Beazer Homes USA, Inc. (BZH) Stock Analysis

Why this analysis is different

• A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

Beazer Homes USA, Inc. (BZH) Consumer Business Overview

Beazer Homes USA, Inc., a residential construction company, designs, builds, and sells single-family and multi-family homes across the United States. Operating under the Beazer Homes, Gatherings, and Choice Plans brands, the company utilizes commissioned sales counselors and independent brokers to reach diverse markets in multiple states.

What Is the Investment Thesis for BZH?

Beazer Homes USA, Inc. presents a mixed investment thesis. The company's presence in multiple high-growth states offers potential for revenue expansion, particularly as housing demand continues to rise. However, the company's negative profit margin of -0.2% raises concerns about profitability and operational efficiency. The high beta of 2.22 indicates significant volatility relative to the market, which could amplify both gains and losses. Key value drivers include the company's ability to capitalize on demographic trends favoring homeownership and its strategic focus on specific market segments. Upcoming catalysts include potential improvements in operational efficiency and cost management, which could drive margin expansion. Investors should closely monitor the company's ability to improve profitability and manage its debt levels.

Based on FMP financials and quantitative analysis

BZH Key Highlights

Market capitalization of $909M reflects the company's current valuation in the market.

• Gross margin of 12.9% indicates the profitability of Beazer Homes' core business activities.
• Negative profit margin of -0.2% signals challenges in achieving overall profitability.
• Beta of 2.22 suggests higher volatility compared to the broader market, potentially impacting investment risk.
• Operations span across 13 states, providing geographic diversification and access to various housing markets.

Who Are BZH's Competitors?

BZH is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance This table mixes two scoring engines — compare a number only with others carrying the same tag.

What Are BZH's Key Strengths?

Established presence in multiple high-growth markets.

• Diverse product offerings catering to various customer segments.
• Strong network of sales counselors and brokers.
• Focus on energy-efficient and sustainable building practices.

What Are BZH's Weaknesses?

Negative profit margin indicating profitability challenges.

• High debt levels compared to peers.
• Sensitivity to economic cycles and interest rate fluctuations.
• Reliance on external sales channels.

What Could Drive BZH Stock Higher?

Potential improvements in operational efficiency and cost management.

• Strategic land acquisitions in high-growth areas.
• Increased demand for sustainable and energy-efficient homes.
• Expansion into underserved housing markets.

What Are the Key Risks for BZH?

Negative return on equity (-0.3%) — the business is not currently generating profit on shareholder capital.

• Economic downturn and decline in housing demand.
• Rising interest rates impacting affordability.
• Increased competition from larger national homebuilders.
• Supply chain disruptions and rising material costs.
• Fluctuations in mortgage rates impacting buyer demand.

What Are the Growth Opportunities for BZH?

• Expansion into Underserved Markets: Beazer Homes has the opportunity to expand its presence in underserved housing markets within its existing geographic footprint. By identifying areas with high demand and limited supply, the company can increase its sales volume and market share. This strategy involves conducting thorough market research to pinpoint specific locations and tailoring home designs to meet the needs of local buyers. The timeline for this expansion is estimated at 2-3 years, with the potential to increase revenue by 10-15%.
• Focus on Sustainable and Energy-Efficient Homes: With growing consumer awareness of environmental issues, Beazer Homes can capitalize on the demand for sustainable and energy-efficient homes. By incorporating green building practices and technologies into its construction process, the company can attract environmentally conscious buyers and differentiate itself from competitors. This includes using energy-efficient appliances, solar panels, and water conservation systems. The market for green homes is expected to grow significantly over the next 5 years, presenting a substantial opportunity for Beazer Homes.
• Strategic Land Acquisition: Acquiring strategically located land parcels in high-growth areas is crucial for Beazer Homes' long-term success. By securing land at favorable prices, the company can control its costs and ensure a steady supply of building sites. This involves conducting thorough due diligence to assess the suitability and value of potential land acquisitions. The timeline for land acquisition varies depending on market conditions and regulatory approvals, but a proactive approach to land acquisition can provide a competitive advantage.
• Enhancing Customer Experience: Improving the overall customer experience can drive repeat business and positive word-of-mouth referrals. This includes providing personalized service, transparent communication, and a seamless home buying process. Beazer Homes can invest in technology and training to empower its sales team and enhance customer satisfaction. A focus on customer experience can lead to increased sales and brand loyalty, contributing to long-term growth.
• Leveraging Technology and Innovation: Embracing technology and innovation can improve efficiency, reduce costs, and enhance the quality of Beazer Homes' products and services. This includes using Building Information Modeling (BIM) software to streamline the design and construction process, as well as implementing smart home technologies to enhance the functionality and value of its homes. By staying at the forefront of technological advancements, Beazer Homes can gain a competitive edge and attract tech-savvy buyers.

What Are BZH's Competitive Advantages?

• Established brand recognition in key markets.
• Extensive network of sales counselors and brokers.
• Diverse product offerings catering to various customer segments.
• Geographic diversification across multiple states.
• Focus on energy-efficient and sustainable building practices.

What Does BZH Do?

Beazer Homes USA, Inc., founded in 1985 and headquartered in Atlanta, Georgia, operates as a homebuilder across the United States. The company designs, constructs, and sells both single-family and multi-family homes, catering to a variety of customer preferences and lifestyle needs. Their offerings are marketed under the Beazer Homes, Gatherings, and Choice Plans names, each targeting specific segments within the housing market. Beazer Homes leverages a network of commissioned new home sales counselors and independent brokers to facilitate sales across a wide geographic footprint, including Arizona, California, Nevada, Texas, Delaware, Maryland, Indiana, Tennessee, Virginia, Florida, Georgia, North Carolina, and South Carolina. The company's evolution has been marked by a commitment to providing quality homes and innovative designs, adapting to changing market dynamics and consumer demands. Beazer Homes aims to deliver value to its customers through personalized home options and a focus on energy efficiency and sustainable building practices. Their competitive positioning is centered on offering a range of home choices and leveraging their established presence in key growth markets.

What Products and Services Does BZH Offer?

• Designs single-family homes.
• Constructs single-family homes.
• Sells single-family homes.
• Designs multi-family homes.
• Constructs multi-family homes.
• Sells multi-family homes.
• Operates under the Beazer Homes brand.
• Operates under the Gatherings brand.
• Operates under the Choice Plans brand.

How Does BZH Make Money?

• Generates revenue through the sale of newly constructed homes.
• Utilizes commissioned sales counselors and independent brokers to facilitate sales.
• Focuses on building homes in high-growth markets across the United States.

What Industry Does BZH Operate In?

Beazer Homes USA, Inc. operates within the residential construction industry, a sector heavily influenced by economic cycles, interest rates, and demographic trends. The industry is characterized by intense competition among national and regional homebuilders. Market trends include a growing demand for sustainable and energy-efficient homes, as well as increasing urbanization and migration to suburban areas. Beazer Homes competes with larger national players and smaller regional builders, differentiating itself through its diverse product offerings and geographic focus. The industry is sensitive to fluctuations in mortgage rates and overall economic conditions, which can impact housing affordability and demand.

Who Are BZH's Key Customers?

• First-time homebuyers.
• Move-up buyers seeking larger or more luxurious homes.
• Active adult buyers looking for age-restricted communities.
• Families seeking homes in desirable school districts.
• Individuals and families relocating to new areas.

Company Profile

Beazer Homes USA, Inc. operates in the Residential Construction industry within the Consumer Cyclical sector. It is headquartered in Atlanta, US. The company is led by CEO Allan Merrill. BZH has traded publicly since 1994.

Beazer Homes USA, Inc. Financial Trajectory

Beazer Homes USA, Inc. (BZH) reported $516.3M in revenue for Q3 FY2026, reflecting 26.0% growth compared to the prior quarter. The company recorded a net loss of $4.2M, with diluted EPS of $-0.16. Revenue has increased across the last three reported quarters, suggesting sustained momentum for this small-cap Consumer Cyclical company. Across the four most recent quarters, BZH averaged $-0.07 in diluted EPS.

How Beazer Homes USA, Inc. Is Valued

Beazer Homes USA, Inc. carries a market capitalization of $909M, placing it in the small-cap category. Relative to its peer group, BZH's quantitative score of 38/100 is below the peer average of 65/100.

Return on equity for Beazer Homes USA, Inc. stands at -0.3%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is -0.1%, showing how much profit it generates from its asset base. Its free cash flow yield is -9.7%, a gauge of the cash the business throws off relative to its market value. A current ratio of 10.24 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is -0.5%, the inverse of the P/E and a quick read on earnings relative to price.

Beazer Homes USA, Inc.'s Piotroski F-Score is 4/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 2.17 places it in the grey zone, a middle ground that warrants monitoring.

Beazer Homes USA, Inc. has beaten Wall Street's EPS estimate in 5 of its last 8 reported quarters — more hits than misses. Reported results have landed about 5.8% above estimates on average.

The most recent 11 insider filings for Beazer Homes USA, Inc. break down as 5 sales and 6 purchases. On net that is roughly 27K shares acquired (about $163K) — insiders putting money in tends to read as conviction.

BZH Financials

BZH Latest News

BZH Analyst Consensus

BZH MoonshotScore

Common Questions About BZH (Consumer Cyclical)

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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