Valens Research Weekly Equity Idea Highlight for March 7, 2018 – D.R. Horton, Inc.
This week the Valens Securities team highlights our most interesting equity insight from across our tools and our analysis.
Management’s smart strategic decisions, low market expectations, and sustained confidence about the business builds the case for equity upside
The market is expecting DHI to see recent positive fundamental momentum trends reverse going forward. The market expects the company, which recently reached 11% UAFRS-based (Uniform) ROA for the first time since the housing crisis, to see Uniform ROA decline back to 7% levels, with Uniform Asset growth also slowing dramatically from recent years.