KBH

Consumer Cyclical

KB Home · Residential Construction · $3B

UQS Score — Balanced Preset
35.3
Below Average

KB Home scores 35.3/100 using the Balanced preset.

UQS vs Consumer Cyclical Sector
KBH
35.3
Sector avg
37.7
Quality
Neutral
Moat
Weak
Growth
Weak
Risk
Neutral
Valuation
Attractive

What is KB Home?

KB Home is a national homebuilder serving buyers across eight U.S. states, with a focus on first-time and move-up buyers seeking new construction homes.

KB Home designs and sells single-family homes, townhomes, and condominiums across its West Coast, Southwest, Central, and Southeast segments. Revenue comes primarily from home sales, supplemented by financial services including title and insurance products offered to buyers at closing.

Founded in 1957 and headquartered in Los Angeles, California, KB Home has built homes under various names for decades.

  • Single-family detached and attached homes
  • Townhomes and condominiums
  • Title and insurance financial services

Is KBH a Good Stock to Buy?

UQS Score rates KBH as Below Average overall.

Valuation stands out as the brightest spot in KBH's profile, rating Attractive relative to peers — a meaningful consideration for cost-conscious investors. Quality and Risk both land at Neutral, suggesting the business is neither exceptionally stable nor acutely distressed.

Both the Moat and Growth pillars rate Weak, reflecting limited competitive differentiation and constrained near-term expansion prospects in a cyclical housing market.

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Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.

Does KBH pay dividends?

Yes — KB Home pays a dividend.

KB Home pays a regular dividend, which is relatively uncommon among mid-cap homebuilders. The dividend reflects the company's intent to return capital to shareholders alongside its core building operations, though cyclical housing demand can influence payout sustainability over time.

When does KBH report earnings?

KB Home reports earnings on a quarterly cadence, typical for U.S.-listed equities.

Results tend to reflect broader housing market conditions, including interest rate trends and regional demand shifts across KB Home's eight operating states. Segment performance can vary meaningfully between the West Coast, Southwest, Central, and Southeast divisions.

For the most recent quarter's results, visit KB Home's investor relations page directly.

KBH Price History

+28.2% over 5Y

Monthly close, adjusted for stock splits and dividend reinvestment.

Frequently Asked Questions

What does KB Home do?

KB Home builds and sells new homes — including single-family houses, townhomes, and condominiums — across eight U.S. states. It targets first-time buyers, move-up buyers, and active adults. The company also offers title and insurance services through its financial services segment.

Does KBH pay dividends?

Yes, KB Home pays a regular dividend. This is relatively uncommon in the homebuilding sector. Investors should monitor housing cycle conditions, as cyclical downturns can affect a company's ability to sustain dividend payments over time.

When does KBH report earnings?

KB Home reports on a quarterly cadence. Specific upcoming dates are not covered by our data source. Check KB Home's investor relations page or your brokerage platform for the current earnings calendar.

Is KBH a good stock to buy?

KBH carries a Below Average UQS Score, driven by Weak ratings in Moat and Growth. Its Valuation pillar rates Attractive, which may interest value-oriented investors. The full pillar breakdown is available to Pro members on UQS Score.

Is KBH overvalued?

Based on UQS Score's Valuation pillar, KBH rates Attractive — suggesting the stock is not considered expensive relative to its fundamentals. That said, Valuation alone does not determine overall quality. See the complete analysis for context.

What is KBH's market cap bracket?

KB Home is classified as a mid-cap company. This places it between smaller regional builders and the largest national homebuilders, giving it meaningful scale while remaining more nimble than mega-cap peers.

Is KBH a long-term quality investment?

As a long-term quality indicator, KBH's Below Average UQS Score — with Weak Moat and Growth ratings — suggests limited structural advantages for sustained outperformance. The Attractive Valuation may offer near-term appeal, but long-term quality depends on competitive positioning improving over time.

What sector does KBH belong to?

KB Home operates in the Consumer Cyclical sector, specifically within homebuilding. This means its business is sensitive to interest rates, consumer confidence, and broader economic cycles — factors that can significantly affect home demand and company performance.

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Pro Analysis

KBH — Score History

2530354045Apr 2Apr 12Apr 22May 2May 12May 22May 24v5
Score changes· 14 most recent
DateUQSQualityMoatGrowthRiskValueChange
May 22, 202635.442.814.05.544.389.6-0.6
May 20, 202636.043.214.05.544.393.2+0.9
May 7, 202635.143.214.05.544.387.0+0.3
May 3, 202634.843.214.05.544.385.2+0.4
Apr 26, 202634.443.214.05.544.382.2-0.2
Apr 19, 202634.643.214.05.544.383.5-0.2
Apr 18, 202634.842.814.05.544.485.7-1.0
Apr 15, 202635.842.814.05.544.492.6-0.1
Apr 12, 202635.942.814.05.544.493.1-0.1
Apr 11, 202636.042.814.05.544.493.9-0.1

KBH — Pillar Breakdown

Quality

42.8/100 (25%)

KB Home has average quality metrics, with room for improvement in margins or capital efficiency.

Capital Efficiency (ROIC)Weak

How effectively capital is deployed to generate returns.

Return on EquityWeak

Profitability relative to shareholders' equity.

Operating ProfitabilityWeak

Ability to convert revenue into operating profit.

Net ProfitabilityWeak

Bottom-line profit as a share of revenue.

Gross Profit / AssetsModerate

Asset productivity — how much gross profit each dollar of assets generates.

Cash GenerationStrong

Free cash flow relative to market value.

Growth

5.5/100 (20%)

KB Home faces growth headwinds with declining or stagnant revenue trends.

Recent Revenue TrendWeak

Revenue trajectory over the last twelve months.

3Y Revenue CAGRWeak

Compound annual revenue growth rate over 3 years.

EPS GrowthWeak

Year-over-year earnings per share growth.

Forward Revenue OutlookWeak

Analyst consensus for future revenue growth.

Forward EPS GrowthWeak

Analyst consensus for future earnings growth.

Risk

44.3/100 (15%)

KB Home has some risk factors including moderate leverage or solvency concerns.

Financial LeverageWeak

Debt levels relative to earnings capacity.

Debt/EquityStrong

Total debt relative to shareholder equity.

Current RatioStrong

Short-term liquidity — ability to pay near-term obligations.

Interest CoverageWeak

Earnings capacity relative to interest payments.

Valuation

89.2/100 (15%)

KB Home appears attractively valued relative to its earnings, cash flows, and sector peers.

Earnings YieldStrong

Inverse of forward P/E — higher yield means cheaper stock.

Price to Free Cash FlowStrong

How many years of FCF the market cap represents.

EV/EBITDA vs SectorStrong

Enterprise value multiple relative to sector median.

Moat

14/100 (25%)

KB Home operates in a highly competitive environment with limited sustainable advantages. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for KBH.

Score Composition

Quality
42.8×25%10.7
Growth
5.5×20%1.1
Risk
44.3×15%6.6
Valuation
89.2×15%13.4
Moat
14.0×25%3.5
Total
35.3Below Average

Financial Data

More Stock Analysis

How is the KBH UQS Score Calculated?

The UQS (Unified Quality Score) for KB Home is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.

Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.

Moat (25%) assesses KB Home's competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.

Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.

Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.

Valuation (15%) measures whether KB Home is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.

Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.