D.R. Horton, Inc. cash flow to debt ratio of 56.72% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.

D.R. Horton, Inc.'s free cash flow has increased 62.19% from $2.02G last year to $3.28G, signaling increasing performance

D.R. Horton, Inc.'s debt to equity ratio is 0.30, which means that the company's assets are healthy financed, signaling financial stability. READ MORE: A ratio under 0.60 means the company finances its assets with own equity, signaling financial stability and good management.

D.R. Horton, Inc.'s debt has increased relative to shareholder equity from 0.24 last year to 0.30 today, signaling weakened financials

D.R. Horton, Inc. has a net debt to EBITDA ratio of 0.63x, which is below the 3.00x threshold, indicating healthy leverage and financial stability

D.R. Horton, Inc.'s interest coverage ratio of 42.51 indicates that earnings with good margin can cover interest payments on company debt

D.R. Horton, Inc.'s profit margin has decreased (-29.17%) in the last year from 12.92% to 9.15%, signaling decreasing performance

D.R. Horton, Inc.'s short-term assets of $34.14G exceed its short-term liabilities of $1.96G

D.R. Horton, Inc.'s return on assets of 8.36% is higher than the 5.00% threshold, indicating efficient asset utilization

D.R. Horton, Inc.'s return on equity of 12.77%, is lower than 15.00%, indicating bad performance

D.R. Horton, Inc.'s operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation

D.R. Horton, Inc. had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings

D.R. Horton, Inc. has positive free cash flow, indicating the company generates cash after capital expenditures

D.R. Horton, Inc. has a free cash flow yield of 7.89%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

D.R. Horton, Inc.'s yearly earnings has decreased -24.62% since last year from $4.76G to $3.59G, signaling decreasing performance

D.R. Horton, Inc.'s yearly revenue has decreased -6.93% since last year from $36.80G to $34.25G, signaling decreasing performance

ROIC 8.54% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.

D.R. Horton, Inc.'s 3-year revenue CAGR of 0.76% is positive, indicating growing revenue over the past 3 years

D.R. Horton, Inc. had revenue growth in 4.00 out of 5 years, indicating consistent revenue performance

D.R. Horton, Inc. had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity

D.R. Horton, Inc. is undervalued relative to its fair value price of 189.76 based on Discounted Cash Flow model

D.R. Horton, Inc. has an earnings yield of 7.14%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

D.R. Horton, Inc. is overvalued relative to its fair value price of 105.96 based on EBITDA multiple model

D.R. Horton, Inc. has an EV/EBITDA ratio of 9.23x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

D.R. Horton, Inc. is undervalued relative to its fair value price of 361.32 based on Earnings Fair Value model

D.R. Horton, Inc. has no meaningful EPS growth rate; PEG ratio cannot be computed.

D.R. Horton, Inc. has a price-to-book ratio of 1.75x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

D.R. Horton, Inc. has a price-to-sales ratio of 1.28x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue