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.


3 Tiny Stocks Primed to Explode The world's greatest investor — Warren Buffett — has a simple formula for making big money in the markets. He buys up valuable assets when they are very cheap. For stock market investors that means buying up cheap small cap stocks like these with huge upside potential.

We've set up an alert service to help smart investors take full advantage of the small cap stocks primed for big returns.

Click here for full details and to join for 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

IT Tech Packaging Inc. (ITP) stock gains during pre-market. Here’s what’s happening?

IT Tech Packaging Inc. (NASDAQ: ITP) stock gained by 7.53% at last close while the ITP stock price rises by 2.04% in the pre-market...

Why did The9 Limited (NCTY) stock turnaround in the after-hours on Friday?

The9 Limited (NCTY) shares gained 6.87% in after-hours on Friday, July 30, 2021, and closed the weekly trading at $11.98 per share. in the...

Energous Corporation Inc. (WATT) stock declines during after-market. Here’s to know why?

Energous Corporation Inc. (WATT) stock gained by 7.05% at last close whereas the WATT stock price plunged by 7.82% in the after-hours trading session....

AMAZON Inc. (AMZN) stock fell during after-market. Here’s the update

Amazon Inc. (NASDAQ: AMZN) stock plunged by 0.84% at last close however moving ahead the AMZAN share price also declines by 7.44% in the...

Cocrystal Pharma Inc. (COCP) stock soars during current market. Here’s what you should know

Cocrystal Pharma Inc. (NASDAQ: COCP) stock gains by 17.44% in the current market trading session. Cocrystal Pharma, Inc. is a clinical-stage biotechnology firm focused...

Best Inc. (BEST) stock gains during current market. Here’s the update?

Best Inc. (NASDAQ: BEST) stock rises by 5.45% during the current market. BEST Inc. is a prominent Chinese supplier of comprehensive smart supply chain...

Dolphin Entertainment Inc. (DLPN) stock rises during current market. Let’s find out why?

Dolphin Entertainment Inc. (NASDAQ: DLPN) stock gains by 17.47% to $9.21 today in the current market trading. Dolphin Entertainment is a leading independent entertainment...

General Electric Company Inc. (GE) stock sky-rocketing during pre-market. Here’s what you should know

General Electric Company Inc. (NASDAQ: GE) stock plunged by 2.56% at last close whereas the GE stock price surged massively during pre-market by 704.32%....

Related News

IT Tech Packaging Inc. (ITP) stock gains during pre-market. Here’s what’s happening?

IT Tech Packaging Inc. (NASDAQ: ITP) stock gained by 7.53% at last close while the ITP stock price rises by 2.04% in the pre-market...

Why did The9 Limited (NCTY) stock turnaround in the after-hours on Friday?

The9 Limited (NCTY) shares gained 6.87% in after-hours on Friday, July 30, 2021, and closed the weekly trading at $11.98 per share. in the...

Energous Corporation Inc. (WATT) stock declines during after-market. Here’s to know why?

Energous Corporation Inc. (WATT) stock gained by 7.05% at last close whereas the WATT stock price plunged by 7.82% in the after-hours trading session....

AMAZON Inc. (AMZN) stock fell during after-market. Here’s the update

Amazon Inc. (NASDAQ: AMZN) stock plunged by 0.84% at last close however moving ahead the AMZAN share price also declines by 7.44% in the...

Cocrystal Pharma Inc. (COCP) stock soars during current market. Here’s what you should know

Cocrystal Pharma Inc. (NASDAQ: COCP) stock gains by 17.44% in the current market trading session. Cocrystal Pharma, Inc. is a clinical-stage biotechnology firm focused...

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

SPECIAL GIFT

WE HAVE A GIFT FOR YOU

Download Free eBook For

7 GROWTH STOCKS FOR 2021

100% free. stop anytime no spam