Is KB Home (KBH) Overvalued?
We dive into why KB Home (KBH) could be considered overvalued on 2026-07-31, based on AAII’s Value Score and Grade.Michael Rose
A+ Stock Grade Summary:
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COMPANY SUMMARY
KB Home operates as a homebuilding company in the United States. It builds and sells 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, such as 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.
Commentary & Analysis
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Discover the top 4 undervalued Household Durables stocks for Thursday, June 25 based on AAII’s Stock Grades.Jenna Brashear
Why KB Home’s (KBH) Stock Is Up 17.54%
As of Wednesday, June 24, KB Home’s KBH share price has surged by 17.54%, which has investors questioning if this is right time to sell.Jenna Brashear
Why KB Home’s (KBH) Stock Is Up 15.99%
As of Wednesday, June 24, KB Home’s KBH share price has surged by 15.99%, which has investors questioning if this is right time to sell.Rosalio Madrigal
What You Need to Know About KB Home's Q3 Earnings
KB Home's fiscal Q3 earnings report was released on Tuesday, June 23. Let's dive in to see if (KBH) missed or beat analyst's expectations.Rosalio Madrigal
Financial Summary
| Share Statistics | KBH | Industry Median |
Percentile (All Stocks) |
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| Market Cap (Mil) | $3,592.1 | $1,463.9 | 62% |
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| Shares Out (Mil) | 62.7 | 26.6 | 53% |
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| Institutional Ownership | 95.7% | 67.1% | 68% |
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| Float (Mil) | 58.4 | 52.6 | 51% |
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| Beta | 1.34 | 1.17 | 78% |
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| Avg Daily Volume (000s) | 1,031 | 69 | 70% |
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| Price Change (52-week) |
(0.1%) | 79.6% | 42% |
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| Growth | KBH | Industry Median |
Percentile (All Stocks) |
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| Sales (5yr) | 8.3% | 3.4% | 52% |
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| Net Income (5yr) | 7.7% | (0.6%) | 51% |
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| EPS (5yr) | 14.5% | 0.3% | 54 |
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| Dividends (5yr) | 18.9% | 0.0% | 78% |
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| Cash Flow (5yr) | (33.0%) | (16.2%) | 17% |
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| Estimates | Qtrly | Current Fiscal Year |
Next Fiscal Year |
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| # of Estimates | 11 | 10 | 11 | |
| Current EPS | $0.881 | $3.301 | $4.435 | |
| Month Ago EPS | $0.881 | $3.300 | $4.435 | |
| # Rev Up | 0 | 1 | 0 | |
| # Rev Down | 1 | 0 | 1 | |
| Three Months Ago EPS | $0.891 | $3.132 | $4.472 | |
| Year/Year Chg | 103.0% | (46.4%) | (11.7%) | |
| Financials | KBH | Industry Median |
Percentile (All Stocks) |
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| Sales (TTM) (Mil) | $5,504 | $2,119 | 76% |
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| Net Income (TTM) (Mil) | $272 | $54 | 72% |
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| EPS (TTM) | $4.251 | $0.600 | 84% |
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| Operating Cash Flow (TTM) (Mil) | $408 | $133 | 69% |
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| Net Cash Flow (TTM) (Mil) | ($110) | $3 | 14% |
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| Long-Term Debt (Q1) (Mil) | $1,724 | $325 | 72% |
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| Enterprise Value (Q1) (Mil) | $5,249 | $2,076 | 64% |
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| Valuation | KBH | Industry Median |
Percentile (All Stocks) |
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| P/B | 0.95 | 1.21 | 20% |
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| P/E | 14.0 | 14.8 | 32% |
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| Dividend Yield | 1.7% | 0.0% | 74% |
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| PEG (5yr hist) | 1.0 | 1.2 | 43% |
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| Ratios | KBH | Industry Median |
Percentile (All Stocks) |
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| Gross Margin | 17.7% | 26.1% | 17% |
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| Net Margin | 4.9% | 4.2% | 48% |
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| ROA | 3.9% | 3.9% | 67% |
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| ROE | 7.0% | 7.3% | 49% |
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| Liabilities to Assets | 44.0% | 45.5% | 35% |
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| F-Score | 5 | 5 | 50% |
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Passing Stock Screens
As of 8/7/2026, from a list of 60 stock screening strategies,
GURU STRATEGY
Graham--Defensive Investor (Non-Utility) Screen
Factors: Yield, Value, Quality
Credited as one of the fathers of in-depth security analysis, Graham's approach focuses on the concept of intrinsic value.
| Performance Since Inception: | 11.8% |
| +/- S&P 500: | +4.3 |
