PulteGroup Return On Asset vs. Gross Profit

PHM Stock  USD 129.30  4.70  3.51%   
Considering PulteGroup's profitability and operating efficiency indicators, PulteGroup is performing exceptionally good at this time. It has a great probability to showcase excellent profitability results in January. Profitability indicators assess PulteGroup's ability to earn profits and add value for shareholders. At this time, PulteGroup's Price To Sales Ratio is very stable compared to the past year. As of the 4th of December 2024, Sales General And Administrative To Revenue is likely to grow to 0.10, while EV To Sales is likely to drop 0.80. At this time, PulteGroup's Net Income From Continuing Ops is very stable compared to the past year. As of the 4th of December 2024, Net Interest Income is likely to grow to about 44.3 M, while Non Operating Income Net Other is likely to drop (16.6 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.310.2938
Notably Up
Slightly volatile
For PulteGroup profitability analysis, we use financial ratios and fundamental drivers that measure the ability of PulteGroup to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well PulteGroup utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between PulteGroup's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of PulteGroup over time as well as its relative position and ranking within its peers.
  

PulteGroup's Revenue Breakdown by Earning Segment

Check out Your Equity Center.
To learn how to invest in PulteGroup Stock, please use our How to Invest in PulteGroup guide.
Is Household Durables 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 PulteGroup. If investors know PulteGroup 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 PulteGroup 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
0.156
Dividend Share
0.8
Earnings Share
13.55
Revenue Per Share
82.23
Quarterly Revenue Growth
0.118
The market value of PulteGroup is measured differently than its book value, which is the value of PulteGroup that is recorded on the company's balance sheet. Investors also form their own opinion of PulteGroup's value that differs from its market value or its book value, called intrinsic value, which is PulteGroup's 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 PulteGroup's market value can be influenced by many factors that don't directly affect PulteGroup's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between PulteGroup's value and its price as these two are different measures arrived at by different means. Investors typically determine if PulteGroup is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, PulteGroup's 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.

PulteGroup Gross Profit vs. Return On Asset Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining PulteGroup's current stock value. Our valuation model uses many indicators to compare PulteGroup value to that of its competitors to determine the firm's financial worth.
PulteGroup is regarded second in return on asset category among its peers. It is regarded third in gross profit category among its peers fabricating about  34,148,235,709  of Gross Profit per Return On Asset. At this time, PulteGroup's Gross Profit is very stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value PulteGroup by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.

PulteGroup Gross Profit vs. Return On Asset

Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.

PulteGroup

Return On Asset

 = 

Net Income

Total Assets

 = 
0.14
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.

PulteGroup

Gross Profit

 = 

Revenue

-

Cost of Revenue

 = 
4.84 B
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.

PulteGroup Gross Profit Comparison

PulteGroup is currently under evaluation in gross profit category among its peers.

PulteGroup Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in PulteGroup, profitability is also one of the essential criteria for including it into their portfolios because, without profit, PulteGroup will eventually generate negative long term returns. The profitability progress is the general direction of PulteGroup's change in net profit over the period of time. It can combine multiple indicators of PulteGroup, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Operating Income-1.3 B-1.2 B
Income Before Tax3.3 B3.5 B
Total Other Income Expense Net4.6 M4.9 M
Net Income2.6 B2.7 B
Income Tax Expense892.7 M937.3 M
Net Income Applicable To Common SharesB3.2 B
Net Income From Continuing Ops2.8 B2.9 B
Non Operating Income Net Other-15.8 M-16.6 M
Net Interest Income42.2 M44.3 M
Interest Income42.6 M44.8 M
Change To Netincome554.8 M582.5 M
Net Income Per Share 11.83  12.42 
Income Quality 0.84  0.43 
Net Income Per E B T 0.75  0.70 

PulteGroup Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on PulteGroup. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of PulteGroup position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the PulteGroup's important profitability drivers and their relationship over time.

Use PulteGroup in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if PulteGroup position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in PulteGroup will appreciate offsetting losses from the drop in the long position's value.

PulteGroup Pair Trading

PulteGroup Pair Trading Analysis

The ability to find closely correlated positions to PulteGroup could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace PulteGroup when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back PulteGroup - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling PulteGroup to buy it.
The correlation of PulteGroup is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as PulteGroup moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if PulteGroup moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for PulteGroup can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your PulteGroup position

In addition to having PulteGroup in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Consumer Funds Thematic Idea Now

Consumer Funds
Consumer Funds Theme
Funds or Etfs that invest in consumer products such as packaged goods, clothing, food, beverages and retail services. The Consumer Funds theme has 46 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Consumer Funds Theme or any other thematic opportunities.
View All  Next Launch
When determining whether PulteGroup is a strong investment it is important to analyze PulteGroup's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact PulteGroup's future performance. For an informed investment choice regarding PulteGroup Stock, refer to the following important reports:
Check out Your Equity Center.
To learn how to invest in PulteGroup Stock, please use our How to Invest in PulteGroup guide.
You can also try the Commodity Channel module to use Commodity Channel Index to analyze current equity momentum.
To fully project PulteGroup's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of PulteGroup at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include PulteGroup's income statement, its balance sheet, and the statement of cash flows.
Potential PulteGroup investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although PulteGroup investors may work on each financial statement separately, they are all related. The changes in PulteGroup's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on PulteGroup's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.