Taylor Morrison Home Corp
F:THM
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Taylor Morrison Home Corp
F:THM
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Taylor Morrison Home Corp
Taylor Morrison Home Corp is a U.S. homebuilder that designs, builds, and sells single-family homes, townhomes, and some luxury homes in planned communities. It also develops and sells land in certain markets, which helps it control the sites where its homes are built. The company’s business is centered on turning raw land and finished lots into new neighborhoods that homebuyers can move into. Its main customers are individual buyers, including first-time buyers, move-up buyers, and higher-end buyers looking for a new home, as well as some active-adult customers in age-targeted communities. Taylor Morrison makes money by selling completed homes and, in some cases, by selling lots or land to other builders. It also earns from financing-related services tied to home purchases in some markets, which adds a smaller but useful stream of fee income. What makes the company’s role different is that it sits at the center of the new-home supply chain: it has to secure land, get approvals, build houses, and then sell directly to consumers. That means its results depend on housing demand, local land availability, construction costs, and mortgage conditions. Unlike a landlord or a broker, Taylor Morrison’s core product is the home itself, delivered through a build-to-sell model rather than recurring rental income.
Taylor Morrison Home Corp is a U.S. homebuilder that designs, builds, and sells single-family homes, townhomes, and some luxury homes in planned communities. It also develops and sells land in certain markets, which helps it control the sites where its homes are built. The company’s business is centered on turning raw land and finished lots into new neighborhoods that homebuyers can move into.
Its main customers are individual buyers, including first-time buyers, move-up buyers, and higher-end buyers looking for a new home, as well as some active-adult customers in age-targeted communities. Taylor Morrison makes money by selling completed homes and, in some cases, by selling lots or land to other builders. It also earns from financing-related services tied to home purchases in some markets, which adds a smaller but useful stream of fee income.
What makes the company’s role different is that it sits at the center of the new-home supply chain: it has to secure land, get approvals, build houses, and then sell directly to consumers. That means its results depend on housing demand, local land availability, construction costs, and mortgage conditions. Unlike a landlord or a broker, Taylor Morrison’s core product is the home itself, delivered through a build-to-sell model rather than recurring rental income.
Results: Taylor Morrison reported first-quarter adjusted EPS of $1.12 on about $1.3 billion of home closings revenue, with gross margin of 20.6% coming in better than its roughly 20% outlook.
Demand mix: The company saw a sharp shift toward to-be-built orders, which rose to 38% of sales from 28% in Q4, helping backlog grow 23% from year-end to 3,465 homes.
Inventory: Finished spec inventory fell 30% sequentially to 863 homes, and management said it is making progress toward targeted spec levels across most communities.
Guidance: Management reaffirmed full-year 2026 guidance, including about 11,000 closings, average closing price of $580,000 to $590,000, and year-end communities of 365 to 370.
Margins: Q2 gross margin is expected to be at least 20%, with management still expecting gradual improvement in the second half as the to-be-built mix rises and inventory clears.
Capital: The company ended the quarter with $1.6 billion of liquidity, repurchased $150 million of stock, and kept its full-year buyback target at $400 million.
