PulteGroup (NYSE:PHM) & Hovnanian Enterprises, Inc. PFD DEP1/1000A (NASDAQ:HOVNP) Head to Head Analysis

Hovnanian Enterprises, Inc. PFD DEP1/1000A (NASDAQ:HOVNP) and PulteGroup (NYSE:PHM) are both consumer discretionary companies, but which is the better business? We will contrast the two companies based on the strength of their analyst recommendations, risk, dividends, profitability, earnings, valuation and institutional ownership.

Profitability

This table compares Hovnanian Enterprises, Inc. PFD DEP1/1000A and PulteGroup’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hovnanian Enterprises, Inc. PFD DEP1/1000A	N/A	N/A	N/A
PulteGroup	11.62%	15.21%	10.89%

Valuation & Earnings

This table compares Hovnanian Enterprises, Inc. PFD DEP1/1000A and PulteGroup”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hovnanian Enterprises, Inc. PFD DEP1/1000A	$2.92 billion	N/A	N/A	N/A	N/A
PulteGroup	$16.41 billion	1.48	$2.22 billion	$9.79	13.23

PulteGroup has higher revenue and earnings than Hovnanian Enterprises, Inc. PFD DEP1/1000A.

Dividends

Hovnanian Enterprises, Inc. PFD DEP1/1000A pays an annual dividend of $1.91 per share and has a dividend yield of 9.7%. PulteGroup pays an annual dividend of $1.04 per share and has a dividend yield of 0.8%. PulteGroup pays out 10.6% of its earnings in the form of a dividend. PulteGroup has raised its dividend for 7 consecutive years.

Analyst Recommendations

This is a summary of recent ratings for Hovnanian Enterprises, Inc. PFD DEP1/1000A and PulteGroup, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hovnanian Enterprises, Inc. PFD DEP1/1000A	0	0	0	0	0.00
PulteGroup	0	7	10	0	2.59

PulteGroup has a consensus target price of $143.14, suggesting a potential upside of 10.51%. Given PulteGroup’s stronger consensus rating and higher probable upside, analysts plainly believe PulteGroup is more favorable than Hovnanian Enterprises, Inc. PFD DEP1/1000A.

Insider and Institutional Ownership

89.9% of PulteGroup shares are held by institutional investors. 0.7% of PulteGroup shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

PulteGroup beats Hovnanian Enterprises, Inc. PFD DEP1/1000A on 10 of the 12 factors compared between the two stocks.

About Hovnanian Enterprises, Inc. PFD DEP1/1000A

for a complete listing of all our available career opportunities, please visit khov.com/careers. hovnanian enterprises, inc., founded in 1959 by kevork s. hovnanian, is headquartered in red bank, new jersey. the company is one of the nation’s largest homebuilders with operations in arizona, california, delaware, florida, georgia, illinois, maryland, new jersey, ohio, pennsylvania, south carolina, texas, virginia, washington, d.c. and west virginia. hovnanian is highly diversified by product type, selling a wide array of attached and detached home styles to buyers ranging from first-time purchasers to luxury buyers. as the developer of k. hovnanian’s® four seasons communities, the company is also one of the nation’s largest builders of active lifestyle communities. the company’s homes are marketed and sold under the trade names k. hovnanian® homes, brighton homes® and parkwood builders.

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.