Category: TMHC

TMHC – U.S. housing shortage will be around for 'years to come,' says Taylor Morrison CEO

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The housing shortage that began before the pandemic will stick around for a long time as market demand soars, the chief executive of homebuilder Taylor Morrison told CNBC on Wednesday.

“As the economy continues to improve, we’re going to see mortgage rates move up, and I think that should be expected. They’re not going to stay under 3% forever,” CEO Sheryl Palmer said on “Closing Bell.” However, she added, “the lack of supply and the overwhelming demand is something that will be with us for years to come.”  

Earlier Wednesday, the Mortgage Bankers Association’s seasonally adjusted index showed that mortgage demand decreased for the second week in a row this week, dropping by 1.8% to their lowest level since the beginning of 2020. Home purchase applications and mortgage applications to refinance a home both dropped for the week, even though mortgage rates dipped. 

Despite those developments, Palmer expressed confidence in the “robust housing market” and sustained demand across all areas and consumer types. 

“Certainly we are seeing some numbers around mortgage applications, but I think we really have to separate the supply and the demand that we’re seeing out there,” said Palmer, who has led Arizona-based Taylor Morrison since 2007.

“We are at multiyear lows as far as new and resale inventory, and, honestly, it’s going to be very difficult for us to make up the shortage, the deficit that we’ve been building up for more than a decade now,” she said.

Home prices in the U.S. have risen sharply during the coronavirus pandemic, as booming interest for houses coincided with low inventory for sale. That’s sparked affordability concerns from some observers who worry especially about first-time buyers being priced out.

Growth in housing inventory has slowed over the past decade in the aftermath of the 2008 housing crisis, creating an “underbuilding gap” of 5.5 million to 6.8 million housing units across the country since 2001, according a recent report from the National Association of Realtors.

“Additional inventory is the solution to all that ails us at this moment,” Coldwell Banker CEO Ryan Gorman told CNBC last week.

One possible bright spot in the near term is that, in June, new listings had increased 5.5% year over year and 10.9% compared with May, according to Realtor.com. Historically, low listings have been seen between May and June.

The low mortgage rates seen during the pandemic are a factor to consider when assessing the market, Palmer said.

“From an affordability standpoint, a consumer buying a [$300,000], $400,000 house today versus a year ago, their payment is going to be less,” she said. “Consumers change their behavior, and they’re not extending themselves the same way you might have always seen years and years ago. We actually see the consumer has a lot of room in what they can afford to buy and what they’re buying.”

TMHC – Is Taylor Morrison Home (TMHC) a Great Value Stock Right Now?

Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.

Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.

Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system’s “Value” category. Stocks with both “A” grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.

One stock to keep an eye on is Taylor Morrison Home (TMHC Free Report) . TMHC is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock holds a P/E ratio of 4.82, while its industry has an average P/E of 7.71. TMHC’s Forward P/E has been as high as 10.25 and as low as 4.82, with a median of 6.69, all within the past year.

Another notable valuation metric for TMHC is its P/B ratio of 0.92. The P/B is a method of comparing a stock’s market value to its book value, which is defined as total assets minus total liabilities. TMHC’s current P/B looks attractive when compared to its industry’s average P/B of 1.59. Within the past 52 weeks, TMHC’s P/B has been as high as 1.16 and as low as 0.68, with a median of 0.95.

Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. TMHC has a P/S ratio of 0.54. This compares to its industry’s average P/S of 0.8.

These are just a handful of the figures considered in Taylor Morrison Home’s great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that TMHC is an impressive value stock right now.

TMHC – Are Investors Undervaluing Taylor Morrison Home (TMHC) Right Now?

Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.

Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.

In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system’s “Value” category. Stocks with “A” grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.

Taylor Morrison Home (TMHC Free Report) is a stock many investors are watching right now. TMHC is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 5.33 right now. For comparison, its industry sports an average P/E of 8.22. Over the past 52 weeks, TMHC’s Forward P/E has been as high as 10.25 and as low as 5.33, with a median of 6.75.

Another valuation metric that we should highlight is TMHC’s P/B ratio of 1.01. The P/B is a method of comparing a stock’s market value to its book value, which is defined as total assets minus total liabilities. This stock’s P/B looks attractive against its industry’s average P/B of 1.61. TMHC’s P/B has been as high as 1.16 and as low as 0.67, with a median of 0.95, over the past year.

Value investors also love the P/S ratio, which is calculated by simply dividing a stock’s price with the company’s sales. This is a prefered metric because revenue can’t really be manipulated, so sales are often a truer performance indicator. TMHC has a P/S ratio of 0.57. This compares to its industry’s average P/S of 0.91.

These figures are just a handful of the metrics value investors tend to look at, but they help show that Taylor Morrison Home is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, TMHC feels like a great value stock at the moment.

TMHC – Should Value Investors Buy Taylor Morrison Home (TMHC) Stock?

While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.

Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.

On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the “Value” category. Stocks with high Zacks Ranks and “A” grades for Value will be some of the highest-quality value stocks on the market today.

One company to watch right now is Taylor Morrison Home (TMHC). TMHC is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with P/E ratio of 6.34 right now. For comparison, its industry sports an average P/E of 11.32. Over the past 52 weeks, TMHC’s Forward P/E has been as high as 10.25 and as low as 3.38, with a median of 6.98.

We should also highlight that TMHC has a P/B ratio of 1.11. The P/B is a method of comparing a stock’s market value to its book value, which is defined as total assets minus total liabilities. This stock’s P/B looks attractive against its industry’s average P/B of 1.27. Within the past 52 weeks, TMHC’s P/B has been as high as 1.16 and as low as 0.39, with a median of 0.92.

Value investors also love the P/S ratio, which is calculated by simply dividing a stock’s price with the company’s sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. TMHC has a P/S ratio of 0.65. This compares to its industry’s average P/S of 0.98.

These are only a few of the key metrics included in Taylor Morrison Home’s strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, TMHC looks like an impressive value stock at the moment.

TMHC – Taylor Morrison First Quarter 2021 Earnings Release Conference Call and Webcast Scheduled

SCOTTSDALE, Ariz., April 5, 2021 /PRNewswire/ — Taylor Morrison Home Corporation (“Taylor Morrison“), the nation’s fifth largest homebuilder, announced today that it will release its first quarter 2021 results before the market opens on Thursday, April 29, 2021. Taylor Morrison will hold a conference call to discuss its first quarter results the same day, at 8:30 a.m. ET.

A live audio webcast, as well as an archive of the conference call, will be available on Taylor Morrison’s website at investors.taylormorrison.com.

For call participants, the dial-in number is: 1 (855) 470-8731 or 1 (661) 378-9962 and the audience passcode is: 4452459. This call will be recorded and available for replay at investors.taylormorrison.com.

Taylor Morrison’s filings will be available at investors.taylormorrison.com or with the SEC at sec.gov.

About Taylor Morrison

Taylor Morrison Home Corporation (NYSE: TMHC) is the nation’s fifth largest homebuilder and developer based in Scottsdale, Arizona, that has been recognized as America’s Most Trusted® Home Builder for six years running (2016-2021). Operating under a family of brands including Taylor Morrison, Darling Homes, William Lyon Signature Home and Christopher Todd Communities built by Taylor Morrison, we serve consumer groups coast to coast, from first-time to move-up, luxury and 55-plus buyers. Our unwavering pledge to sustainability, our communities and our team—outlined in the 2019 Environmental, Social and Governance Report—extends to designing thoughtful living experiences homeowners can be proud of for generations to come.

For more information about Taylor Morrison, please visit www.taylormorrison.com.

CONTACT:    
Investor Relations
Taylor Morrison Home Corp.
(480) 734-2060
[email protected]

SOURCE Taylor Morrison

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www.taylormorrison.com

TMHC – Has Taylor Morrison Home (TMHC) Outpaced Other Construction Stocks This Year?

Investors focused on the Construction space have likely heard of Taylor Morrison Home (TMHC Free Report) , but is the stock performing well in comparison to the rest of its sector peers? A quick glance at the company’s year-to-date performance in comparison to the rest of the Construction sector should help us answer this question.

Taylor Morrison Home is a member of our Construction group, which includes 104 different companies and currently sits at #2 in the Zacks Sector Rank. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group.

The Zacks Rank is a proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. TMHC is currently sporting a Zacks Rank of #1 (Strong Buy).

The Zacks Consensus Estimate for TMHC’s full-year earnings has moved 17.36% higher within the past quarter. This shows that analyst sentiment has improved and the company’s earnings outlook is stronger.

Our latest available data shows that TMHC has returned about 19.30% since the start of the calendar year. At the same time, Construction stocks have gained an average of 17.50%. This shows that Taylor Morrison Home is outperforming its peers so far this year.

Looking more specifically, TMHC belongs to the Building Products – Home Builders industry, which includes 16 individual stocks and currently sits at #7 in the Zacks Industry Rank. On average, stocks in this group have gained 29.75% this year, meaning that TMHC is slightly underperforming its industry in terms of year-to-date returns.

Investors with an interest in Construction stocks should continue to track TMHC. The stock will be looking to continue its solid performance.

TMHC – Is Taylor Morrison Home (TMHC) Stock Outpacing Its Construction Peers This Year?

Investors focused on the Construction space have likely heard of Taylor Morrison Home (TMHC Free Report) , but is the stock performing well in comparison to the rest of its sector peers? A quick glance at the company’s year-to-date performance in comparison to the rest of the Construction sector should help us answer this question.

Taylor Morrison Home is a member of the Construction sector. This group includes 104 individual stocks and currently holds a Zacks Sector Rank of #2. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.

The Zacks Rank is a proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. TMHC is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past three months, the Zacks Consensus Estimate for TMHC’s full-year earnings has moved 17.36% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Our latest available data shows that TMHC has returned about 14.09% since the start of the calendar year. Meanwhile, the Construction sector has returned an average of 13.38% on a year-to-date basis. This shows that Taylor Morrison Home is outperforming its peers so far this year.

To break things down more, TMHC belongs to the Building Products – Home Builders industry, a group that includes 16 individual companies and currently sits at #6 in the Zacks Industry Rank. On average, stocks in this group have gained 26.80% this year, meaning that TMHC is slightly underperforming its industry in terms of year-to-date returns.

Investors with an interest in Construction stocks should continue to track TMHC. The stock will be looking to continue its solid performance.