Smith Douglas Homes Corporation
Our Company We are engaged in the design, construction, and sale of single-family homes in some of the highest growth and most desirable markets in the Southeastern and Southern United States. We employ an efficient land-light, production focused, and conservatively leveraged business model, which we believe results in a compelling combination of strong home closing gross margins, construction …
$10.04
+$0.04 (+0.40%)
EOD Oct 21, 2026
Operating margin is thin at 7.45%. Limited cushion if revenue slows or costs rise, not the profile of a wide-moat business.
Revenue declined 0.4% YoY. Margins deteriorated 4.8pp alongside, both lines moving the wrong way.
Free cash flow declined 342% versus the prior year, cash generation momentum has weakened. Negative free cash flow of -$37M. The business is consuming cash, not generating it.
13.9x earnings, 2.5x FCF. The multiple is below average. Either the market is pricing in deterioration you should investigate, or there's genuine value here.
Price History
Valuation & Multiples
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
$1.00B
▼ -0.4% YoY
Net Income (TTM)
$6M
▼ -33.5% YoY
Op. Margin
4.51%
▼ -4.8pp YoY
ROIC
30.75%
▲ +3.4pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
$34M
▼ -341.8% YoY
Op. Cash Flow (TTM)
$37M
▼ -263.8% YoY
Net Debt
$55M
Cash & Equiv.
$14M
Continue Research
SourceComputed from the 10-Q filed 6 Aug 2026, covering the period ending 30 Jun 2026, as reported to the SEC. Data last refreshed 7 Aug 2026. How this is calculated.
Price from market data, last close as of 21 Oct 2026. Fiscal year ends Dec. Sector medians are approximate S&P 500 benchmarks and update periodically.
Is Smith Douglas Homes (SDHC) overvalued?
At a P/E of 13.9 and a price-to-free-cash-flow of 2.5, Smith Douglas Homes (SDHC) trades below a two-stage DCF intrinsic value of about $63.50 per share, so at $10.04 the stock looks undervalued (532.4% below estimated intrinsic value). A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.
On quality, Smith Douglas Homes scores 59/100 on Intrinsiqq's quality scorecard (a mixed business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. All figures are computed from SEC filings; read the full methodology, or see how the market compares in our US profitability statistics. This is analysis, not investment advice.
Frequently asked
What is Smith Douglas Homes's fair value?+
Intrinsiqq's two-stage DCF estimates an intrinsic value of about $63.50 per share for SDHC, projecting its recent free cash flow forward with a growth rate that fades toward a long-run rate and discounting it back to today. Applying a 25% margin of safety gives a more conservative fair-value entry around $47.62. At today's $10.04, that puts the stock about 532.4% below estimated intrinsic value. The result is sensitive to the growth and discount-rate inputs, so it is best to run conservative, base and optimistic cases. You can adjust all of them yourself with the sliders on the DCF tab.
Is Smith Douglas Homes a high-quality business?+
Smith Douglas Homes scores 59 out of 100 on Intrinsiqq's quality score, a weighted blend of 8 metrics each scored 0 to 100, which makes it a mixed business on these measures. Recent fundamentals include a 4.5% operating margin and a 30.7% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from SEC filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.
Is Smith Douglas Homes a good stock to buy right now?+
That depends on valuation and quality together, not either alone. SDHC currently trades below its estimated intrinsic value and scores 59/100 on quality (mixed). A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from SEC filings, not investment advice.
Related stocks: Operative Builders
Spot a number that looks wrong? Check it in SDHC's SEC filings or
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Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
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