Hovnanian EnterprisesHOV +11.31%68 EV-to-FCF is 5.78 as of Jun. 25, 2026, which is 34% below its 10-year median of 8.77. GuruFocus rates HOV with a GF Score™ of 68/100 and a GF Value™ of $124.95 (Modestly Overvalued). The stock has 11 warning signs investors should review. Among 55 Homebuilding & Construction companies, Hovnanian Enterprises ranks better than 87.27% on this metric.
EV-to-FCF is calculated as enterprise value divided by its free cash flow. As of today, Hovnanian Enterprises's Enterprise Value is $1,568 Mil.
Hovnanian Enterprises's Free Cash Flow for the trailing twelve months (TTM) ended in Apr. 2026 was $271 Mil. Therefore, Hovnanian Enterprises's EV-to-FCF for today is 5.78.
The historical rank and industry rank for Hovnanian Enterprises's EV-to-FCF or its related term are showing as below:
HOV'
s EV-to-FCF Range Over the Past 10 Years
Min: -65.61 Med: 8.77 Max: 391.92
Current: 5.78
During the past 13 years, the highest EV-to-FCF of Hovnanian Enterprises was 391.92. The lowest was -65.61. And the median was 8.77.
HOV's EV-to-FCF is ranked better than 87.27% of 55
companies
in the Homebuilding & Construction industry
Industry Median: 15.01
vs HOV: 5.78
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Hovnanian Enterprises's PE Ratio (TTM) for today is calculated as:
Hovnanian Enterprises's share price for today is $141.91.
Hovnanian Enterprises's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Apr. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $3.640.
* 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.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Free Cash Flow is an important financial metric because it represents the actual amount of cash at a company's disposal. Companies with a low EV-to-FCF ratio, combined with a strong balance sheet are generally considered as undervalued.
* 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, Hovnanian Enterprises's EV-to-FCF, along with its competitors' market caps and EV-to-FCF 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.
Hovnanian Enterprises EV-to-FCF vs Homebuilding & Construction Industry
For the Homebuilding & Construction industry and Consumer Cyclical sector, Hovnanian Enterprises's EV-to-FCF distribution charts can be found below:
* The bar in red indicates where Hovnanian Enterprises's EV-to-FCF falls into.
Hovnanian Enterprises's current Enterprise Value is $1,568 Mil.
Hovnanian Enterprises's Free Cash Flow for the trailing twelve months (TTM) ended in Apr. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $271 Mil.
* 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.
Hovnanian Enterprises (HOV) has a EV-to-FCF of 5.78 as of Jun. 25, 2026. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Hovnanian Enterprises and its competitors. This is 34% below median its historical median of 8.77. According to the industry distribution chart, Hovnanian Enterprises ranks #7 out of 55 companies in the Homebuilding & Construction industry, placing it in the top 12.7%.
Is Hovnanian Enterprises' EV-to-FCF too high?
Hovnanian Enterprises' current EV-to-FCF of 5.78 is 34% below median its 10-year median of 8.77. The Homebuilding & Construction industry median EV-to-FCF is 15.01. Hovnanian Enterprises' value of 5.78 is 61.5% below this industry median. Based on the distribution chart, Hovnanian Enterprises ranks #7 out of 55 companies in the Homebuilding & Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Hovnanian Enterprises has a GF Score™ of 68/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Hovnanian Enterprises' EV-to-FCF compare to BZH and LEGH?
According to the Homebuilding & Construction industry distribution chart, Hovnanian Enterprises ranks #7 out of 55 companies for EV-to-FCF. This places Hovnanian Enterprises in the top 13% of its industry — outperforming the majority of peers. The industry median EV-to-FCF is 15.01. Hovnanian Enterprises' value of 5.78 is 61.5% below this benchmark. While the company's 10-year median is 8.77 vs. the industry median of 15.01, Hovnanian Enterprises 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 EV-to-FCF for a Homebuilding & Construction company?
The median EV-to-FCF among Homebuilding & Construction companies is 15.01, based on 55 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-FCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-FCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Hovnanian Enterprises's current EV-to-FCF of 5.78 is 61.5% 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 EV-to-FCF mean?
A high EV-to-FCF can signal that a stock is expensive relative to its fundamentals. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Hovnanian Enterprises and its competitors. For the Homebuilding & Construction industry, the median EV-to-FCF is 15.01 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hovnanian Enterprises's current EV-to-FCF is 5.78, which is 34% below median its own 10-year median of 8.77. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hovnanian Enterprises stock overvalued right now?
Based on GuruFocus' analysis, Hovnanian Enterprises (HOV) is currently considered Modestly Overvalued. The stock's GF Value™ is $124.95, compared to a current price of $141.91 — trading 13.6% above its estimated fair value. The current EV-to-FCF is 5.78, which is 34% below median its 10-year median of 8.77 and 61.5% below the Homebuilding & Construction industry median of 15.01. Hovnanian Enterprises' overall GF Score™ is 68/100 with 11 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-FCF calculated?
EV-to-FCF is calculated from a company's financial statements. For Hovnanian Enterprises (HOV), the current EV-to-FCF is 5.78 as of Jun. 25, 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 Hovnanian Enterprises (HOV) Overvalued in 2026?
Based on GuruFocus' analysis, Hovnanian Enterprises stock appears to be overvalued.
The current stock price of $141.91 is trading 13.6% above its estimated GF Value™ of $124.95.
GuruFocus considers Hovnanian Enterprises to be Modestly Overvalued.
Key valuation signals for HOV:
EV-to-FCF: 5.78 (34% below median its 10-year median of 8.77)
GF Value™: $124.95 vs. price of $141.91 (13.6% above fair value)
Industry Position: 61.5% below the Homebuilding & Construction median (#7 of 55)
No single metric tells the full story. See the HOV stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hovnanian Enterprises Inc conducts all of its homebuilding and financial services operations. The company designs, constructs, markets, and sells single-family detached homes, attached townhomes and condominiums, urban infill, and active lifestyle homes in planned residential developments. It has two distinct operations: homebuilding and financial services. Its homebuilding operations are divided geographically into three segments: Northeast, which includes Delaware, Maryland, New Jersey, Ohio, Pennsylvania, Virginia, and West Virginia; Southeast, which includes Florida, Georgia, and South Carolina; and West, which includes Arizona, California, and Texas. The firm generates maximum revenue from the West Segment.
68GF Score
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