# Beazer Homes USA (BZH.US)

Canonical: https://gigainvestors.com/s/BZH

Analysis as of: 2026-10-16T07:27:10.967Z. Financial observations: FY1996–FY2026.

Listing currency: USD. Reporting currency: USD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: $33.41 per share; close as of 2026-10-15.

Estimated value: low $52.52 per share, central $59.34 per share, high $68.41 per share. Buy at or below the central value $59.34 per share. Valuation as of 2026-10-16T07:27:10.967Z; scenarios are not confidence intervals.

Expected annual return: 16.3% at the stated quote. About 16.3% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; US 10-year bond 5.1% + 4 points).

## Checklist

### understandable: fail

- 3 revenue declines in the last 10 years (informational)

- more than 2 net loss years

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 3

- Years with a net loss: 3

- Operating margin variation: 1.14×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.03×

- FY2018: 0.04×

- FY2019: -0.04×

- FY2020: 0.04×

- FY2021: 0.07×

- FY2022: 0.12×

- FY2023: 0.08×

- FY2024: 0.06×

- FY2025: 0.02×

- LTM to Jun 2026: -0.02×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 3.7%

- ROIC, second-lowest year: 1.8%

- Typical minus recent gross margin: 2.1 pp

- Typical gross margin (annual median): 16.4%

- Recent gross margin (lower of latest and 3-year median): 14.2%

- Years with nonpositive capital: 0

- Capital spending / revenue: 0.7%

- ROIC including acquisitions, ten-year median: 2.9%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 2.2%

- FY2017: 3.2%

- FY2018: 3.1%

- FY2019: -4.4%

- FY2020: 4.3%

- FY2021: 7.9%

- FY2022: 12.9%

- FY2023: 8.8%

- FY2024: 6.1%

- FY2025: 1.8%

### economics: fail

- incremental invested capital return below threshold

- Owner earnings / net income, 5-yr: 0.97×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: $665M

- Net income, five-year total: $687M

- Return on incremental invested capital: -4.2%

- Working capital / revenue, annual change: 0.3 pp

- Working capital / revenue, change between three-year averages: 1.7 pp

- Working capital / revenue, final three-year average: 80.3%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.00×

- FY2022: 1.00×

- FY2023: 0.95×

- FY2024: 0.96×

- FY2025: 0.82×

### management: pass

- Historical market-dollar context (not the management verdict): 2017 to 2025 (8 years)

- potential debt-funded buybacks (informational)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 3.1% vs 6.1%

- Per-share earnings: 0.98 to 4.53 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: -0.6%

- Ordinary dilution, 5-year annual growth: 0.0%

- Market cap gain: $103M

- Cumulative retained earnings: $614M

- Diluted shares, 10-year annual growth: -0.6%

- Diluted shares, 5-year annual growth: 0.0%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 21.1%

- Per-share value change: $3.55

- Per-share value, starting three-year median: $0.98

- Per-share value, ending three-year median: $4.53

- Buybacks concentrated in cheaper years (correlation): -0.23

- Average buyback yield: 2.1%

- Buyback history: 9 years

- Debt-funded buybacks: Yes

- Acquisition spending: $20M

- Cumulative net income, 10 years: $651M

- ROIC, first three-year median: 3.1%

- ROIC, last three-year median: 6.1%

Chart: Earnings per share; fiscal year observations.

- FY2016: $0.15

- FY2017: $0.98

- FY2018: -$1.41

- FY2019: -$2.59

- FY2020: $1.74

- FY2021: $4.01

- FY2022: $7.17

- FY2023: $5.16

- FY2024: $4.53

- FY2025: $1.52

### accounting: pass

- stock compensation exceeds 15% of operating cash flow

- Sloan accruals: 0.5%

- Receivables to sales index (DSRI): 1.17×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 22.9%

- Earnings backed by cash: Yes

- Operating cash / earnings: 0.70×

- Accounting red flags: 1

- Goodwill and intangibles / equity: 0.01×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -7.2%

- FY2017: -2.9%

- FY2018: -3.6%

- FY2019: -9.9%

- FY2020: -11.8%

- FY2021: 4.3%

- FY2022: 6.2%

- FY2023: -0.8%

- FY2024: 10.7%

- FY2025: 0.5%

## Holders

- [William Browne](https://gigainvestors.com/TB): tracked 13F investor; follow the investor page for holding quarter and amounts.

## Price story

Price needs cash profits to shrink 6.9% a year for ten years · sales -12.2%

Story as of 2026-10-16T09:58:26.773Z; price observation 2026-10-15.

Price needs cash profits to shrink 6.9% a year for ten years

- 2025-08-01: Beazer Homes outlines path to over 200 communities by 2027 while moderating land spend ([seekingalpha.com](https://seekingalpha.com/news/4476177-beazer-homes-outlines-path-to-over-200-communities-by-2027-while-moderating-land-spend?utm_source=feed_news_all&utm_medium=referral&feed_item_type=news))

- 2025-11-14: Beazer Homes targets over 200 communities by 2027 as margin improvement steps advance ([seekingalpha.com](https://seekingalpha.com/news/4522057-beazer-homes-targets-over-200-communities-by-2027-as-margin-improvement-steps-advance?utm_source=feed_news_all&utm_medium=referral&feed_item_type=news))

- 2026-05-11: Beazer Homes Stock Soars 30% on $704 Million Bid From Dream Finders Homes ([finance.yahoo.com](https://finance.yahoo.com/m/e1a15f9c-f33e-353a-b678-e9f45400d6b3/beazer-homes-stock-soars-30%25.html))

### Sales · FY2025–2026

sales -12.2%; source https://www.sec.gov/Archives/edgar/data/915840/000091584025000075/bzh-20250930.htm; observed 2025-11-13.

- FY2017: $1.9B 

- FY2018: $2.1B 

- FY2019: $2.1B 

- FY2020: $2.1B 

- FY2021: $2.1B 

- FY2022: $2.3B 

- FY2023: $2.2B 

- FY2024: $2.3B 

- FY2025: $2.4B 

- FY2026: $2.1B 

### Gross margin · FY2025

gross margin 14.2%; source https://www.sec.gov/Archives/edgar/data/915840/000091584025000075/bzh-20250930.htm; observed 2025-11-13.

- FY2016: 16.3% 

- FY2017: 16.3% 

- FY2018: 16.4% 

- FY2019: 8.0% 

- FY2020: 16.3% 

- FY2021: 18.9% 

- FY2022: 23.2% 

- FY2023: 20.1% 

- FY2024: 18.2% 

- FY2025: 14.2% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in residential construction; annual sales are USD 2.4 billion.

- Source: https://www.sec.gov/Archives/edgar/data/915840/000091584025000075/bzh-20250930.htm (filed 2025-11-13); FY2025: revenue 2371555000; grossProfit 337514000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-15); BZH.US: Beazer Homes USA, Inc. operates as a homebuilder in the United States. The company designs, constructs, and sells single-family, condominiums, villas, and duets homes under the Beazer Homes, Gatherings, and Choice Plans brands. It also sells its homes through commissioned new home sales counselors and independent realtors. Beazer Homes USA, Inc. was founded in 1985 and is headquartered in Atlanta, Georgia.

### Why customers stay

Margins ranged from 14.2% to 20.1% during 2023–25; it earns 3.7% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-11-13); FY2023: grossProfit / revenue = 20.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-11-13); FY2024: grossProfit / revenue = 18.2%.

- Source: https://www.sec.gov/Archives/edgar/data/915840/000091584025000075/bzh-20250930.htm (filed 2025-11-13); FY2025: grossProfit / revenue = 14.2%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-11-13); 10-year return on capital observations [[2016,0.022065538705568506],[2017,0.03184964206111716],[2018,0.030702690805040445],[2019,-0.04441540865044848],[2020,0.0427045799787174],[2021,0.07940576743717111],[2022,0.12852217752554676],[2023,0.08836240031103272],[2024,0.06111912700542352],[2025,0.017601087848685942]]; median 0.03727711101991728. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Spends 2.5% of cash earnings on expansion; paid dividends in 1 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-11-13); FY2016: growth capex 0; upkeep 12219000; owner earnings 6268000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-11-13); FY2017: growth capex 0; upkeep 12440000; owner earnings 33382000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-11-13); FY2020: growth capex 0; upkeep 10642000; owner earnings 57224000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-11-13); FY2021: growth capex 172697.32119736075; upkeep 14472302.67880264; owner earnings 121524697.32119736. Growth capex / owner earnings = 0.0014210882643954335.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-11-13); FY2022: growth capex 1688000; upkeep 13360000; owner earnings 220704000. Growth capex / owner earnings = 0.007648252863563868.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-11-13); FY2023: growth capex 0; upkeep 20334000; owner earnings 150475000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-11-13); FY2024: growth capex 2329418.861702081; upkeep 20023581.13829792; owner earnings 135018418.86170208. Growth capex / owner earnings = 0.017252600655086027.

- Source: https://www.sec.gov/Archives/edgar/data/915840/000091584025000075/bzh-20250930.htm (filed 2025-11-13); FY2025: growth capex 932296.9961431138; upkeep 27568703.003856886; owner earnings 37187296.99614312. Growth capex / owner earnings = 0.025070308181845188.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-11-13); Dividend observations: [[2016,0],[2017,0],[2018,0],[2019,314000],[2020,0],[2021,0],[2022,0],[2023,0],[2024,0],[2025,0]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://www.sec.gov/Archives/edgar/data/915840/000091584025000075/bzh-20250930.htm (filed 2025-11-13); FY2025: cash repurchases 33077000 USD.

### Are managers owners

Insiders own 8.9% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-15); BZH.US SharesStats.PercentInsiders = 8.872 percentage points; cache date 2026-10-15.

### What the price says

The price assumes cash profits shrink 6.9% yearly over ten years; actual decline was 19.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-11-13); Ten-year compound average after fade. Initial solved rate -0.10944583370988098. Price 33.41; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 10.830101976583155 → FY2025 1.239122221723472. Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2016-10: $10.23 per share

- 2016-11: $13.48 per share

- 2016-12: $13.30 per share

- 2017-01: $14.26 per share

- 2017-02: $12.20 per share

- 2017-03: $12.13 per share

- 2017-04: $12.41 per share

- 2017-05: $12.20 per share

- 2017-06: $13.72 per share

- 2017-07: $13.26 per share

- 2017-08: $14.91 per share

- 2017-09: $18.74 per share

- 2017-10: $20.98 per share

- 2017-11: $21.16 per share

- 2017-12: $19.21 per share

- 2018-01: $18.54 per share

- 2018-02: $15.72 per share

- 2018-03: $15.95 per share

- 2018-04: $14.68 per share

- 2018-05: $15.10 per share

- 2018-06: $14.75 per share

- 2018-07: $12.81 per share

- 2018-08: $12.81 per share

- 2018-09: $10.50 per share

- 2018-10: $8.81 per share

- 2018-11: $11.26 per share

- 2018-12: $9.48 per share

- 2019-01: $12.53 per share

- 2019-02: $12.12 per share

- 2019-03: $11.51 per share

- 2019-04: $13.29 per share

- 2019-05: $9.08 per share

- 2019-06: $9.61 per share

- 2019-07: $11.72 per share

- 2019-08: $12.53 per share

- 2019-09: $14.90 per share

- 2019-10: $15.01 per share

- 2019-11: $15.32 per share

- 2019-12: $14.13 per share

- 2020-01: $13.75 per share

- 2020-02: $12.26 per share

- 2020-03: $6.44 per share

- 2020-04: $7.04 per share

- 2020-05: $9.82 per share

- 2020-06: $10.07 per share

- 2020-07: $11.19 per share

- 2020-08: $12.24 per share

- 2020-09: $13.20 per share

- 2020-10: $12.18 per share

- 2020-11: $14.81 per share

- 2020-12: $15.15 per share

- 2021-01: $16.62 per share

- 2021-02: $17.67 per share

- 2021-03: $20.92 per share

- 2021-04: $22.31 per share

- 2021-05: $23.81 per share

- 2021-06: $19.29 per share

- 2021-07: $18.26 per share

- 2021-08: $18.71 per share

- 2021-09: $17.25 per share

- 2021-10: $18.11 per share

- 2021-11: $19.64 per share

- 2021-12: $23.22 per share

- 2022-01: $18.24 per share

- 2022-02: $16.37 per share

- 2022-03: $15.22 per share

- 2022-04: $15.08 per share

- 2022-05: $16.21 per share

- 2022-06: $12.07 per share

- 2022-07: $14.75 per share

- 2022-08: $14.24 per share

- 2022-09: $9.67 per share

- 2022-10: $11.31 per share

- 2022-11: $13.65 per share

- 2022-12: $12.76 per share

- 2023-01: $16.37 per share

- 2023-02: $14.91 per share

- 2023-03: $15.88 per share

- 2023-04: $21.31 per share

- 2023-05: $20.27 per share

- 2023-06: $28.29 per share

- 2023-07: $33.63 per share

- 2023-08: $29.31 per share

- 2023-09: $24.91 per share

- 2023-10: $24.19 per share

- 2023-11: $26.31 per share

- 2023-12: $33.79 per share

- 2024-01: $31.75 per share

- 2024-02: $31.33 per share

- 2024-03: $32.80 per share

- 2024-04: $28.03 per share

- 2024-05: $28.72 per share

- 2024-06: $27.48 per share

- 2024-07: $33.67 per share

- 2024-08: $31.28 per share

- 2024-09: $34.17 per share

- 2024-10: $30.76 per share

- 2024-11: $34.95 per share

- 2024-12: $27.46 per share

- 2025-01: $22.16 per share

- 2025-02: $22.30 per share

- 2025-03: $20.39 per share

- 2025-04: $19.56 per share

- 2025-05: $20.52 per share

- 2025-06: $22.37 per share

- 2025-07: $23.50 per share

- 2025-08: $25.16 per share

- 2025-09: $24.55 per share

- 2025-10: $22.40 per share

- 2025-11: $22.87 per share

- 2025-12: $20.27 per share

- 2026-01: $21.57 per share

- 2026-02: $25.58 per share

- 2026-03: $19.24 per share

- 2026-04: $21.59 per share

- 2026-05: $25.39 per share

- 2026-06: $28.05 per share

- 2026-07: $32.10 per share

- 2026-08: $33.18 per share

- 2026-09: $33.35 per share

- 2026-10: $33.41 per share

## Annual estimated value (USD per share)

- FY2016: low $8.20 per share, central $8.50 per share, high $8.90 per share

- FY2017: low $19.08 per share, central $20.63 per share, high $22.70 per share

- FY2018: low $15.52 per share, central $17.24 per share, high $19.53 per share

- FY2019: low $4.69 per share, central $5.04 per share, high $5.51 per share

- FY2020: low $12.69 per share, central $13.06 per share, high $13.55 per share

- FY2021: low $21.28 per share, central $24.83 per share, high $27.86 per share

- FY2022: low $29.51 per share, central $35.33 per share, high $40.31 per share

- FY2023: low $58.32 per share, central $70.19 per share, high $80.27 per share

- FY2024: low $59.65 per share, central $76.60 per share, high $88.76 per share

- FY2025: low $55.62 per share, central $62.52 per share, high $71.71 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

[Original 10-K filing](https://www.sec.gov/Archives/edgar/data/915840/000091584025000075/bzh-20250930.htm); period 2025-09-30, filed 2025-11-13.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.