📊 BZH Key Takeaways
Is Beazer Homes USA Inc. (BZH) a Good Investment?
Beazer Homes is experiencing severe operational distress with persistent unprofitability, negative operating cash flow of -$228.8M, and deteriorating performance (net income down 67.5% YoY). The combination of high leverage (1.33x debt/equity), razor-thin 11.1% gross margins, and negative free cash flow of -$242.1M creates material solvency concerns. Absent significant operational restructuring and demand recovery, the company faces refinancing risk.
Beazer Homes' fundamentals are under pressure: revenue growth is modest, but profitability has deteriorated sharply, with negative operating margin, negative net income, and deeply negative free cash flow. The balance sheet still shows a meaningful equity base, but leverage is high relative to earnings power and cash generation, which weakens financial flexibility. Until margins and operating cash flow improve materially, the growth profile looks low quality.
Why Buy Beazer Homes USA Inc. Stock? BZH Key Strengths
- Maintains meaningful revenue base of $773.3M with modest 1.8% YoY growth indicating some market demand
- Positive stockholders' equity of $1.2B provides balance sheet foundation
- Gross profit of $85.9M demonstrates the company generates some contribution before fixed costs
- Revenue is still growing modestly year over year, indicating demand has not fully collapsed
- The company has a sizable equity base of about $1.20B, providing some balance sheet support
- Cash on hand of roughly $124M offers near-term liquidity support despite weak cash generation
BZH Stock Risks: Beazer Homes USA Inc. Investment Risks
- Critical negative operating cash flow of -$228.8M; business is burning cash operationally despite revenue generation
- Structural profitability crisis: operating margin of -6.6%, net margin of -4.3%, and negative ROE/ROA indicate fundamental operational failure
- Elevated leverage (1.33x debt/equity) with $1.6B debt burden unsustainable given negative cash generation and deteriorating earnings
- Gross margin of 11.1% is critically low for homebuilding, signaling severe cost pressures or pricing power collapse
- Rapidly deteriorating trend: net income down 67.5% YoY with negative EPS of -$1.18
- Profitability has turned weak, with negative operating income, negative net income, and low gross margin
- Operating cash flow and free cash flow are deeply negative, suggesting poor cash conversion and elevated execution risk
- Leverage is significant, with long-term debt exceeding cash by a wide margin and debt/equity at 1.29x
Key Metrics to Watch
- Operating Cash Flow - must achieve positive quarterly generation to validate business model sustainability
- Gross Margin trajectory - 11.1% is unsustainable; need evidence of cost management or pricing recovery
- Debt refinancing requirements and covenant compliance - critical given negative cash flow generation
- Gross margin and operating margin recovery
- Operating cash flow and free cash flow trend
Beazer Homes USA Inc. (BZH) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
BZH Profit Margin, ROE & Profitability Analysis
BZH vs Market Sector: How Beazer Homes USA Inc. Compares
How Beazer Homes USA Inc. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Beazer Homes USA Inc. Stock Overvalued? BZH Valuation Analysis 2026
Based on fundamental analysis, Beazer Homes USA Inc. shows some fundamental concerns relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Beazer Homes USA Inc. Balance Sheet: BZH Debt, Cash & Liquidity
BZH Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Beazer Homes USA Inc.'s revenue has grown significantly by 11% over the 5-year period, indicating strong business expansion. The most recent EPS of $5.16 reflects profitable operations.
BZH Revenue Growth, EPS Growth & YoY Performance
BZH Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q2 2026 | $409.8M | -$904.0K | $-0.03 |
| Q1 2026 | $363.5M | $3.1M | $0.10 |
| Q3 2025 | $545.4M | -$324.0K | $-0.01 |
| Q2 2025 | $541.5M | $12.8M | $0.42 |
| Q1 2025 | $386.8M | $3.1M | $0.10 |
| Q3 2024 | $572.5M | $27.2M | $0.88 |
| Q2 2024 | $541.5M | $34.7M | $1.13 |
| Q1 2024 | $386.8M | $21.7M | $0.70 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Beazer Homes USA Inc. Dividends, Buybacks & Capital Allocation
BZH SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Beazer Homes USA Inc. (CIK: 0000915840)
📋 Recent SEC Filings
❓ Frequently Asked Questions about BZH
What is the AI rating for BZH?
Beazer Homes USA Inc. (BZH) has a Combined AI Rating of SELL from Claude (STRONG SELL) and ChatGPT (SELL) with 85% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are BZH's key strengths?
Claude: Maintains meaningful revenue base of $773.3M with modest 1.8% YoY growth indicating some market demand. Positive stockholders' equity of $1.2B provides balance sheet foundation. ChatGPT: Revenue is still growing modestly year over year, indicating demand has not fully collapsed. The company has a sizable equity base of about $1.20B, providing some balance sheet support.
What are the risks of investing in BZH?
Claude: Critical negative operating cash flow of -$228.8M; business is burning cash operationally despite revenue generation. Structural profitability crisis: operating margin of -6.6%, net margin of -4.3%, and negative ROE/ROA indicate fundamental operational failure. ChatGPT: Profitability has turned weak, with negative operating income, negative net income, and low gross margin. Operating cash flow and free cash flow are deeply negative, suggesting poor cash conversion and elevated execution risk.
What is BZH's revenue and growth?
Beazer Homes USA Inc. reported revenue of $773.3M.
Does BZH pay dividends?
Beazer Homes USA Inc. does not currently pay dividends.
Where can I find BZH SEC filings?
Official SEC filings for Beazer Homes USA Inc. (CIK: 0000915840) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is BZH's EPS?
Beazer Homes USA Inc. has a diluted EPS of $-1.18.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is BZH a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Beazer Homes USA Inc. has a SELL rating with 85% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is BZH stock overvalued or undervalued?
Valuation metrics for BZH: ROE of -2.9% (sector avg: 15%), net margin of -4.3% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy BZH stock in 2026?
Our dual AI analysis gives Beazer Homes USA Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is BZH's free cash flow?
Beazer Homes USA Inc.'s operating cash flow is $-228.8M, with capital expenditures of $13.4M. FCF margin is -31.3%.
How does BZH compare to other Market stocks?
Vs Default sector averages: Net margin -4.3% (avg: 12%), ROE -2.9% (avg: 15%), current ratio N/A (avg: 1.8).