Why KB Home (KBH) is a Top Value Stock for the Long-Term
It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.
Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.
Why Investors Should Pay Attention to This Value Stock
Finding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to highlight the most attractive and discounted stocks.
KB Home (KBH)
Based in Los Angeles, CA, KB Home is a well-known homebuilder in the United States and one of the largest in the state. The company’s revenues are generated from Homebuilding (accounting for 99.5% of fiscal 2023 total revenues) and Financial Services (0.5%) operations.
KBH boasts a Value Style Score of A and VGM Score of B, and holds a Zacks Rank #2 (Buy) rating. Shares of KB Home are trading at a forward earnings multiple of 8.4X, as well as a PEG Ratio of 0.7, a Price/Cash Flow ratio of 8.8X, and a Price/Sales ratio of 0.8X.
Many value investors pay close attention to a company's earnings as well. For KBH, six analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.30 to $8.31 per share for 2024. Per share KBH boasts an average earnings surprise of 18.4%.
KBH should be on investors' short lists because of its impressive earnings and valuation fundamentals, a good Zacks Rank, and strong Value and VGM Style Scores.
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KB Home (KBH): Free Stock Analysis Report
