.17

Net Debt to Equity (avg)

0.79

Sales to Capital Employed (avg)

1.05

Tax Ratio

11.54%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

9.33%

ROE (avg)

14.91%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.53

EV to EBIT

15.87

EV to EBITDA

13.52

EV to Capital Employed

0.74

EV to Sales

0.67

PEG Ratio

Dividend Yield

ROCE (Latest)

4.64%

ROE (Latest)

7.75%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bullish

Bollinger Bands

Mildly Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-25What is not working for the Company

ROCE(HY)

Lowest at 5.65%

RAW MATERIAL COST(Y)

Grown by 25.11% (YoY

CASH AND EQV(HY)

Lowest at USD 198.89 MM

DEBT-EQUITY RATIO (HY)

Highest at 88.04 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 33.16 times

OPERATING PROFIT(Q)

Lowest at USD 0.86 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 0.16 %

PRE-TAX PROFIT(Q)

Lowest at USD -2.51 MM

NET PROFIT(Q)

Lowest at USD -0.32 MM

EPS(Q)

Lowest at USD -0.01

Here's what is not working for Beazer Homes USA, Inc.

Pre-Tax Profit

At USD -2.51 MM has Fallen at -108.45%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD -0.32 MM has Fallen at -101.19%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Operating Profit

Lowest at USD 0.86 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (USD MM)

Operating Profit Margin

Lowest at 0.16 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at USD -2.51 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Net Profit

Lowest at USD -0.32 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

EPS

Lowest at USD -0.01

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)

Cash and Eqv

Lowest at USD 198.89 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 88.04 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Debtors Turnover Ratio

Lowest at 33.16 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 25.11% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales