Home Trending Stocks 3 Best Homebuilder Stocks to Buy Going Forward

3 Best Homebuilder Stocks to Buy Going Forward

The homebuilder industry involves a lot of diversification. Let’s have a look at the best homebuilder stocks.

During the preCOVID-19 era, the homebuilding industry was growing smoothly, bringing in a lot of new things in the market. After the lockdown, things slowed down and the construction was stopped on many sites due to social distancing. This had an impact on the homebuilder stocks, just like any other sector.


The 2021 Backdoor Crypto Portfolio (free)

Even if you’re not actively in crypto, you deserve to know what’s actually going on...

Because while leading assets such as Bitcoin (BTC) and Ethereum (ETH) are climbing in value, a select group of public “crypto stocks” are surging right along with them. More importantly, these stocks are outpacing the returns these leading crypto assets aren already producing.

Click here to get the full story… along with our long list of backdoor Bitcoin strategies. It’s free.

Sponsored


However, things have once again come to life and construction has swiftly begun. The construction industry involves everything from initial project planning to architecture design and interior work. We have many companies that have made their way into the construction industry.

So, let’s have a look at the potential homebuilder stocks for investment in the long-term run.

Toll Brothers (TOL)

Toll Brothers (TOL) is the nation’s leading builder of luxury homes. The company has a great footprint in some of the best housing areas across the U.S.such as Arizona, Texas, Florida, Nevada, and many other beautiful areas.

After a slow first half of the year, things started to get in shape for the Toll Brothers in the third quarter. However, the company was able to grab key contracts for the future during the meanwhile. This June was the best in the firm’s history for contracts of houses.

During Q3 2020, the company recorded strong demand and backlog. Things even got better in the fourth quarter.The CEO of the company stated that he has experienced the strongest housing market in the past 30 years.

The company reported that in Q4 the net signed contracts were around 3,407 homes and $2.74 billion were the highest totals for any quarter in its history. This reflects 68% in homes and 63% in dollars from the prior-year period, respectively. The company is experiencing strong demand in the ongoing quarter, too.

Toll Brother expects the margins to increase by 21.5% by 2021, almost similar to the pre-COVID levels. Toll Brothers (TOL) is one of the most sustainable stocks with high potential. So, it can be a great bet in the long-term run.

D.R. Horton (DHI)

D.R. Horton (DHI) is one of the top growth stocks for the long-term in-house construction sector. It is the largest homebuilder in the U.S. by the number of units sold. This makes DHI stock a valuable and strong investment for long-term growth.

The reason why investing in homebuilder stocks would bring you high profits isthe rising demand.In the next year, house building demand will be at its peak amid the construction pause early this year.

The company has a strong reputation and that’s the reason it is the leading homebuilding company in the country. Moreover, the company has a history of low debt levels that gives an extra edge to manage tough situations like a global pandemic. This helps the company in achieving strong profits quite often, along with high cash flow.

D.R. Horton is one of those few house-building firms that pay dividends to its shareholder. Currently, the company has a dividend yield of 1.13%.

All in all, D.R. Horton is a stock that is a good buy option for investors if they are looking to invest in homebuilder stocks.

M.D.C. Holdings (MDC)

M.D.C. Holdings (MDC), whose subsidiaries build homes under the name of “Richmond American Homes,” ranks among the top 15 housebuilding firms in the country. MDC stock has been on a bullish run since dropping back in mid-March. The stock has bounced back quite significantly with increasing home demand over the past two quarters.

MDC recorded a 75% increased in net new home orders in the first two weeks of Q3, to 2,477. The company posted strong top and bottom-line growth in the third quarter. The sales revenue was up by 33%, while the net income soared at nearly 3 times year-over-year.

The company has a dividend yield of 3.22%, as we write this. M.D.C. Holdings, with 50% higher backlog sales at this quarter’s end, is expected to carry the momentum into 2021.

Get The Best Stocks To Trade Every Day!

Join now to get the NewsHeater.com pre-market morning brief 100% free

Must Read

Why Is BTZI Stock Increasing Today?

The stock price of BOTS, Inc. (OTCPink: BTZI) has been rising more than 7% today and was buoying at $0.1266 at the last check....

Why Has The KBSF Stock Price Gained 10% In Last Session?

As of Friday's normal trading session, the price of KBS Fashion Group Limited (NASDAQ: KBSF) rose $0.26 or 9.96% to conclude at $2.87. KBS...

Why Royal Bank of Canada (RY) stock plummeted in after-hours on Friday?

Royal Bank of Canada (RY) stock lost 64.36% in the extended hour trading session on Friday, April 16, 2021. The RY stock gained merely...

Why Did The CMCL Stock Rise By 8% In Last Trading?

Caledonia Mining Corporation Plc (NYSE: CMCL) gained 8.91% during the trading session on Thursday. The share price reached a low of $13.70 and a...

Why Progyny Inc (PGNY) stock gained on Thursday, April 15?

Progyny Inc (PGNY) stock gained 7.31% in the after-hours session on Thursday, April 15, 2021, after it gained 0.94% in the early session.  PGNY...

Is This Why The APLD Stock Skyrocketed Last Trading?

Applied Science Products, Inc. (OTCPK: APLD) closed at $0.635 and experienced a 215.92% increase on Friday. A total of 2.07M shares of Applied Science...

The CRSS Stock Increased 82% In The Last Session Due To What?

Stock of Crossroads Systems, Inc. (OTCQX: CRSS) gained 81.82% or $18.00 in Friday's trading session, closing the day at $40.00 a share. Crossroads Systems...

How Did The ZVO Stock Appreciate 9% In The Last Trading Session?

Zovio Inc (NASDAQ: ZVO) normally sees about 413.34K shares traded on a regular business day but on a Friday it saw a bit higher...

Related News

Why Is BTZI Stock Increasing Today?

The stock price of BOTS, Inc. (OTCPink: BTZI) has been rising more than 7% today and was buoying at $0.1266 at the last check....

Why Has The KBSF Stock Price Gained 10% In Last Session?

As of Friday's normal trading session, the price of KBS Fashion Group Limited (NASDAQ: KBSF) rose $0.26 or 9.96% to conclude at $2.87. KBS...

Why Royal Bank of Canada (RY) stock plummeted in after-hours on Friday?

Royal Bank of Canada (RY) stock lost 64.36% in the extended hour trading session on Friday, April 16, 2021. The RY stock gained merely...

Why Did The CMCL Stock Rise By 8% In Last Trading?

Caledonia Mining Corporation Plc (NYSE: CMCL) gained 8.91% during the trading session on Thursday. The share price reached a low of $13.70 and a...

Why Progyny Inc (PGNY) stock gained on Thursday, April 15?

Progyny Inc (PGNY) stock gained 7.31% in the after-hours session on Thursday, April 15, 2021, after it gained 0.94% in the early session.  PGNY...

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Get The Best Stocks To Trade Every Day!

Join now to get the NewsHeater.com pre-market morning brief 100% free

Get The Best Stocks To Trade Every Day!

Join now to get the NewsHeater.com pre-market morning brief 100% free

We do not sell or share your information with anyone.

Get The Best Stocks To Trade Every Day!...100% Free

We do not sell or share your information with anyone.

Get Best Morning Financial Newsletter... 100% Free

Best stocks ideas

Analysts’ Upgrades & Downgrades

Insider Watchlist

Important Earnings

We do not sell or share your information with anyone.