D.R. Horton, Inc.

DHI position long Gavin Baker, Atreides Management

Thesis

D.R. Horton has significantly increased its market share in the housing industry, growing from 8.2% in 2018 to approximately 13% in 2025. The company benefits from efficiencies of scale in land acquisition, house design, and bulk purchasing, allowing it to build houses less expensively and compound revenue per share at a rate approaching that of growth stocks, despite trading at depressed multiples.

Did it work?

inconclusive confidence: low

Without specific price performance data or a defined time frame for the thesis, it's difficult to assess whether the investment thesis has played out. The projected increase in market share and efficiencies may still be valid, but without concrete evidence of price movement or confirmation of the thesis dynamics, the outcome remains uncertain.

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