KB Home

KB Home (KBH) Stock Analysis

$42.200

+0.578 (+1.37%)At close

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High
42.465
Open
42.060
VWAP
41.98
Volume
2.24M
Mkt Cap
—
Low
41.270
Amount
94.10M
EV/EBITDA, TTM
14.05

KB Home is a homebuilding company, which builds a variety of new homes, including attached and detached single-family residential homes, townhomes and condominiums, designed primarily for first-time and first move-up, as well as second move-up and active adult, homebuyers. It offers homes in development communities, at urban in-fill locations and as part of mixed-use projects. Its segments include homebuilding and financial services. The homebuilding segments is engaged in the acquisition and development of land primarily for residential purposes. The financial services reporting segment offers property and casualty insurance and, in certain instances, earthquakes, flood and personal property insurance to its homebuyers in the same markets as its homebuilding segments and provides title services in the majority of its markets. It offers mortgage banking services, including residential consumer mortgage loan originations, to its homebuyers indirectly through KBHS Home Loans, LLC.

AI analysis of KB Home (KBH)

Sell

KB Home is not a good buy right now due to its current price of $43.13, which is close to the $43 price target set by Melius Research. The stock has a very low RSI of 19.082, indicating it is oversold, but the negative trend in net income and gross margin, which has dropped to 5.54%, suggests ongoing financial struggles. The main risk is the significant decline in stock performance, with a year-to-date change of -24.43%, indicating a challenging market environment for housing stocks.

Analyst Ratings (22)

+38.34% upside
Hold
1 Buy
16 Hold
5 Sell
Current: 42.20
Low
50.00
Average
58.38
High
71.00

Goldman Sachs

2026-10-12

Price Target

$56

Neutral

Keefe Bruyette

2026-10-05

Price Target

$54

Market Perform

Morgan Stanley

2026-10-01

Price Target

$39

Underweight

Truist

2026-09-23

Price Target

$50

Hold

Evercore ISI

2026-09-23

Price Target

$59

In Line

Valuation Metrics

The current forward P/E ratio for KB Home (KBH) is 11.57, compared to its 5-year average forward P/E of 8.20.

Forward P/E

Fair
5Y Average P/E
8.20
Current P/E
11.57
Overvalued
11.76
Undervalued
4.64

Forward EV/EBITDA

Overvalued
5Y Average EV/EBITDA
8.22
Current EV/EBITDA
14.05
Overvalued
13.72
Undervalued
2.73

Forward P/S

Fair
5Y Average P/S
0.61
Current P/S
0.50
Overvalued
0.75
Undervalued
0.47

Alphio AI Price Scenarios for KBH

Scenario prices are the last monthly forecast band of the current year. Probabilities are fixed model weights (25 / 50 / 25), not guarantees.

B

Bull

Bull · 25%KBH

$53.53

Scenario price

B

Base

Base · 50%KBH

$45.86

Scenario price

B

Bear

Bear · 25%KBH

$33.21

Scenario price

Whales holding KBH

A

azValor Asset Management SGIIC, S.A.U.

+ HoldingKBH

-1.03%

3M Return

D

Donald Smith & Co., Inc.

+ HoldingKBH

-3.61%

3M Return

Events Timeline

2026-09-23 (ET)

09:00:00

Stock Futures Mixed as Oil Prices Near $100

2026-09-22 (ET)

20:00:00

Dow Falls, Nasdaq Hits New Record Highs

16:30:00

Sees Q4 Housing Gross Profit Margin at 16.0% to 16.6%

16:30:00

Backlog of Homes Increases for First Time in Four Years to 4,398

16:30:00

FY26 Housing Gross Profit Margin Estimated at 16.0% to 16.2%

News

KBH FAQ — answered by Alphio AI

KB Home is a homebuilding company, which builds a variety of new homes, including attached and detached single-family residential homes, townhomes and condominiums, designed primarily for first-time and first move-up, as well as second move-up and active adult, homebuyers. It offers homes in development communities, at urban in-fill locations and as part of mixed-use projects. Its segments include homebuilding and financial services. The homebuilding segments is engaged in the acquisition and development of land primarily for residential purposes. The financial services reporting segment offers property and casualty insurance and, in certain instances, earthquakes, flood and personal property insurance to its homebuyers in the same markets as its homebuilding segments and provides title services in the majority of its markets. It offers mortgage banking services, including residential consumer mortgage loan originations, to its homebuyers indirectly through KBHS Home Loans, LLC. It operates in the Consumer Cyclicals sector (OPERATIVE BUILDERS industry).

KB Home is not a good buy right now due to its current price of $43.13, which is close to the $43 price target set by Melius Research. The stock has a very low RSI of 19.082, indicating it is oversold, but the negative trend in net income and gross margin, which has dropped to 5.54%, suggests ongoing financial struggles. The main risk is the significant decline in stock performance, with a year-to-date change of -24.43%, indicating a challenging market environment for housing stocks.

22 analysts cover KBH: 1 rate it Buy, 16 Hold and 5 Sell. The average price target is 58.38.

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This page is for research only and is not investment advice. Models can be wrong. Past performance does not guarantee future results.

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