Beat on earnings with $1.56 diluted EPS vs $1.46 expected, revenue and earnings increased 4% YoY.
Home closings at 1600 homes is down 7.4% YoY, but average price up 12%
Active selling communities increased to 81 from 77
Management confirmed the guidance they raised in Q2, which means they expect to close more than 1800 homes in Q4.
I would not call it a thrilling report on its own, but considering they are trading at 7.8 times TTM earnings it’s stellar performance. If they hit their low estimate for the year at $6.50 EPS it will be an increase of 24% YoY.
I’m not sure how the market responds to Q3 report - it may remain unimpressed, but I can’t imagine it dismiss the end year results if they hit them (I trust the management to do just that).