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KB Home

KBH Consumer Cyclical Unknown Updated August 01, 2026
$54.95
52W $44.03 – $68.71
57/100
$3.37B
13.1
1.33
AI Committee Verdict
Watch
Conviction: Contested · 50% agreement · 6 analysts
+0.8%
-0.2%
4.17:1
Contested

Is KBH Bullish or Bearish?

Mixed. Innellis AI committee rates KB Home (KBH) Watch with a composite score of 57/100 , based on 6 analysts with 50% agreement. Last updated August 01, 2026.

What Would Change This View

Upgrade to Buy
Requires a committee score of 60.0 — +2.85 from today. Applies on the first day at or above the line; upgrades are never dampened.
Downgrade to Reduce
Requires the score to fall below 40.0 — -17.15 from today. The band boundary is 45.0, but a one-step downgrade must clear a further margin first. A score oscillating around the line should not change the rating every night.

Executive Summary

The committee is genuinely divided. Value Analyst sees a compelling case — p/e of 12.5 is inexpensive for the broad market. Growth Analyst remains cautious — revenue declining -17.5% yoy -- this is not a growth story right now. This disagreement is itself the signal — the setup is not clean in either direction.

Bull & Bear Case

Bull Case
  • P/E of 12.5 is inexpensive for the broad market — Value
  • Price-to-book of 1.1x is a discount to asset value — Value
  • Quarter-over-quarter growth rate is ACCELERATING, not just positive — Growth
  • Weekly trend (sideways) confirms the daily trend -- multi-timeframe agreement — Technical
  • Market regime is bullish (Bull market -- normal position sizing) — Macro
  • Beta of 1.35 means this name should amplify a favorable market regime — Macro
Bear Case
  • Revenue declining -17.5% YoY -- this is not a growth story right now — Growth
  • EPS declining -45.5% YoY despite any revenue growth — Growth
  • MACD histogram negative -- bearish momentum — Technical
Both cases are generated from quantitative data signals, not qualitative or forward-looking judgement. They summarise what the numbers say today.
Price History (6M)

AI Investment Committee

Committee Consensus As of August 01, 2026
Overall Committee Score
57/100
Agreement
50%
Analysts
6
Conviction
Contested
Sector Rank
Top 34%
of 124 Consumer Cyclical peers
Value Analyst bullish
77 / 100 · Moderate confidence
Classic value case: cheap on multiples with earnings power to back it up
+ P/E of 12.5 is inexpensive for the broad market
Growth Analyst bearish
40 / 100 · High confidence
Growth story is weak, decelerating, or inconsistent
+ Quarter-over-quarter growth rate is ACCELERATING, not just positive
− Revenue declining -17.5% YoY -- this is not a growth story right now
Technical Analyst neutral
54 / 100 · High confidence
Mixed or range-bound price action
+ Weekly trend (sideways) confirms the daily trend -- multi-timeframe agreement
− MACD histogram negative -- bearish momentum
Macro Analyst bullish
70 / 100 · Moderate confidence
Macro backdrop is supportive of risk assets generally, and this name's beta works in its favor
+ Market regime is bullish (Bull market -- normal position sizing)
News Analyst neutral
58 / 100 · Low confidence
News flow is mixed or quiet -- no strong signal either way right now
Portfolio Manager neutral
45 / 100 · High confidence
Portfolio-level factors are mixed -- worth a deliberate sizing decision, not a default-size position
+ Portfolio position concentration is currently healthy
− Sector concentration is already high (HHI 2535.03)
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Investment Thesis Evolution

Committee score moved marginally from 59.8 to 57.1.

Analyst-level changes:
  • Growth Analyst: stance bullish->bearish; score 85->40 (-45); +2 bearish signal(s).
  • Macro Analyst: stance neutral->bullish; score 58->70 (+12); +1 bullish signal(s).
  • Portfolio Manager: +2 bearish signal(s).
  • Value Analyst joined: bullish at 77.

Comparing 2026-07-31 to 2026-08-01 (1 day apart).

Technical Analysis

RSI (14)
37.6
Neutral
MACD Histogram
-0.237
Bearish Momentum
Trend Direction
Sideways
Weekly: Sideways
Market Structure
Hh Hl
Support
$54.85
Resistance
$55.36
Bollinger %B
0.19
Inside Bands
Price vs Moving Averages
EMA 9
$56.40 Below
EMA 21
$56.47 Below
EMA 50
$55.50 Below
EMA 200
$56.53 Below

Fundamental Analysis

Valuation
100
Growth
55
Profitability
0
Financial Health
99
Cash Flow
37
Valuation
P/E Ratio 13.1×
P/B Ratio 0.90×
PEG Ratio -0.29
Dividend Yield 0.02%
52W High $68.71
52W Low $44.03
Quality & Growth
ROE 11.0%
ROA 6.4%
Gross Margin 16.9%
Operating Margin 6.0%
Revenue Growth YoY
Debt / Equity 0.53
AI Fundamental Assessment
P/E ratio of 13.1 (inexpensive relative to a 15-40x range); Price-to-book of 0.9x; PEG ratio of -0.3 (under 1.0 suggests growth is undervalued relative to price); Return on equity of 0.1%; Return on assets of 0.1%; Net margin of 0.0%; Gross margin of 0.2%; Current ratio of 6.80 (healthy short-term liquidity); Debt-to-equity of 0.53; Free cash flow margin of 0.9% (thin cash generation); Free cash flow per share is positive (5.83); Most recent quarter missed estimates by 5.9%; EPS growth accelerating (-70.8% -> -23.2% QoQ); Analyst estimates falling over recent quarters
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📈 Rating History 💰 Earnings 📰 Recent Events 🔄 What Changed 📖 Thesis Evolution 🔍 Similar Stocks
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