NVR, Inc. (NVR)
Consumer Cyclical · NYQ · US
Fundamentals
Valuation and ratings
NVR, Inc. trades at USD6,701.10, which is 49% above the USD3,448.37 our discounted cash flow model puts on the business. On that measure it screens as expensive, which is not the same as saying it will fall.
Our moat model scores it 54 out of 100, which is a moat, but not a deep one. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 15.7 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About NVR, Inc.
NVR, Inc. operates as a homebuilder in the United States. The company operates through Homebuilding and Mortgage Banking segments. It engages in the construction and sale of single-family detached homes, townhomes, and condominium buildings under the Ryan Homes, NVHomes, and Heartland Homes names. The company markets its Ryan Homes products to first-time and first-time move-up buyers; and NVHomes and Heartland Homes products to move-up and luxury buyers. It also provides various mortgage related services to its homebuilding customers, as well as brokers title insurance; performs title searches; and sells mortgage loans to investors in the secondary markets on a servicing released basis. The company primarily serves Maryland, Virginia, West Virginia, Delaware, Washington, D.C., New Jersey, Eastern Pennsylvania, New York, Ohio, Western Pennsylvania, Indiana, Illinois, North Carolina, South Carolina, Tennessee, Florida, Georgia, and Kentucky. NVR, Inc. was founded in 1948 and is headquartered in Reston, Virginia.
NVR passes 1 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Smart money ownership
16 of the funds we track reported a position in their latest SEC 13F filing. Largest first:
- Capital Research Global, Capital Research Global Investors$1.07B · 0.2% of book
- Thomas Gayner, MARKEL GROUP INC.$159.30M · 0.7% of book
- Francois Rochon, Giverny Capital Inc.$89.93M · 3.3% of book
- Warren Buffett, BERKSHIRE HATHAWAY INC$73.23M · 0.0% of book
- Israel Englander, MILLENNIUM MANAGEMENT LLC$64.74M · 0.0% of book
A word of warning on reading these figures: a 13F reports the market value of a holding, so a fund that traded nothing at all still appears to have sold when the price fell. We found 102 companies where the standard reading gives the opposite answer. Only the share count is honest.
Common questions
Is NVR, Inc. (NVR) undervalued?
Against our discounted cash flow estimate of USD3,448.37, NVR at USD6,701.10 is 49% above fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
Which funds own NVR?
16 of the institutions we track reported a position in NVR in their most recent SEC 13F filing. A 13F is filed up to 45 days after quarter end, so it tells you what a fund held then, not what it holds now.
What is NVR's P/E ratio?
NVR trades at 15.7 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
The full research page for NVR, with financial statements, ownership detail, peer comparison and alerts, is free inside the app.
Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.