NVR Valuation

NVR Inc

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8068.250

-58.46(-0.719%)1D

Overview
Forecast
Valuation
Earnings

NVR Relative Valuation

NVR'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, NVR is overvalued; if below, it's undervalued.

Historical Valuation

NVR Inc (NVR) is now in the Overvalued zone, suggesting that its current forward PE ratio of 18.65 is considered Overvalued compared with the five-year average of 14.06. The fair price of NVR Inc (NVR) is between 5290.45 to 6961.99 according to relative valuation methord. Compared to the current price of 8068.25 USD , NVR Inc is Overvalued By 15.89%.

Relative Value

Fair Zone

5290.45-6961.99

Current Price：8068.25

15.89%

Overvalued

18.65

Trailing

Forward

13.40

EV/EBITDA

NVR Inc. (NVR) has a current EV/EBITDA of 13.40. The 5-year average EV/EBITDA is 9.80. The thresholds are as follows: Strongly Undervalued below 6.50, Undervalued between 6.50 and 8.15, Fairly Valued between 11.45 and 8.15, Overvalued between 11.45 and 13.09, and Strongly Overvalued above 13.09. The current Forward EV/EBITDA of 13.40 falls within the Strongly Overvalued range.

12.77

EV/EBIT

NVR Inc. (NVR) has a current EV/EBIT of 12.77. The 5-year average EV/EBIT is 10.50. The thresholds are as follows: Strongly Undervalued below 6.57, Undervalued between 6.57 and 8.54, Fairly Valued between 12.46 and 8.54, Overvalued between 12.46 and 14.43, and Strongly Overvalued above 14.43. The current Forward EV/EBIT of 12.77 falls within the Overvalued range.

2.37

NVR Inc. (NVR) has a current PS of 2.37. The 5-year average PS is 1.97. The thresholds are as follows: Strongly Undervalued below 1.29, Undervalued between 1.29 and 1.63, Fairly Valued between 2.31 and 1.63, Overvalued between 2.31 and 2.64, and Strongly Overvalued above 2.64. The current Forward PS of 2.37 falls within the Overvalued range.

17.67

P/OCF

NVR Inc. (NVR) has a current P/OCF of 17.67. The 5-year average P/OCF is 14.39. The thresholds are as follows: Strongly Undervalued below 8.82, Undervalued between 8.82 and 11.61, Fairly Valued between 17.18 and 11.61, Overvalued between 17.18 and 19.96, and Strongly Overvalued above 19.96. The current Forward P/OCF of 17.67 falls within the Overvalued range.

19.83

P/FCF

NVR Inc. (NVR) has a current P/FCF of 19.83. The 5-year average P/FCF is 15.41. The thresholds are as follows: Strongly Undervalued below 6.36, Undervalued between 6.36 and 10.88, Fairly Valued between 19.93 and 10.88, Overvalued between 19.93 and 24.46, and Strongly Overvalued above 24.46. The current Forward P/FCF of 19.83 falls within the Historic Trend Line -Fairly Valued range.

NVR Inc (NVR) has a current Price-to-Book (P/B) ratio of 6.08. Compared to its 3-year average P/B ratio of 5.34 , the current P/B ratio is approximately 13.79% higher. Relative to its 5-year average P/B ratio of 5.44, the current P/B ratio is about 11.66% higher. NVR Inc (NVR) has a Forward Free Cash Flow (FCF) yield of approximately 5.18%. Compared to its 3-year average FCF yield of 7.18%, the current FCF yield is approximately -27.91% lower. Relative to its 5-year average FCF yield of 7.01% , the current FCF yield is about -26.09% lower.

6.08

P/B

Median3y

5.34

Median5y

5.44

5.18

FCF Yield

Median3y

7.18

Median5y

7.01

Competitors Valuation Multiple

The average P/S ratio for NVR's competitors is 1.33, providing a benchmark for relative valuation. NVR Inc Corp (NVR) exhibits a P/S ratio of 2.37, which is 78.10% above the industry average. Given its robust revenue growth of -0.94%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Taylor Morrison Home Corp

Performance Decomposition

Market capitalization of NVR decreased by 12.04% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 16.27 to 17.06.

The secondary factor is the Revenue Growth, contributed -0.94%to the performance.

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

-0.94%

2.65B → 2.63B

Revenue Growth

-15.96%

15.10 → 12.69

Margin Expansion

4.86%

16.27 → 17.06

P/E Change

-12.04%