Should I Buy PHM? PHM 2026 Analysis

Should You Buy Pultegroup Inc (PHM) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Hold

Latest Price

127.260

1 Day change

3.24%

52 Week Range

142.110

Analysis Updated At

2026/01/26

PulteGroup Inc (PHM) is not a strong buy at this moment for a beginner, long-term investor with $50,000-$100,000 available for investment. The stock's technical indicators are neutral, and the financial performance shows declining trends in revenue, net income, and EPS. While there are mixed analyst ratings and price targets, the overall sentiment is cautious due to challenges in the housing market. Additionally, options data suggests bearish sentiment with a high put-call volume ratio. Given the lack of strong positive catalysts and the absence of Intellectia Proprietary Trading Signals, it is better to hold off on buying this stock for now.

Technical Analysis

The MACD is slightly positive but contracting, indicating no strong momentum. RSI is neutral at 40.91, and the stock is trading near its support level of 125.73. Moving averages are bullish (SMA_5 > SMA_20 > SMA_200), but the pivot and resistance levels suggest limited upside potential in the short term.

Options Data

Bullish

Open Interest Put-Call Ratio

Bearish

Option Volume Put-Call Ratio

Technical Summary

Sell

Buy

Positive Catalysts

Bullish moving averages and a recent price target increase by BofA to $145, citing potential catalysts like higher-margin Del Webb communities and share repurchases.

Neutral/Negative Catalysts

Declining financial performance in Q3 2025, cautious analyst outlooks citing challenges in housing affordability and weaker fundamentals, and bearish options sentiment with a high put-call volume ratio of 2.25.

Financial Performance

In Q3 2025, revenue dropped by -1.60% YoY, net income declined by -16.06% YoY, EPS fell by -11.64% YoY, and gross margin decreased by -9.07% YoY, indicating a challenging financial period.

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

Mixed ratings: BofA raised the price target to $145 with a Buy rating, while RBC Capital and Citi lowered their targets and remain cautious. UBS maintains a Buy rating with a $159 target, citing potential improvements in 2026. However, the overall sentiment is cautious due to macroeconomic challenges and housing market volatility.

12 Analyst Rating

Wall Street analysts forecast PHM stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for PHM is 138.73 USD with a low forecast of 111 USD and a high forecast of 159 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.

7 Buy

5 Hold

0 Sell

Moderate Buy

Current: 123.270

Low

111

Averages

138.73

High

159

Current: 123.270

Low

111

Averages

138.73

High

159

BofA

Rafe Jadrosich

Buy

maintain

$135 -> $145

AI Analysis

2026-01-16

Reason

BofA

Rafe Jadrosich

Price Target

$135 -> $145

AI Analysis

2026-01-16

maintain

Buy

Reason

BofA analyst Rafe Jadrosich raised the firm's price target on PulteGroup to $145 from $135 and keeps a Buy rating on the shares. After underperforming the market in 2025, homebuilder stocks have rallied sharply year-to-date, but the firm believes weaker employment and migration trends, ongoing inflation and a more competitive selling environment driven by elevated new and resale inventory will pressure fundamentals through 2026 and make it a "reset year for homebuilders," the analyst tells investors in a year ahead note on the group.

RBC Capital

Mike Dahl

Sector Perform

downgrade

$112 -> $111

2026-01-09

Reason

RBC Capital

Mike Dahl

Price Target

$112 -> $111

2026-01-09

downgrade

Sector Perform

Reason

RBC Capital analyst Mike Dahl lowered the firm's price target on PulteGroup to $111 from $112 and keeps a Sector Perform rating on the shares. Goldman remains cautious into early 2026, with housing affordability still challenging and R&R potentially inflecting later in the year, the analyst tells investors in a research note. Nonresidential markets are mixed, key risks include policy changes, rates, and tariffs, and the sector is expected to remain volatile, with homebuilders the most cautious, distribution favored, and building products OEMs offering relatively attractive valuations.

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PHM Should I Buy

PHM Should I Buy

Should You Buy Pultegroup Inc (PHM) Today? Analysis, Price Targets, and 2026 Outlook.

Technical Analysis

Options Data

Technical Summary

Positive Catalysts

Neutral/Negative Catalysts

Financial Performance

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

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