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Taylor Morrison HomeTMHC 63 Debt-to-Equity is 0.39 as of Mar. 2026, which is 50% below its 10-year median of 0.78. GuruFocus rates TMHC with a GF Score™ of 63/100 and a GF Value™ of $55.83 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 90 Homebuilding & Construction companies, Taylor Morrison Home ranks better than 61.11% on this metric.
A high debt to equity ratio generally means that a company has been aggressive in financing its growth with debt. This can result in volatile earnings as a result of the additional interest expense.
The historical rank and industry rank for Taylor Morrison Home's Debt-to-Equity or its related term are showing as below:
TMHC'
s Debt-to-Equity Range Over the Past 10 Years
Min: 0.36 Med: 0.78 Max: 3.34
Current: 0.39
During the past 13 years, the highest Debt-to-Equity Ratio of Taylor Morrison Home was 3.34. The lowest was 0.36. And the median was 0.78.
TMHC's Debt-to-Equity is ranked better than 61.11% of 90
companies
in the Homebuilding & Construction industry
Industry Median: 0.69
vs TMHC: 0.39
Because a company can increase its ROE % by having more financial leverage, it is important to watch the leverage ratio when investing in high ROE % companies.
Taylor Morrison Home Debt-to-Equity Related Terms
Taylor Morrison Home Debt-to-Equity Historical Data
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The historical data trend for Taylor Morrison Home's Debt-to-Equity can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Residential Construction subindustry, Taylor Morrison Home's Debt-to-Equity, along with its competitors' market caps and Debt-to-Equity data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Taylor Morrison Home Debt-to-Equity vs Homebuilding & Construction Industry
For the Homebuilding & Construction industry and Consumer Cyclical sector, Taylor Morrison Home's Debt-to-Equity distribution charts can be found below:
* The bar in red indicates where Taylor Morrison Home's Debt-to-Equity falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Taylor Morrison Home (TMHC) has a Debt-to-Equity of 0.39 as of Mar. 2026. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on Taylor Morrison Home and its competitors. This is 50% below median its historical median of 0.78. Over the past decade, Taylor Morrison Home's Debt-to-Equity has ranged from 0.36 to 3.34. According to the industry distribution chart, Taylor Morrison Home ranks #35 out of 90 companies in the Homebuilding & Construction industry, placing it in the top 38.9%.
Is Taylor Morrison Home's Debt-to-Equity too high?
Taylor Morrison Home's current Debt-to-Equity of 0.39 is 50% below median its 10-year median of 0.78. Over the past 10 years, this metric has ranged from a low of 0.36 to a high of 3.34. The Homebuilding & Construction industry median Debt-to-Equity is 0.69. Taylor Morrison Home's value of 0.39 is 43.5% below this industry median. Based on the distribution chart, Taylor Morrison Home ranks #35 out of 90 companies in the Homebuilding & Construction industry, which is above the industry midpoint. Overall, Taylor Morrison Home has a GF Score™ of 63/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Taylor Morrison Home's Debt-to-Equity compare to IBP and MTH?
According to the Homebuilding & Construction industry distribution chart, Taylor Morrison Home ranks #35 out of 90 companies for Debt-to-Equity. This puts Taylor Morrison Home in the upper half of its industry. The industry median Debt-to-Equity is 0.69. Taylor Morrison Home's value of 0.39 is 43.5% below this benchmark. Historically, Taylor Morrison Home's own Debt-to-Equity has ranged from 0.36 to 3.34 over the past decade. While the company's 10-year median is 0.78 vs. the industry median of 0.69, Taylor Morrison Home has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Debt-to-Equity for a Homebuilding & Construction company?
The median Debt-to-Equity among Homebuilding & Construction companies is 0.69, based on 90 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-Equity significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Taylor Morrison Home's current Debt-to-Equity of 0.39 is 43.5% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Debt-to-Equity mean?
A high Debt-to-Equity can signal that a stock is expensive relative to its fundamentals. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on Taylor Morrison Home and its competitors. For the Homebuilding & Construction industry, the median Debt-to-Equity is 0.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Taylor Morrison Home's current Debt-to-Equity is 0.39, which is 50% below median its own 10-year median of 0.78. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Taylor Morrison Home stock overvalued right now?
Based on GuruFocus' analysis, Taylor Morrison Home (TMHC) is currently considered Modestly Overvalued. The stock's GF Value™ is $55.83, compared to a current price of $72.45 — trading 29.8% above its estimated fair value. The current Debt-to-Equity is 0.39, which is 50% below median its 10-year median of 0.78 and 43.5% below the Homebuilding & Construction industry median of 0.69. Taylor Morrison Home's overall GF Score™ is 63/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-Equity calculated?
Debt-to-Equity is calculated from a company's financial statements. For Taylor Morrison Home (TMHC), the current Debt-to-Equity is 0.39 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Taylor Morrison Home (TMHC) Overvalued in 2026?
Based on GuruFocus' analysis, Taylor Morrison Home stock appears to be overvalued.
The current stock price of $72.45 is trading 29.8% above its estimated GF Value™ of $55.83.
GuruFocus considers Taylor Morrison Home to be Modestly Overvalued.
Key valuation signals for TMHC:
Debt-to-Equity: 0.39 (50% below median its 10-year median of 0.78)
GF Value™: $55.83 vs. price of $72.45 (29.8% above fair value)
Industry Position: 43.5% below the Homebuilding & Construction median (#35 of 90)
No single metric tells the full story. See the TMHC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Taylor Morrison Home Corp is an American residential construction company engaged in residential homebuilding and the development of lifestyle communities. It designs, builds, and sells single and multi-family detached and attached homes in traditionally high growth markets for entry level, move-up, and resort lifestyle buyers. The company has four reportable segments: East, Central, West, and Financial Services. The majority of the company's revenue is derived from its West Segment.
63GF Score
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