KB Home (NYSE:KBH) right now has a current ratio of 2.98. The current ratio, also known as the working capital ratio, is a liquidity ratio that displays the proportion of current assets of a business relative to the current liabilities. The ratio is simply determined by dividing current liabilities by current assets. The ratio may be used to provide an idea of the ability of a certain outfit to pay back its liabilities with assets. Typically, the higher the current ratio the better, as the outfit may be more capable of paying back its obligations.
Investors are constantly searching for quality stocks to assist provide a increase to the portfolio. Quality can come in various forms such as a outfit that is a sales leader in a market that is growing or a outfit that is a technological leader with a proven record of success. Finding quality stocks at a bargain price is typically on the agenda for most investors. Because the economy and the equity market do not always go hand in hand, it may be paramount to analyze individual stocks. Some investors may single out to buy when the market is going up and sell when the market is going down. Other investors will opt to do the exact opposite. Whether the investor is going with the trend or against it, it can be paramount to make sure that the right types of stocks are in the portfolio. Nobody can precisely predict the future, but staying on top of portfolio holdings may assist when the paramount decisions must be made.
We can now take a quick gander at some historical share price index data. KB Home (NYSE:KBH) right now has a 10 month price index of 0.70711. The price index is determined by dividing the current equity price by the equity price ten months ago. A ratio over one shows an jolt in equity price over the timeframe. A ratio lower than one implies that the price has decreased over that time timeframe. Looking at some other time periods, the 12 month price index is 0.69852, the 24 month is 1.38496, and the 36 month is 1.55806. Narrowing in a bit closer, the 5 month price index is 0.80136, the 3 month is 0.85498, and the 1 month is right now 0.98307.
Volatility & Price
Stock volatility is a percentage that shows whether a stock is a desirable purchase. Investors look at the Volatility 12m to think through if a outfit has a low volatility percentage or not over the timeframe of a year. The Volatility 12m of KB Home (NYSE:KBH) is 34.757500. This is determined by taking weekly log normal returns and standard deviation of the equity price over one year annualized. The lower the number, a outfit is thought to have low volatility. The Volatility 3m is a similar percentage calculated by the daily log normal returns and standard deviation of the equity price over 3 months. The Volatility 3m of KB Home (NYSE:KBH) is 52.487500. The Volatility 6m is the same, except measured over the timeframe of six months. The Volatility 6m is 45.111500.
F Score, ERP5 and Magic Formula
The Piotroski F-Score is a scoring system between 1-9 that determines a outfit’s financial strength. The score helps think through if a outfit’s stock is valuable or not. The Piotroski F-Score of KB Home (NYSE:KBH) is 7. A score of nine shows a high value stock, while a score of one shows a low value stock. The score is determined by the return on assets (ROA), Cash flow return on assets (CFROA), change in return of assets, and quality of earnings. It is also determined by a change in gearing or leverage, liquidity, and change in shares in issue. The score is also calculated by change in gross margin and change in asset turnover.
Receive News & Ratings Via Email - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings with MarketBeat.com's FREE daily email newsletter.
The ERP5 Rank is an investment mechanism that analysts use to spot undervalued companies. The ERP5 looks at the Price to Book ratio, Earnings Yield, ROIC and 5 year average ROIC. The ERP5 of KB Home (NYSE:KBH) is 3826. The lower the ERP5 rank, the more undervalued a outfit is thought to be. The MF Rank (aka the Magic Formula) is a formula that pinpoints a valuable outfit trading at a good price. The formula is determined by studying at companies that have a high earnings yield as well as a high return on invested capital. The MF Rank of KB Home (NYSE:KBH) is 3812. A outfit with a low rank is considered a good outfit to invest in. The Magic Formula was introduced in a book written by Joel Greenblatt, entitled, “The Little Book that Beats the Market”.
The Leverage Ratio of KB Home (NYSE:KBH) is 0.409584. Leverage ratio is the total debt of a outfit divided by total assets of the current and past year divided by two. Companies take on debt to finance their day to day operations. The leverage ratio can sum how much of a outfit’s capital comes from debt. With this ratio, investors can better estimate how well a outfit will be able to pay their long and short term financial obligations.
The Q.i. Value of KB Home (NYSE:KBH) is 18.00000. The Q.i. Value is a useful mechanism in determining if a outfit is undervalued or not. The Q.i. Value is determined using the following ratios: EBITDA Yield, Earnings Yield, FCF Yield, and Liquidity. The lower the Q.i. value, the more undervalued the outfit is thought to be. The Value Composite One (VC1) is a method that investors use to think through a outfit’s value. The VC1 of KB Home (NYSE:KBH) is 10. A outfit with a value of 0 is thought to be an undervalued outfit, while a outfit with a value of 100 is considered an overvalued outfit. The VC1 is determined using the price to book value, price to sales, EBITDA to EV, price to cash flow, and price to earnings. Similarly, the Value Composite Two (VC2) is determined with the same ratios, but adds the Shareholder Yield. The Value Composite Two of KB Home (NYSE:KBH) is 20.
As we move deeper into the year, investors will be paying attention to which companies are well-positioned for future growth. Even if the current earnings reports are a mixed bag, investors can study which industries look they are taking the top uncloak. Many active investors may be focusing on which way estimates are trending heading into the outfit earnings release. Analysts will sometimes make updates to projections shortly before and after the earnings numbers are provided. Many active investors may enjoy the volatility that comes with trading around earnings, but others will single out to let the heavy action pass before deciding which stocks to buy or sell next.
C-Score
KB Home (NYSE:KBH) right now has a Montier C-score of 1.00000. This indicator was developed by James Montier in an attempt to identify firms that were cooking the books in order to appear better on paper. The score ranges from zero to six where a 0 would indicate no evidence of book cooking, and a 6 would indicate a high likelihood. A C-score of -1 would indicate that there is not enough information available to quantify the score. Montier used six inputs in the calculation. These inputs included a growing difference between net income and cash flow from operations, increasing receivable days, growing day’s sales of inventory, increasing nonstandard current assets, decrease in depreciation relative to gross property plant and equipment, and high total asset growth.
