D.R. Horton (DHI) Barclays 42nd Annual Industrial Select Conference summary

Audience sentiment and market outlook

• Investor sentiment was leaning negative to neutral, with most expecting EPS growth above peers and favoring share repurchases for excess cash.

• Margin performance and core growth were seen as the most significant share price headwinds.

Spring selling season and demand drivers

• Entering the spring season with solid demand expectations, but uncertainty remains due to interest rate volatility.

• Affordability remains a challenge, addressed primarily through rate buydowns.

• Rate stability is seen as key for buyer confidence and sales pace.

Inventory and incentives

• Inventory levels are up but not at concerning levels; new homes offer better insurance rates and incentives compared to existing homes.

• Holding more completed spec homes due to faster build times; focus remains on moving aged inventory through targeted sales.

• Rate buydowns of 1–1.5 points below market remain effective and are expected to continue.