TacticScaleWhat D.R. Horton Does & How It Makes Money (DHI)
Updated October 2026 · reflects D.R. Horton's latest reported financials
Large U.S. homebuilder that builds and sells new single-family homes. Most of its money comes from selling newly built homes to buyers, and it also earns revenue from mortgage financing, title services, selling developed lots, and building, leasing and selling rental properties.
How D.R. Horton makes money
Most of its money comes from selling newly built homes to buyers, and it also earns revenue from mortgage financing, title services, selling developed lots, and building, leasing and selling rental properties.
What D.R. Horton does
D.R. Horton, Inc. is a U.S. homebuilder founded in 1978 and headquartered in Arlington, Texas. It buys and develops land and builds and sells homes in 126 markets across 36 states, organized into East, North, Southeast, South Central, Southwest and Northwest regions. Its homes include single-family detached houses and attached homes such as townhomes and duplexes, all sold under the D.R. Horton name. Beyond homebuilding, the company provides mortgage financing and title agency services, develops residential lots, and develops, builds, owns, leases and sells multi-family and single-family rental properties. It also has insurance-related operations and owns water rights and other water-related assets, plus non-residential real estate such as ranch land.
Products & services
- D.R. Horton single-family detached homes
- Townhomes and duplexes
- Mortgage financing
- Title agency services
- Residential lot development
- Multi-family and single-family rental properties
What is D.R. Horton worth?
On an owner-earnings DCF, D.R. Horton's most-likely value is about $184 versus a recent price near $135 (37% below fair value). But TacticScale only calls a stock undervalued when the price sits below its conservative no-growth floor (~$107) with a margin of safety — so the honest verdict here is “Fairly priced — no edge.” Fair value earns its keep only at the extremes, not in the wide middle.
Price sits in the normal range — fair value isn't actionable here; it earns its keep only when price drops below the no-growth floor, or runs to roughly double the optimistic case.
Analysis, not advice. Fair value is a margin-of-safety estimate from a deterministic owner-earnings DCF, not a price target or recommendation. See the full breakdown →
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