Sifting through countless of stocks in the Household Durables industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in Taylor Morrison Home Corporation or KB Home because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.
Read on to learn how Taylor Morrison Home Corporation and KB Home compare based on key financial metrics to determine which better meets your investment needs.
About Taylor Morrison Home Corporation and KB Home
Taylor Morrison Home Corporation, together with its subsidiaries, operates as a land developer and homebuilder in the United States. It designs, builds, and sells single and multi-family detached and attached homes; and develops lifestyle and master-planned communities. The company also develops and constructs multi-use properties comprising commercial space, retail, and multi-family properties under the Urban Form brand name. In addition, it offers financial, title insurance, and closing settlement services. Further, the company engages in the build-to-rent homebuilding business under the Yardly brand name. It operates under the Taylor Morrison, Darling Homes Collection by Taylor Morrison, and Esplanade brand names in Arizona, California, Colorado, Florida, Georgia, Indiana, Nevada, North and South Carolina, Oregon, Texas, and Washington. Taylor Morrison Home Corporation was founded in 1936 and is headquartered in Scottsdale, Arizona.
KB Home operates as a homebuilding company in the United States. The company operates through four segments: West Coast, Southwest, Central, and Southeast. It builds and sells a variety of homes, including attached and detached single-family residential homes, townhomes, and condominiums primarily for first-time, first move-up, second move-up, and active adult homebuyers. The company also provides financial services, such as mortgage banking services comprising residential consumer mortgage loan originations to homebuyers; property and casualty insurance services, as well as earthquake, flood, and personal property insurance products to homebuyers; and title services. It conducts operations in Arizona, California, Colorado, Florida, Idaho, Nevada, North Carolina, Texas, and Washington. The company was formerly known as Kaufman and Broad Home Corporation and changed its name to KB Home in January 2001. KB Home was founded in 1957 and is based in Los Angeles, California.
Latest Household Durables and Taylor Morrison Home Corporation, KB Home Stock News
As of December 2, 2025, Taylor Morrison Home Corporation had a $6.2 billion market capitalization, compared to the Household Durables median of $1.7 million. Taylor Morrison Home Corporation’s stock is NA in 2025, NA in the previous five trading days and down 14.65% in the past year.
Currently, Taylor Morrison Home Corporation’s price-earnings ratio is 7.6. Taylor Morrison Home Corporation’s trailing 12-month revenue is $8.4 billion with a 10.2% net profit margin. Year-over-year quarterly sales growth most recently was -1.2%. Analysts expect adjusted earnings to reach $7.846 per share for the current fiscal year. Taylor Morrison Home Corporation does not currently pay a dividend.
Currently, KB Home’s price-earnings ratio is 8.9. KB Home’s trailing 12-month revenue is $6.5 billion with a 7.9% net profit margin. Year-over-year quarterly sales growth most recently was -7.5%. Analysts expect adjusted earnings to reach $6.408 per share for the current fiscal year. KB Home currently has a 1.6% dividend yield.
How We Compare Taylor Morrison Home Corporation and KB Home Stock Grades
Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.
AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at Taylor Morrison Home Corporation and KB Home’s stock grades to see how they measure up against one another.
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Taylor Morrison Home Corporation and KB Home Stock Value Grades
| Company | Ticker | Value |
| Taylor Morrison Home Corporation | TMHC | A |
| KB Home | KBH | A |
Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection.
Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.
AAII’s A+ Investor Value Grade derives from a stock’s value score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are a good value and so on.
Taylor Morrison Home Corporation has a Value Score of 95, which is Deep Value.
KB Home has a Value Score of 92, which is Deep Value.
The Value Stock Winner: It’s a Tie!
Looking at the Value Grade breakdown above, both Taylor Morrison Home Corporation and KB Home have a Value Grade of A. For investors who focus solely on a company’s valuation, you will need to conduct further research into both of these companies’ other metrics to see if they could be good additions to your portfolio. It’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.
Taylor Morrison Home Corporation and KB Home Growth Grades
| Company | Ticker | Growth |
| Taylor Morrison Home Corporation | TMHC | A |
| KB Home | KBH | C |
The foundation of growth investing is seeking out stocks of companies exhibiting strong, consistent and prolonged growth that is expected to continue into the future.
In order to compute the growth score and assign it a letter grade, the percentile ranks for each of three components‐consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations‐must be determined. These three rank figures are added together, and the sum is ranked against the entire stock universe to arrive at a company’s Growth Score to create an equal distribution of grades.
The companies in the bottom 20% of the stock universe receive Growth Grades of F, considered to be very weak, while those in the top 20% receive A grades, which are considered very strong.
Taylor Morrison Home Corporation has a Growth Score of 87, which is Very Strong.
KB Home has a Growth Score of 42, which is Average.
The Growth Grade Winner: Taylor Morrison Home Corporation
As you can clearly see from the Growth Grade breakdown above, Taylor Morrison Home Corporation has a more attractive growth grade than KB Home. For investors who focus solely on how a company is growing relative to other companies in the same industry, Taylor Morrison Home Corporation could be a good stock to add to their portfolio. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.
Taylor Morrison Home Corporation and KB Home’s Estimate Revisions Grades
| Company | Ticker | Earnings Estimate |
| Taylor Morrison Home Corporation | TMHC | C |
| KB Home | KBH | C |
Earnings estimate revisions scores consider the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, positive surprises beget further positive surprises‐or at least continued sales growth (the exact opposite is generally true, too).
Estimate revisions offer an indication of what analysts are thinking about the short-term prospects of a firm. Estimate revisions are based on the statistical significance of a firm’s last two quarterly earnings surprises and the percentage change in its consensus estimate for the current fiscal year over the past month and past three months.
Taylor Morrison Home Corporation has a Earnings Estimate Score of 43, which is Neutral.
KB Home has a Earnings Estimate Score of 45, which is Neutral.
The Earnings Estimate Revisions Stock Winner: No Clear Winner
Neither Taylor Morrison Home Corporation or KB Home has an Earnings Estimate Revisions Grade that could be considered a “winner.” Investors considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolios. It’s important to look at a wide range of financial metrics in order to determine if Taylor Morrison Home Corporation or KB Home is the better investment when it comes to estimate revisions.
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Other Taylor Morrison Home Corporation and KB Home Grades
In addition to Estimate Revisions, Growth and Value, A+ Investor also provides grades for Momentum and Quality.
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Momentum grades help uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming.
AAII’s A+ Investor Quality Grade comes from the ranking of key metrics. Specifically, the quality grade is the percentile rank of the composite of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and F-Score.
These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether Taylor Morrison Home Corporation and KB Home pass any of our 60+ stock screens that have outperformed the market since their creation.
So, Which Is the Better Investment, Taylor Morrison Home Corporation or KB Home Stock?
Overall, Taylor Morrison Home Corporation stock has a Value Score of 95, Growth Score of 87 and Estimate Revisions Score of 43.
KB Home stock has a Value Score of 92, Growth Score of 42 and Estimate Revisions Score of 45.
Comparing Taylor Morrison Home Corporation and KB Home’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.
Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.
A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.
AAII Disclaimer
We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.
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