NYSE · Consumer Cyclical · Residential Construction · USA
KB Home is a mid cap company (market value between $2 billion and $10 billion) in the Residential Construction industry.
KB Home constructs single-family homes, townhomes and condominiums for first-time and active adult homebuyers across multiple states and markets in four geographic segments. Homebuilding operations represent nearly all revenues, while financial services provide insurance, title and mortgage banking services to homebuyers. The company operates through a Built to Order process enabling customers to personalize homes through design choices.
From its FY2025 annual report (Form 10-K)
Intrinsic value, DCF valuation, financial health and value investing analysis for the KB Home stock.
Undervalued: intrinsic value $73.77 per share, market price $42.59, margin of safety 42.3% (as of 2026-10-19).
Discounting its cash flows at 8.6% (average of 3 methods) values the shares at $73.77; the price of $42.59 is 42% below that value, and 77% of that value comes from beyond year five.
Leak Score: 48/100 on 11 of 12 signals (On Watch).
17 more funds hold it; the full list is part of the paid plan.
All 19 Residential Construction stocks
KBH is undervalued (as of the 2026-10-19 close). Discounting its cash flows at 8.6% (average of 3 methods) values the shares at $73.77; the price of $42.59 is 42% below that value, and 77% of that value comes from beyond year five.
$73.77 per share (as of the 2026-10-19 close), against a market price of $42.59. That is a margin of safety of 42.3%. The value is the average of the valuation methods that apply to this company, recomputed every night after the US close.
48 out of 100, which we rate "On Watch", on 11 of 12 value investing signals.