Is There Still Significant Potential for Green Brick Partners After Its Multi-Year Growth Leading to 2025?
Written by Emily J. Thompson, Senior Investment Analyst
Source: Yahoo Finance
Updated: 1 hour ago0mins
Current Stock Performance: Green Brick Partners has seen a slight decline of 3.2% recently but remains up 4.2% over the past month and has achieved an 18.7% gain year-to-date, alongside significant long-term growth of 176.1% over three years and 197.9% over five years.
Valuation Analysis: The company scores only 2 out of 6 on valuation checks, indicating it is undervalued on some measures but is considered overvalued by 156.7% based on a Discounted Cash Flow (DCF) analysis, which estimates its intrinsic value at approximately $25.61 per share compared to the current price of around $65.
Price to Earnings Ratio: Green Brick's Price to Earnings (PE) ratio is about 8.5x, which is close to its peers but below the industry average, suggesting it may be undervalued based on earnings despite its strong performance.
Narrative Framework for Valuation: The article introduces a Narrative framework that connects beliefs about a company's future performance with financial forecasts, allowing investors to assess fair value; differing narratives about Green Brick's future could lead to varied fair value estimates between $50 and $80 per share.
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Analyst Views on GRBK
Wall Street analysts forecast GRBK stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for GRBK is 71.00 USD with a low forecast of 71.00 USD and a high forecast of 71.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
1 Analyst Rating
0 Buy
1 Hold
0 Sell
Hold
Current: 66.210
Low
71.00
Averages
71.00
High
71.00
Current: 66.210
Low
71.00
Averages
71.00
High
71.00
Texas Capital
Buy
initiated
$71
2025-06-17
Reason
Texas Capital
Price Target
$71
2025-06-17
initiated
Buy
Reason
Citizens Capital Markets
Aaron Hecht
Hold
Reiterates
n/a
2025-03-10
Reason
Citizens Capital Markets
Aaron Hecht
Price Target
n/a
2025-03-10
Reiterates
Hold
Reason
See All Ratings
About GRBK
Green Brick Partners, Inc. is a diversified homebuilding and land development company. The Company is engaged in all aspects of the homebuilding process, including land acquisition and development, entitlements, design, construction, title and mortgage services, marketing and sales and the creation of brand images at its residential neighborhoods and master planned communities. The Company operates through three segments: Builder operations Central, Builder operations Southeast, and Land Development. The Builder operations Central segment represents operations by its builders in Texas. The Builder operations Southeast segment represents operations by its builders in Georgia and Florida. The Land Development segment acquires land for the development of residential lots that are transferred to its controlled builders or sold to third party homebuilders. Its homebuilding projects include single family homes, townhomes, condos, luxury homes, and patio homes.
About the author
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Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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