DR Horton Inc (DHI)vsToll Brothers Inc (TOL)
DHI
DR Horton Inc
$133.12
-3.52%
CONSUMER CYCLICAL · Cap: $38.75B
TOL
Toll Brothers Inc
$132.00
-3.35%
CONSUMER CYCLICAL · Cap: $12.51B
Smart Verdict
WallStSmart Research — data-driven comparison
DR Horton Inc generates 198% more annual revenue ($33.52B vs $11.25B). TOL leads profitability with a 12.3% profit margin vs 9.9%. TOL appears more attractively valued with a PEG of 0.99. TOL earns a higher WallStSmart Score of 75/100 (B+).
DHI
Buy55
out of 100
Grade: C
TOL
Strong Buy75
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-119.0%
Fair Value
$74.80
Current Price
$133.12
$58.32 premium
Margin of Safety
+74.4%
Fair Value
$629.93
Current Price
$132.00
$497.93 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Reasonable price relative to book value
Attractively priced relative to earnings
Reasonable price relative to book value
Safe zone — low bankruptcy risk
Growing faster than its price suggests
15.4% revenue growth
Earnings expanding 25.1% YoY
Areas to Watch
Weak financial health signals
Revenue declined 9.5%
Earnings declined 22.2%
Weak financial health signals
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : DHI
The strongest argument for DHI centers on Altman Z-Score, P/E Ratio, Price/Book. PEG of 1.09 suggests the stock is reasonably priced for its growth.
Bull Case : TOL
The strongest argument for TOL centers on P/E Ratio, Price/Book, Altman Z-Score. Revenue growth of 15.4% demonstrates continued momentum. PEG of 0.99 suggests the stock is reasonably priced for its growth.
Bear Case : DHI
The primary concerns for DHI are Piotroski F-Score, Revenue Growth, EPS Growth.
Bear Case : TOL
The primary concerns for TOL are Piotroski F-Score, Free Cash Flow.
Key Dynamics to Monitor
DHI profiles as a value stock while TOL is a growth play — different risk/reward profiles.
TOL carries more volatility with a beta of 1.45 — expect wider price swings.
TOL is growing revenue faster at 15.4% — sustainability is the question.
DHI generates stronger free cash flow (827M), providing more financial flexibility.
Bottom Line
TOL scores higher overall (75/100 vs 55/100) and 15.4% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
DR Horton Inc
CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA
D.R. Horton, Inc. is a home construction company incorporated in Delaware and headquartered in Arlington, Texas.
Toll Brothers Inc
CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA
Toll Brothers, Inc. designs, builds, markets, sells and manages the financing of a variety of detached and attached homes in luxury residential communities in the United States. The company is headquartered in Horsham, Pennsylvania.
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