TODD KOROL/Reuters
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Century Communities, Inc. is engaged in the development, design, construction, marketing and sale of single-family attached and detached homes in metropolitan areas in Colorado, Texas, Las Vegas, Nevada and Atlanta. In many of its projects, in addition to building homes, the company is responsible for the entitlement and development of the underlying land. It has a market cap of $435-million (U.S.).
The company has grown earnings at a 121-per-cent pace over the long term (using an average of the 3- and 4-year EPS growth rates) and sales at a 64-per-cent clip (using an average of the 3-, 4- and 5-year sales growth rates)
The Peter Lynch-based model likes its 15.6 P/E and 0.13 PE-to-growth ratio.
It has averaged a whopping 88-per-cent return on retained earnings (those not paid out as dividends) over the past decade, which Warren Buffett model likes.
Century Communities gets strong interest from the James O'Shaughnessy-based growth model, thanks to its combination of good momentum (79 relative strength over past 12 months) and cheap 0.75 price/sales ratio. The O'Shaughnessy model also likes that it has upped EPS in each of last four years.
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