Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, homebuilder PulteGroup (NYSE: PHM) has received a distressing two-star ranking.

With that in mind, let's take a closer look at PulteGroup's business and see what CAPS investors are saying about the stock right now.

PulteGroup facts

Headquarters (founded) Bloomfield Hills, Mich. (1956)
Market Cap $4.9 billion
Industry Homebuilding
Trailing-12-Month Revenue $4.4 billion
Management Chairman/CEO Richard Dugas, Jr.
CFO Robert O'Shaughnessy
Return on Equity (average, past 3 years) (22.2%)
Cash/Debt $1.3 billion / $3.2 billion
Competitors D. R. Horton
KB Home
Lennar

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 54% of the 1,268 members who have rated PulteGroup believe the stock will underperform the S&P 500 going forward.

Earlier this week, one of those Fools, All-Star Chemdawg, succinctly summed up the PulteGroup bear case for our community:

Debt still too high and its [share price] went up basically because of future expectations ... theres a lot of time to go before they show strong growth ... still cash flow negative ... still tons of shadow inventory here in Florida ... it may have bottomed for the most part, but banks are still not lending ... and most people dont pay cash for new homes ... even those with the means to do so.

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