1253 ET - KB Home said it wants to get back to its historic levels of building 70% of its homes to order rather than on spec. That's a worthwhile long-term goal, but its success will depend on strength of demand during the spring selling season, say Zelman & Associates analysts. Historically, the company has built a competitive advantage and higher margins through build-to-order homes. But right now, the company's backlog is down 22% year-over-year, which means it will need significant order growth in the first half of next year. KB Home also has less spec inventory to use as a buffer if demand for its build-to-order homes doesn't pick up.(nicholas.miller@wsj.com)

(END) Dow Jones Newswires

September 26, 2025 12:54 ET (16:54 GMT)

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