KB Home cash flow to debt ratio of 19.37% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

KB Home's free cash flow has decreased 11.17% from $323.41M last year to $287.28M, signaling decreasing performance

KB Home's debt to equity ratio is 0.53, which means that the company's assets are healthy financed, signaling financial stability.

KB Home's debt has increased relative to shareholder equity from 0.42 last year to 0.53 today, signaling weakened financials

KB Home has a net debt to EBITDA ratio of 2.54x, which is below the 3.00x threshold, indicating healthy leverage and financial stability

KB Home earns at least as much interest as it pays. Interest obligations are fully covered.

KB Home's profit margin has decreased (47.69%) in the last year from 9.45% to 4.94%, signaling decreasing performance

KB Home's short-term assets of $6.27B exceed its short-term liabilities of $1.37B

KB Home's return on assets of 4.02% is lower than the 5.00% threshold, indicating inefficient asset utilization

KB Home's return on equity of 7.04%, is lower than 15.00%, indicating bad performance

KB Home's operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation

KB Home had positive net income in 5 out of 5 years, indicating stable and consistent earnings

KB Home has positive free cash flow, indicating the company generates cash after capital expenditures

KB Home has a free cash flow yield of 8.29%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

KB Home's yearly earnings has decreased 34.54% since last year from $655.02M to $428.79M, signaling decreasing performance

KB Home's yearly revenue has decreased 10.01% since last year from $6.93B to $6.24B, signaling decreasing performance

ROIC 4.37% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.

KB Home's 3-year revenue CAGR of -3.33% is negative, indicating declining revenue over the past 3 years

KB Home had revenue growth in 3 out of 5 years, indicating consistent revenue performance

KB Home had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

KB Home is overvalued relative to its fair value price of 31.68 based on Discounted Cash Flow model

KB Home has an earnings yield of 7.74%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

KB Home is overvalued relative to its fair value price of 42.56 based on EBITDA multiple model

KB Home has an EV/EBITDA ratio of 8.40x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

KB Home is undervalued relative to its fair value price of 193.16 based on Earnings Fair Value model

KB Home has a PEG-ratio under 1 which is considered undervalued

KB Home has a price-to-book ratio of 0.93x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

KB Home has a price-to-sales ratio of 0.64x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue