Goldman Sachs analyst Susan Maklari initiated coverage of PulteGroup with a Buy rating and $45 price target. The analyst initiated coverage of six homebuilding stocks with a positive sector view as her analysis of the housing market points to an acceleration in activity next year given an accommodative rate environment with broader economic expansion. PulteGroup's "peer leading" return on equity warrants share upside, contends Maklari.

Zelman upgraded PulteGroup to Outperform from Neutral.

BTIG analyst Carl Reichardt raised the firm's price target on PulteGroup to $133 from $122 and keeps a Buy rating on the shares after its Q1 earnings beat. The outperformance was driven by delivery volume, gross margin, financial services income and a lower tax rate, though these were partially offset by lower average selling prices, SG&A ex-the benefit and land sales profit, the analyst tells investors in a research note. BTIG maintains that PulteGroup's high relative returns, conservative balance sheet, balanced product mix and scale advantages over many smaller peers are underappreciated.