• Earnings per Share (EPS) is anticipated to be $1.96 for the quarter ending December 2025, marking a 24.9% decline year-over-year.
• Projected revenue is expected to be around $6.65 billion, with a significant year-over-year drop of 11.9%.
• The company's financial health is robust, with a current ratio of 17.39 and a debt-to-equity ratio of 0.25.

D.R. Horton, Inc. (NYSE:DHI) is a prominent player in the homebuilding industry, known for constructing and selling homes across the United States. As a leader in the sector, DHI competes with other major homebuilders like Lennar Corporation and PulteGroup. The company is set to release its quarterly earnings on January 20, 2026, with Wall Street estimating an earnings per share (EPS) of $1.96 and projected revenue of approximately $6.65 billion.

The anticipated EPS of $1.96 for the quarter ending December 2025 marks a significant decline of 24.9% compared to the same period last year. This decrease is attributed to lower revenues, which analysts forecast to be $6.71 billion, representing an 11.9% year-over-year drop. Over the past 30 days, the consensus EPS estimate has been revised downward by 1.7%, indicating a reevaluation by analysts covering the stock.

Such revisions in earnings estimates are crucial as they often serve as a strong indicator of potential investor actions regarding the stock. Empirical research shows a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock. Investors typically rely on consensus earnings and revenue estimates to evaluate the company's performance.

DHI's financial metrics provide further insight into its market valuation. The company has a price-to-earnings (P/E) ratio of approximately 13.30, indicating the market's valuation of its earnings. The price-to-sales ratio stands at about 1.37, suggesting how much investors are willing to pay per dollar of sales. Additionally, the enterprise value to sales ratio is around 1.46, reflecting the company's total valuation relative to its sales.

DHI's liquidity and financial health are notable, with a current ratio of 17.39, indicating strong liquidity and the company's ability to cover its short-term liabilities. The debt-to-equity ratio is 0.25, showing a relatively low level of debt compared to equity. These metrics, along with an earnings yield of 7.52%, provide a comprehensive view of DHI's financial standing as it approaches its earnings release.