/
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 …
$15.44
$0.54 (-3.38%)
EOD Jul 17, 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.
16.3x earnings. Valuation is in a reasonable range. The main question is whether the business can re-accelerate or if current trajectory is already priced in.
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
$953M
▼ -0.4% YoY
Net Income (TTM)
$9M
▼ -33.5% YoY
Op. Margin
5.92%
▼ -4.8pp YoY
ROIC
37.62%
▲ +3.4pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
-$1M
▼ -341.8% YoY
Op. Cash Flow (TTM)
$4M
▼ -263.8% YoY
Net Debt
$42M
Cash & Equiv.
$28M
Continue Research
At a P/E of 16.3, Smith Douglas Homes (SDHC)'s valuation is best read against its own history, its peers, and the growth its price implies. 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 38/100 on Intrinsiqq's quality scorecard, weighing growth, margins, returns on capital, share count, and balance-sheet strength. All figures are computed from SEC filings; read the full . This is analysis, not investment advice.
Smith Douglas Homes scores 38 out of 100 on Intrinsiqq's quality score, a weighted blend of 7 metrics each scored 0 to 100, which makes it a lower-quality business on these measures. Recent fundamentals include a 5.9% operating margin and a 37.6% 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.
That depends on valuation and quality together, not either alone. you should weigh SDHC's valuation and scores 38/100 on quality (lower-quality). 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.