HOV Valuation

Hovnanian Enterprises Inc

Add to Watchlist

Advanced Chart

123.990

+4.52(3.783%)1D

Overview
Forecast
Valuation
Earnings

HOV Relative Valuation

HOV's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, HOV is overvalued; if below, it's undervalued.

Historical Valuation

Hovnanian Enterprises Inc (HOV) is now in the Fair zone, suggesting that its current forward PS ratio of 0.23 is considered Fairly compared with the five-year average of 1.44. The fair price of Hovnanian Enterprises Inc (HOV) is between 93.43 to 188.69 according to relative valuation methord.

Relative Value

Fair Zone

93.43-188.69

Current Price：122.99

Fair

11.90

Trailing

Forward

0.00

EV/EBITDA

Hovnanian Enterprises Inc. (HOV) has a current EV/EBITDA of 0.00. The 5-year average EV/EBITDA is 0.67. The thresholds are as follows: Strongly Undervalued below -5.08, Undervalued between -5.08 and -2.21, Fairly Valued between 3.54 and -2.21, Overvalued between 3.54 and 6.41, and Strongly Overvalued above 6.41. The current Forward EV/EBITDA of 0.00 falls within the Historic Trend Line -Fairly Valued range.

7.74

EV/EBIT

Hovnanian Enterprises Inc. (HOV) has a current EV/EBIT of 7.74. The 5-year average EV/EBIT is 1.87. The thresholds are as follows: Strongly Undervalued below -7.88, Undervalued between -7.88 and -3.00, Fairly Valued between 6.74 and -3.00, Overvalued between 6.74 and 11.62, and Strongly Overvalued above 11.62. The current Forward EV/EBIT of 7.74 falls within the Overvalued range.

0.23

Hovnanian Enterprises Inc. (HOV) has a current PS of 0.23. The 5-year average PS is 0.03. The thresholds are as follows: Strongly Undervalued below -0.12, Undervalued between -0.12 and -0.04, Fairly Valued between 0.11 and -0.04, Overvalued between 0.11 and 0.18, and Strongly Overvalued above 0.18. The current Forward PS of 0.23 falls within the Strongly Overvalued range.

0.00

P/OCF

Hovnanian Enterprises Inc. (HOV) has a current P/OCF of 0.00. The 5-year average P/OCF is -3.60. The thresholds are as follows: Strongly Undervalued below -34.75, Undervalued between -34.75 and -19.17, Fairly Valued between 11.98 and -19.17, Overvalued between 11.98 and 27.56, and Strongly Overvalued above 27.56. The current Forward P/OCF of 0.00 falls within the Historic Trend Line -Fairly Valued range.

0.00

P/FCF

Hovnanian Enterprises Inc. (HOV) has a current P/FCF of 0.00. The 5-year average P/FCF is -1.42. The thresholds are as follows: Strongly Undervalued below -13.69, Undervalued between -13.69 and -7.55, Fairly Valued between 4.72 and -7.55, Overvalued between 4.72 and 10.86, and Strongly Overvalued above 10.86. The current Forward P/FCF of 0.00 falls within the Historic Trend Line -Fairly Valued range.

Hovnanian Enterprises Inc (HOV) has a current Price-to-Book (P/B) ratio of 1.01. Compared to its 3-year average P/B ratio of 1.55 , the current P/B ratio is approximately -34.63% higher. Relative to its 5-year average P/B ratio of -0.42, the current P/B ratio is about -341.51% higher. Hovnanian Enterprises Inc (HOV) has a Forward Free Cash Flow (FCF) yield of approximately -4.12%. Compared to its 3-year average FCF yield of 28.65%, the current FCF yield is approximately -114.39% lower. Relative to its 5-year average FCF yield of 40.64% , the current FCF yield is about -110.15% lower.

1.01

P/B

Median3y

1.55

Median5y

-0.42

-4.12

FCF Yield

Median3y

28.65

Median5y

40.64

Competitors Valuation Multiple

The average P/S ratio for HOV's competitors is 0.62, providing a benchmark for relative valuation. Hovnanian Enterprises Inc Corp (HOV) exhibits a P/S ratio of 0.23, which is -63.84% above the industry average. Given its robust revenue growth of -3.09%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

HOV.N

Hovnanian Enterprises Inc

United Homes Group Inc

Smith Douglas Homes Corp

Comstock Holding Companies Inc

Loss

18.81%

125.05M

Performance Decomposition

Market capitalization of HOV decreased by 44.75% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 3.59 to 4.25.

The secondary factor is the Revenue Growth, contributed -3.09%to the performance.

Overall, the performance of HOV in the past 1 year is driven by P/E Change. Which is more unsustainable.

-3.09%

708.38M → 686.47M

Revenue Growth

-60.03%

7.18 → 2.87

Margin Expansion

18.37%

3.59 → 4.25

P/E Change

-44.75%