PHM - Homebuilder PulteGroup: If A 15-20% Annual ROI Is OK For You Buy This Stock
- I expect Pulte to earn nearly $10 per share this year and close to that level for the foreseeable future. Pulte has three main earnings drivers.
- First, demand for new housing should remain at least stable.
- Second, Pulte's cyclically high profit margins should only decline moderately over the next few years.
- Third, Pulte continues to buy back stock and reduce its share count, by 5%+ a year going forward.
- At its $53 stock price, Pulte should earn 15-20% returns on investment.
For further details see:
Homebuilder PulteGroup: If A 15-20% Annual ROI Is OK For You, Buy This Stock