10 Best Residential Construction Stocks to Buy

6. PulteGroup, Inc. (NYSE:PHM)

Number of Hedge Fund Holders: 40

PulteGroup, Inc. (NYSE:PHM) is one of the largest homebuilders in the US with operations in over 40 major cities. It was founded in 1950 and has delivered almost 750,000 homes across the country. The homebuilder caters to first-time, move-up, and active-adult homebuyers through its brands Pulte, Centex, Del Webb, DiVosta, American West, and John Wieland Homes and Neighborhoods.

PulteGroup, Inc. (NYSE:PHM) boasts a strong operating platform that remains diversified enough across the major homebuying markets, giving it opportunities for growth. With a unique multi-branded approach to the market, the homebuilder has an unmatched ability to serve all buyer groups. As the nation’s third largest builder, Pulte continues to penetrate new markets while it favors from operating in an undersupplied market.

Pulte’s strong financial and operating performance enabled it to invest more than $13 billion into its business since 2015. Recently, the homebuilder closed a record-setting year as it reported its strong fourth quarter of 2024 results. The homebuilder posted nearly $18 billion in revenues and net income of $3.1 billion for the full year. Pulte deemed itself well-positioned for the upcoming spring selling season through its targeted sales incentives as well as faster construction cycle times resulting in a sales backlog and inventory in process.