Is American Homes Stock a Good Investment?

American Homes Investment Advice

  AMH
To provide specific investment advice or recommendations on American Homes 4 stock, we recommend investors consider the following general factors when evaluating American Homes 4. This will help you to make an informed decision on whether to include American Homes in one of your diversified portfolios:
  • Examine American Homes' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
  • Research American Homes' leadership team and their track record. Good management can help American Homes navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
  • Consider the overall health of the Single-Family Residential REITs space and any emerging trends that could impact American Homes' business and its evolving consumer preferences.
  • Compare American Homes' performance and market position to its competitors. Analyze how American Homes is positioned in terms of product offerings, innovation, and market share.
  • Check if American Homes pays a dividend and its dividend yield and payout ratio.
  • Review what financial analysts are saying about American Homes' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in American Homes 4 stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if American Homes 4 is a good investment.
 
Sell
 
Buy
Hold
Our advice module can be used to complement American Homes investment recommendation provided by average analyst sentiment. It analyzes the company's potential to grow using fundamental, technical, data market data available at the time. To make sure American Homes is not overpriced, please confirm all American Homes 4 fundamentals, including its price to book, cash and equivalents, and the relationship between the shares owned by institutions and gross profit . Given that American Homes 4 has a price to earning of 117.36 X, we suggest you to validate American Homes 4 market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Market Performance

Very WeakDetails

Volatility

Very steadyDetails

Hype Condition

StaleDetails

Current Valuation

Fairly ValuedDetails

Odds Of Distress

Below AverageDetails

Economic Sensitivity

Slowly supersedes the marketDetails

Investor Sentiment

ImpartialDetails

Analyst Consensus

BuyDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

UnavailableDetails

Examine American Homes Stock

Researching American Homes' stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 90.0% of the company shares are held by institutions such as insurance companies. The company has price-to-book (P/B) ratio of 1.8. Some equities with similar Price to Book (P/B) outperform the market in the long run. American Homes 4 has Price/Earnings (P/E) ratio of 117.36. The entity last dividend was issued on the 14th of March 2025. The firm had 7:1 split on the 24th of August 2012.
To determine if American Homes is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding American Homes' research are outlined below:
American Homes 4 generated a negative expected return over the last 90 days
Over 90.0% of the company shares are held by institutions such as insurance companies
On 31st of December 2024 American Homes paid $ 0.26 per share dividend to its current shareholders
Latest headline from MacroaxisInsider: Disposition of 6714 shares by Brian Reitz of American Homes at 35.08 subject to Rule 16b-3

American Homes Quarterly Accounts Payable

96,000

American Homes uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in American Homes 4. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to American Homes' previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
22nd of February 2024
Upcoming Quarterly Report
View
2nd of May 2024
Next Financial Report
View
31st of December 2023
Next Fiscal Quarter End
View
22nd of February 2024
Next Fiscal Year End
View
30th of September 2023
Last Quarter Report
View
31st of December 2022
Last Financial Announcement
View
Earnings surprises can significantly impact American Homes' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises American Homes' investors have experienced.
Reported
Fiscal Date
Estimated EPS
Reported EPS
Surprise
2021-08-05
2021-06-300.050.060.0120 
2020-05-07
2020-03-310.060.070.0116 
2019-02-21
2018-12-310.050.060.0120 
2018-05-03
2018-03-310.030.02-0.0133 
2016-02-25
2015-12-31-0.09-0.1-0.0111 
2015-08-06
2015-06-30-0.07-0.08-0.0114 
2015-05-07
2015-03-31-0.07-0.08-0.0114 
2017-08-03
2017-06-300.01-7.0E-4-0.0107107 

Know American Homes' Top Institutional Investors

Have you ever been surprised when a price of an equity instrument such as American Homes is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading American Homes 4 backward and forwards among themselves. American Homes' institutional investor refers to the entity that pools money to purchase American Homes' securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Shares
Dimensional Fund Advisors, Inc.2024-12-31
4.9 M
Nuveen Asset Management, Llc2024-09-30
4.5 M
Charles Schwab Investment Management Inc2024-12-31
4.3 M
Northern Trust Corp2024-12-31
4.2 M
Duff & Phelps Inv Mgmt Co (il)2024-12-31
4.2 M
Massachusetts Financial Services Company2024-12-31
3.9 M
Burgundy Asset Management Ltd2024-12-31
3.8 M
Ci Investments Inc2024-09-30
3.6 M
Wellington Management Company Llp2024-12-31
3.2 M
Vanguard Group Inc2024-12-31
44.9 M
Blackrock Inc2024-12-31
44 M
Note, although American Homes' institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

American Homes' market capitalization trends

The company currently falls under 'Large-Cap' category with a total capitalization of 14.9 B.

Market Cap

14.44 Billion

American Homes' profitablity analysis

Last ReportedProjected for Next Year
Return On Tangible Assets 0.03  0.03 
Return On Capital Employed 0.03  0.03 
Return On Assets 0.03  0.03 
Return On Equity 0.06  0.06 
The company has Net Profit Margin of 0.24 %, which implies that it may need a different competitive strategy as even a very small decline in it revenue may erase profits and result in a net loss. This is way below average. In the same way, it shows Net Operating Margin of 0.24 %, which entails that for every 100 dollars of revenue, it generated $0.24 of operating income.
Determining American Homes' profitability involves analyzing its financial statements and using various financial metrics to determine if American Homes is a good buy. For example, gross profit margin measures American Homes' profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of American Homes' profitability and make more informed investment decisions.

Evaluate American Homes' management efficiency

American Homes 4 has Return on Asset of 0.0192 % which means that on every $100 spent on assets, it made $0.0192 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.0604 %, implying that it generated $0.0604 on every 100 dollars invested. American Homes' management efficiency ratios could be used to measure how well American Homes manages its routine affairs as well as how well it operates its assets and liabilities. The American Homes' current Return On Tangible Assets is estimated to increase to 0.03. The American Homes' current Return On Capital Employed is estimated to increase to 0.03. As of now, American Homes' Return On Tangible Assets are increasing as compared to previous years. The American Homes' current Intangibles To Total Assets is estimated to increase to 0.02, while Total Assets are projected to decrease to under 8.6 B.
Last ReportedProjected for Next Year
Book Value Per Share 18.60  22.67 
Tangible Book Value Per Share 18.27  22.19 
Enterprise Value Over EBITDA 15.88  10.22 
Price Book Value Ratio 1.92  1.12 
Enterprise Value Multiple 15.88  10.22 
Price Fair Value 1.92  1.12 
Enterprise Value17.6 B18.5 B
American Homes 4 has shown resilience through effective management strategies. Our analysis examines how these strategies influence financial outcomes and investor returns which helps in understanding the stock's long-term potential.
Dividend Yield
0.034
Forward Dividend Yield
0.034
Forward Dividend Rate
1.2
Beta
0.786

Basic technical analysis of American Stock

As of the 27th of February, American Homes shows the risk adjusted performance of (0.06), and Mean Deviation of 0.8895. American Homes 4 technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices.

American Homes' insider trading activities

Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific American Homes insiders, such as employees or executives, is commonly permitted as long as it does not rely on American Homes' material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases American Homes insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.

American Homes' Outstanding Corporate Bonds

American Homes issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. American Homes 4 uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most American bonds can be classified according to their maturity, which is the date when American Homes 4 has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.

Understand American Homes' technical and predictive indicators

Using predictive indicators to make investment decisions involves analyzing American Homes' various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.

Consider American Homes' intraday indicators

American Homes intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of American Homes stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.

American Homes Corporate Filings

F4
26th of February 2025
The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities
ViewVerify
10K
21st of February 2025
Annual report required by the U.S. Securities and Exchange Commission (SEC) of a company financial performance
ViewVerify
8K
20th of February 2025
Report filed with the SEC to announce major events that shareholders should know about
ViewVerify
7th of February 2025
Other Reports
ViewVerify
American Homes time-series forecasting models is one of many American Homes' stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary American Homes' historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.

American Stock media impact

Far too much social signal, news, headlines, and media speculation about American Homes that are available to investors today. That information is available publicly through American media outlets and privately through word of mouth or via American internal channels. However, regardless of the origin, that massive amount of American data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of American Homes news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of American Homes relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to American Homes' headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive American Homes alpha.

American Homes Sentiment by Major News Outlets

Investor sentiment, mood or attitude towards American Homes can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.

American Homes 4 Historical Investor Sentiment

Investor biases related to American Homes' public news can be used to forecast risks associated with an investment in American. The trend in average sentiment can be used to explain how an investor holding American can time the market purely based on public headlines and social activities around American Homes 4. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
American Homes' market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for American Homes and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average American Homes news discussions. The higher the estimate score, the more favorable the investor's outlook on American Homes.

American Homes Corporate Management

John CorriganChief Investment Officer, TrusteeProfile
Brent LandryExecutive DevelopmentProfile
Lincoln PalmerExecutive OperationsProfile
Scott NellesExecutive OperationsProfile
James KroppIndependent TrusteeProfile

Already Invested in American Homes 4?

The danger of trading American Homes 4 is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of American Homes is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than American Homes. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile American Homes 4 is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
When determining whether American Homes 4 offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of American Homes' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of American Homes 4 Stock. Outlined below are crucial reports that will aid in making a well-informed decision on American Homes 4 Stock:
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in American Homes 4. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in population.
You can also try the Idea Analyzer module to analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas.
Is Single-Family Residential REITs space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of American Homes. If investors know American will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about American Homes listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
0.568
Dividend Share
1.04
Earnings Share
1.06
Revenue Per Share
4.705
Quarterly Revenue Growth
0.068
The market value of American Homes 4 is measured differently than its book value, which is the value of American that is recorded on the company's balance sheet. Investors also form their own opinion of American Homes' value that differs from its market value or its book value, called intrinsic value, which is American Homes' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because American Homes' market value can be influenced by many factors that don't directly affect American Homes' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between American Homes' value and its price, as these two are different measures arrived at by various means. Investors typically determine if American Homes is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, American Homes' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.