PulteGroup, Inc. — Earnings Quality Grade F
PHM · Consumer Cyclical
Major red flags
Screening Summary
Financial Trends
Revenue & Net Income ($B)
Margins (%)
18-Point Screening
Revenue Quality
DSO 5 days, change +0 days YoY
AR outpaced revenue for 2 consecutive years
Revenue -3.5%, CFFO 11.3%. Cash follows revenue
Expense Quality
Inventory 1.9% vs COGS 0.1%. Normal
CapEx growth 3.5% vs revenue -3.5%. Normal
SG&A/Gross Profit = 34.4%. Normal
Gross margin 26.4%, change -2.7pp. Stable
Cash Flow Quality
CFFO < Net Income for 3 consecutive years
FCF $1.7B, FCF/NI = 0.79
Accruals ratio = 1.9%. Low accruals
Cash $2.6B covers debt $2.3B
Balance Sheet Health
Goodwill+Intangibles $0.1B = 1% of equity. Manageable
Debt/EBITDA = 0.8x. Healthy
Other assets -7.7% vs revenue -3.5%. Normal
Write-offs up 165% YoY
Acquisition Risk
FCF after acquisitions positive
Goodwill+Intangibles change -42% YoY. Normal
Manipulation Score
M-Score = -2.47 (< -2.22). Unlikely manipulator
Beneish M-Score
Altman Z-Score
Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-10