Pultegroup
Through the investors’ lenses
Each of these investors has said in public what they look at before buying. Click a name to see how this company measures up — a tick where it passes one of their tests, a cross where it does not.
Warren Buffett 3/3
| Measure | PHM | Checked against | |
|---|---|---|---|
| Owner earnings | $2.21bn | positive | ✓ |
| Return on equity | 17.1% | median 11.7% | ✓ |
| Debt to equity | 0.00x | median 0.79x | ✓ |
| Operating margin | — | median 15.0% | — |
Passes 3 of 3. To be clear: Warren Buffett has never said anything about Pultegroup. These are the company’s own figures put through the tests he described. What he looks at, and why →
Terry Smith 1/2
| Measure | PHM | Checked against | |
|---|---|---|---|
| Return on capital employed | — | median 10.1% | — |
| Cash conversion | 0.84x | median 1.78x | ✗ |
| Operating margin | — | median 15.0% | — |
| Debt to equity | 0.00x | median 0.79x | ✓ |
Passes 1 of 2. To be clear: Terry Smith has never said anything about Pultegroup. These are the company’s own figures put through the tests he described. What he looks at, and why →
Charlie Munger 1/1
| Measure | PHM | Checked against | |
|---|---|---|---|
| Return on capital employed | — | median 10.1% | — |
| Return on equity | 17.1% | median 11.7% | ✓ |
| Operating margin | — | median 15.0% | — |
Passes 1 of 1. To be clear: Charlie Munger has never said anything about Pultegroup. These are the company’s own figures put through the tests he described. What he looks at, and why →
Chuck Akre 3/4
| Measure | PHM | Checked against | |
|---|---|---|---|
| Return on equity | 17.1% | median 11.7% | ✓ |
| Debt to equity | 0.00x | median 0.79x | ✓ |
| Cash conversion | 0.84x | median 1.78x | ✗ |
| Return on equity, sustained | 9 of 10 | 8 of 10 above median | ✓ |
Passes 3 of 4. To be clear: Chuck Akre has never said anything about Pultegroup. These are the company’s own figures put through the tests he described. What he looks at, and why →
Philip Fisher 1/1
| Measure | PHM | Checked against | |
|---|---|---|---|
| Operating margin | — | median 15.0% | — |
| Net margin | 12.8% | median 10.2% | ✓ |
| Return on capital employed | — | median 10.1% | — |
Passes 1 of 1. To be clear: Philip Fisher has never said anything about Pultegroup. These are the company’s own figures put through the tests he described. What he looks at, and why →
Walter Schloss 1/1
| Measure | PHM | Checked against | |
|---|---|---|---|
| Current ratio | — | median 1.25x | — |
| Debt to equity | 0.00x | median 0.79x | ✓ |
Passes 1 of 1. To be clear: Walter Schloss has never said anything about Pultegroup. These are the company’s own figures put through the tests he described. What he looks at, and why →
Benjamin Graham 1/1
| Measure | PHM | Checked against | |
|---|---|---|---|
| Current ratio | — | 2.00x published | — |
| Long-term debt to working capital | — | 1.00x published | — |
| Positive earnings, ten years running | 10 yrs | 10 published | ✓ |
Passes 1 of 1. To be clear: Benjamin Graham has never said anything about Pultegroup. These are the company’s own figures put through the tests he described. What he looks at, and why →
Peter Lynch 2/2
| Measure | PHM | Checked against | |
|---|---|---|---|
| Debt to equity | 0.00x | median 0.79x | ✓ |
| Net margin | 12.8% | median 10.2% | ✓ |
Passes 2 of 2. To be clear: Peter Lynch has never said anything about Pultegroup. These are the company’s own figures put through the tests he described. What he looks at, and why →
| Basis | Payout | Why |
|---|---|---|
| GAAP earnings | 8.3% | whyThe figure most screeners publish. |
| Operating cash flow | 9.4% | whyAbsorbs working-capital swings that earnings do not. |
| Free cash flow | 10.1% | whyAfter maintaining the business. |
Spread between highest and lowest: 1.8 percentage points. Same filings, different denominators.
Coverage rating 58 / 100 — Tight. ? Peer standing 40/50Direction 18/30Stability 0/20
Free cash flow payout, last 6 years
| Fiscal year | Payout |
|---|---|
| 2025-12-31 | 10.1% |
| 2024-12-31 | 10.7% |
| 2023-12-31 | 6.8% |
| 2022-12-31 | 25.9% |
| 2021-12-31 | 15.9% |
| 2020-12-31 | 7.5% |
81% of the 74 industrials here pay out more — comfortable for the sector.
The arithmetic
- GAAP earnings — dividends declared per share $0.920 ÷ diluted EPS $11.12
- Operating cash flow — dividends paid $177m ÷ operating cash flow $1,871m
- Free cash flow — dividends paid $177m ÷ (operating cash flow $1,871m − capex $123m)
Where the figures came from
- 10-K filed 2026-02-04 · accession 0000822416-26-000007
All public at sec.gov — you should not have to take our word for it.
Caveats on this company
- ebitda built from net income (no operating income reported)
Computed straight from SEC XBRL. A number that looks wrong to you is more useful to us than agreement — tell us.
What the free cash flow payout ratio measures, and where every company here sits on it.
Also on: rated tight · when it files.
When this changes
Every figure above is recomputed whenever Pultegroup files. The monthly letter carries what filed, what moved, and one finding computed across every company here.