Everus (NYSE:ECG) versus PulteGroup (NYSE:PHM) Financial Analysis

PulteGroup (NYSE:PHM) and Everus (NYSE:ECG) are both construction companies, but which is the superior stock? We will contrast the two businesses based on the strength of their risk, institutional ownership, dividends, profitability, analyst recommendations, earnings and valuation.

Analyst Recommendations

This is a breakdown of current ratings for PulteGroup and Everus, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PulteGroup	0	6	9	0	2.60
Everus	0	2	2	0	2.50

PulteGroup presently has a consensus target price of $134.69, indicating a potential upside of 36.91%. Everus has a consensus target price of $73.00, indicating a potential upside of 26.53%. Given PulteGroup’s stronger consensus rating and higher possible upside, equities research analysts plainly believe PulteGroup is more favorable than Everus.

Valuation and Earnings

This table compares PulteGroup and Everus”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PulteGroup	$17.89 billion	1.10	$3.08 billion	$14.18	6.94
Everus	$3.05 billion	0.96	$143.42 million	N/A	N/A

PulteGroup has higher revenue and earnings than Everus.

Profitability

This table compares PulteGroup and Everus’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PulteGroup	17.18%	24.43%	16.57%
Everus	N/A	N/A	N/A

Insider and Institutional Ownership

89.9% of PulteGroup shares are owned by institutional investors. 0.8% of PulteGroup shares are owned by insiders. Comparatively, 0.2% of Everus shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

PulteGroup beats Everus on 11 of the 11 factors compared between the two stocks.

About PulteGroup

PulteGroup, Inc., through its subsidiaries, primarily engages in the homebuilding business in the United States. It acquires and develops land primarily for residential purposes; and constructs housing on such land. The company also offers various home designs, including single-family detached, townhomes, condominiums, and duplexes under the Centex, Pulte Homes, Del Webb, DiVosta Homes, John Wieland Homes and Neighborhoods, and American West brand names. In addition, the company arranges financing through the origination of mortgage loans primarily for homebuyers; sells the servicing rights for the originated loans; and provides title insurance policies, and examination and closing services to homebuyers. PulteGroup, Inc. was founded in 1950 and is headquartered in Atlanta, Georgia.

About Everus

Everus Construction Group is providing a full spectrum of construction services through its electrical and mechanical and transmission and distribution specialty contracting services principally in United States. Its specialty contracting services are provided to utility, transportation, commercial, industrial, institutional, renewable and other customers. Everus Construction Group is based in BISMARCK, N.D.