DHI: Not rated
Published 14 Sep 2026, 08:49 BST. This is the frozen version, not the current recommendation.
Why this assessment was issued
First recorded assessment. Current data checks do not support an active rating.
A target is not published until the required checks pass. Cash generation, debt, cash and interest cover are needed before a rating is issued.
Supporting evidence
More cash remains for each dollar of profit
Cash after capital spending / profit: 1.0× for DHI, against 0.9× across 12 comparable peers.
Quarterly sales are growing
Revenue changed +0.0% from the same quarter last year, through 2026-06-30. The previous quarter’s year-on-year change was -2.3%.
Opposing evidence
Year-to-date profit is lower
Across 3 completed quarters since 2025-09-30, net income was 2,147.6m versus 2,679.9m in the matching prior-year periods (USD). Check whether the latest quarter changes that direction.
Quarterly profit fell
Net income was 904.9m, compared with 1,024.6m in the same quarter last year. Amounts are in USD.
Original assumptions and checks
| eps | 10.51 |
|---|---|
| cash | 2078700000.0 |
| debt | 7183600000.0 |
| years | 1.2073921971252566 |
| growth | -2.7607643191978726 |
| margin | 9.154150387257532 |
| profit | 3052900000.0 |
| cash_ok | False |
| debt_ok | False |
| growths | [-3.2471557395077233, -9.537632996190727, -2.274372898888022, 0.015175000270972738] |
| revenue | 33349900000.0 |
| downside | 24.460782272568427 |
| leverage | 1.2782062196404427 |
| multiple | 11.641726618705036 |
| free_cash | 3202200000.0 |
| buy_hurdle | 16.71551543117912 |
| volatility | 33.43103086235824 |
| history_end | 2026-09-11 |
| reward_risk | 0.2289004889435005 |
| annual_years | 5 |
| usable_weeks | 157 |
| history_start | 2023-09-15 |
| history_weeks | 157 |
| financial_date | 2026-06-30 |
| interest_cover | Not available |
| operating_cash | 3352600000.0 |
| uncapped_growth | -2.7607643191978726 |
| current_multiple | 13.119885823025689 |
| projected_margin | 11.268624076326086 |
| historical_margin | 13.38309776539464 |
Recent price · Passed. Weekly close dated 2026-09-11.
Suitable business model · Passed. Value operating cash flow or comparable earnings; deduct debt and other ownership claims where appropriate.
Four quarters · Passed. Four quarters ending 2026-06-30.
Current financials · Passed. Statements through 2026-06-30; factor prices dated 2026-09-11.
Annual record · Passed. 5 consecutive annual profit margins, including loss years.
Comparable earnings history · Passed. P/E is usable in 157 of 157 weeks. At least 52 usable weeks and 70% coverage are required; excluding too many loss or missing weeks would bias the target.
Earnings and price dates · Passed. Earnings-release EPS $10.51, for four quarters ending 2026-06-30.
Price risk · Passed. Risk uses the latest 52 weekly price changes.
Comparable sales growth · Passed. Growth uses the median of four quarterly year-on-year comparisons.
Positive statement earnings · Passed. Trailing statement profit is positive.
Earnings reconciliation · Passed. Release EPS is $10.51; statement-derived EPS is $10.91. The difference is within the 5% review threshold; this does not prove there are no unusual items.
Statement totals · Passed. The latest four quarters agree with the trailing snapshot within 5%.
Cash and borrowing · Review needed. Cash generation, debt, cash and interest cover are needed before a rating is issued.
Policy sm-review-2-research · Model sm-assessment-9-financial-integrity · Data c7271be7b409.