|Bid||41.20 x 2900|
|Ask||42.91 x 1800|
|Day's Range||41.41 - 42.55|
|52 Week Range||32.39 - 47.02|
|Beta (3Y Monthly)||1.24|
|PE Ratio (TTM)||10.30|
|Earnings Date||Jul 30, 2019|
|Forward Dividend & Yield||0.60 (1.41%)|
|1y Target Est||47.87|
KB Home earnings beat Q2 views late Wednesday after homebuilders sold off Tuesday on Lennar earnings guidance. KB Home stock rose late.
D.R. Horton stock is basing above the 50-day line, while LGI Homes, NVR, KB Homes and Lennar also trading around that key level as Fed hints at a rate cut.
Residential homebuilder D.R. Horton is nearly ready to start work on its 177-unit Caramore Crossing project in Rosemount.
Editor's note: This article is a part of InvestorPlace.com's Best ETFs for 2019 contest. Vince Martin's pick for the contest is the iShares U.S. Home Construction ETF (BATS:ITB).Heading into 2019, the case for the iShares U.S. Home Construction ETF (BATS:ITB) was reasonably simple. Pretty much anything housing-related had been sold off big in 2018. In fact, ITB stock fell some 31% for the year. Yet the economy still seemed strong. Broad markets, even with a rough Q4, were in decent shape. Economically sensitive housing-related stocks were plunging despite the news simply being not that bad.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThat divergence was why I named ITB as my pick for the Best ETFs of 2019 contest. So far, it has been a solid choice, with the ITB ETF gaining 29% year-to-date against a 17% rise in the S&P 500. Homebuilder stocks have risen, as have most of the industry's retailers and many of its suppliers.But at this point, the case for ITB gets a little thinner. After the first quarter, the fund had returned 16%, but that was only modestly better than low double-digit gains in most broad market indices. And so I made the case in late March that ITB still had some catching up to do.Three months later, ITB hasn't completely caught up. Since the beginning of 2018, the fund remains negative against an ~10% gain for the S&P 500. But the gap certainly has closed. As such, this ETF will need some outside help if it's going to keep rising. * 10 'Buy-and-Hold' Stocks to Own Forever The Case Against ITB as One of the Best ETFsUp 29% YTD, it certainly seems like the easy money has been made here. That seems particularly true looking at the fund's key holdings: 27% of assets are in the country's two largest homebuilders, D.R. Horton (NYSE:DHI) and Lennar (NYSE:LEN).Both stocks have rallied sharply this year (+29% for DHI, +33% for LEN), driving a good chunk of the fund's gains. Another 40% of the fund owns smaller homebuilders -- most of which have followed similar patterns. Most of the group is below their highs, but many have at least returned to 2018 trading levels.Home Depot (NYSE:HD) has gained nicely, and is threatening a new all-time high. Lowe's (NYSE:LOW) has underperformed, but is still positive. In December, ITB was a case of buying a group of stocks at or near the lows. That's not the argument anymore.Now, ITB needs at least a few components to break out from the highs -- and not just rebound off the lows. That might be tough. Tariffs are pressuring margins in the space. Trade war concerns are affecting the macroeconomic outlook. There's still a belief that a downturn in the U.S. has to be on the way at some point, as we head into year eleven of the economic expansion. Homebuilder stocks, in particular, likely would take a big hit.At this point, risks are rising and valuations aren't as cheap. That's a combination that suggests, at the least, that ITB's appreciation is going to slow in the second half. The Case for the iShares U.S. Home Construction ETFFor market and macro bulls, however, ITB still looks like a solid pick. The ETF remains about 15% below early 2018 highs. With some help from lower interest rates, which would lower mortgage costs, and economic strength, it could re-take those highs, suggesting another 20% or so in upside.From a longer-term standpoint, the ETF still sits below where it traded back in 2006. ITB started trading on May 1st of that year. The housing crisis followed, and in less than three years, 85% of its value had been wiped out. It has been a long climb back from those lows, but if the economy cooperates, that climb can continue. * 7 Blue-Chip Stocks to Buy for a Noisy Market That's the key point, though: if the economy cooperates. To even consider ITB at this point, an investor truly has to trust both the economy and the broad market. If trade war concerns ease and/or if strong U.S. job and macro growth continues, ITB will keep rising. And, in that scenario, the ETF likely will outperform broad markets in the second half, just as it did in the first.But this is a different argument than it was six months ago. Then, the ETF looked like it was pricing in an almost-certain recession. That's just not the case anymore. For macro bulls, the ITB ETF is a way to get leveraged upside on more good economic news ahead. But it's not as cheap, or attractive, as it was six months ago.As of this writing, Vince Martin did not hold a position in any of the aforementioned securities. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Blue-Chip Stocks to Buy for a Noisy Market * 5 Strong Buy Biotech Stocks for the Second Half * 6 Stocks Ready to Bounce on a Trade Deal Compare Brokers The post Best ETFs for 2019: iShares U.S. Home Construction ETF Still Has a Chance appeared first on InvestorPlace.
Sell D.R. Horton, KB Home, Lennar, PulteGroup and Toll Brothers as these stocks are in bull market territory in a stalled housing market.
Housing market index falls two points from the prior month in June. Nonetheless, homebuilders remain confident about the upcoming period, given higher demand.
D.R. Horton, Inc. , America’s Builder, announced today that the Company will release financial results for its third fiscal quarter ended June 30, 2019 on Tuesday, July 30, 2019 before the market opens.
D.R. Horton Inc. (DHI) is one of the largest U.S. homebuilders based on homes delivered and revenue; we believe that annual economic growth of more than 2% in 2019 should continue to support the job market and give millennial-generation buyers the confidence to buy their first homes, notes Chris Graja, analyst with Argus Research.
Savage-based developer KJ Walk, Inc. is bringing a plan for 80 single family homes and 42 detached townhomes to Lakeville, a city where it already has two developments in progress.
Hedge funds and large money managers usually invest with a focus on the long-term horizon and, therefore, short-lived dips or bumps on the charts, usually don't make them change their opinion towards a company. This time it may be different. During the fourth quarter of 2018 we observed increased volatility and small-cap stocks underperformed the […]
While some investors are already well versed in financial metrics (hat tip), this article is for those who would like...
A chart of the median size of newly-constructed homes shows that the current housing cycle has peaked, though it doesn’t say when the housing market will finally roll over.
Lennar (LEN) benefits from strength in core homebuilding business and improving SG&A leverage. However, higher construction and labor costs are concerns.
D.R. Horton (DHI) reported earnings 30 days ago. What's next for the stock? We take a look at earnings estimates for some clues.
Sales of newly-constructed homes fell but sales figures from earlier months were found to be much higher, painting a drastically different picture of the residential construction landscape than earlier narratives.
After many years of booming sales, residential real estate is starting to move into a buyer's market in some key cities. Yahoo Finance's Alexis Christoforous and Brian Sozzi speak with Danielle Hale, Chief Economist at Realtor.com.