M/I Homes Inc. operates as a builder of single-family homes in Ohio, Indiana, Illinois, Maryland, Virginia, North Carolina, Florida, and Texas, the United States. The company was founded in 1973 and is based in Columbus, Ohio.
MHO Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for MHO, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that M/I Homes Inc ranked in the 84th percentile in terms of potential gain offered. Moreover, under all the scenarios we modelled, the output consistently forecasted positive returns. In terms of the factors that were most noteworthy in this DCF analysis for MHO, they are:
In the past 3.32 years, M/I Homes Inc has a compound free cash flow growth rate of 0.33%; that's higher than 80.76% of free cash flow generating stocks in the Consumer Cyclical sector.
34% of the company's capital comes from equity, which is greater than only 22.27% of stocks in our cash flow based forecasting set.
M/I Homes Inc's weighted average cost of capital (WACC) is 5%; for context, that number is higher than only 2.58% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
WEN, CRI, HTHT, CETV, and PVH can be thought of as valuation peers to MHO, in the sense that they are in the Consumer Cyclical sector and have a similar price forecast based on DCF valuation.