XHB - SPDR S&P Homebuilders ETF
| Previous Close | 47.98 |
| Open | 48.12 |
| Bid | 48.00 x 1800 |
| Ask | 48.43 x 3200 |
| Day's Range | 47.97 - 48.53 |
| 52 Week Range | 34.17 - 48.53 |
| Volume | 1,946,290 |
| Avg. Volume | 1,799,277 |
| Net Assets | 756.24M |
| NAV | 47.96 |
| PE Ratio (TTM) | N/A |
| Yield | 0.89% |
| YTD Daily Total Return | 5.27% |
| Beta (5Y Monthly) | 1.18 |
| Expense Ratio (net) | 0.35% |
| Inception Date | 2006-01-31 |
- Zacks
Homebuilder ETFs Shining in 2020: Will This Continue?
The U.S. homebuilding industry continued its strong momentum heading into the New Year given that groundbreakings on new U.S. homes surged to a 13-year high in December.
- ETF Trends
Homebuilders ETFs: Housing Starts Hit 13-Year High
Homebuilder sector exchange traded funds are building on the improving housing market recovery as U.S. home construction jumped to a 13-year high in December. Over the past year, the SPDR S&P Homebuilders ...
- Zacks
Sector ETFs to Watch Out for Until Phase-2 Trade Deal
The movements in these sector ETFs should be watched closely as the phase-1 trade deal is being signed and there is no tariff relief for a huge chunk of goods until phase-2.
- Zacks
Bet on Favorite Sector ETFs & Stocks This Earnings Season
Like the first three quarters of 2019, the earnings picture looks weak for Q4 thanks to tough comparisons and moderating economic growth.
- ETF Trends
Homebulder ETFs Strengthen on Lennar Q4 Beat
Home construction stocks and homebuilder-related exchange traded funds stood out on Wednesday after Lennar Corp. (NYSE: LEN) beat estimates, despite falling home prices over the last quarter. On Wednesday, ...
- ETF Trends
Mortgage Rates Falling Could Have Homebuilder ETFs Rising
The average rate on a typical 30-year fixed rate mortgage fell to its lowest level since October, which could feed into strength for homebuilder ETFs. According to Mortgage News Daily, the rate fell to 3.69%, which could have prospective home buyers rethinking a real estate purchase in 2020. This fall in rates couples increased buyer sentiment tracked by a monthly survey put out by secondary mortgage market participant Fannie Mae (HPSI).
- Investing.com
Lennar Numbers Give Hope to Homebuilders
Investing.com – Homebuilders are reporting earnings this week and Lennar (NYSE:LEN) brightened the outlook for U.S. housing with solid results Wednesday.
- ETF Trends
Lower Interest Rates to Start 2020 Could Help Homebuilder ETFs
Low interest rates to start 2020 could help give a shot in the arm to homebuilder ETFs in the new year. Lower mortgage rates could continue to give the housing market a much-needed boost, which could translate to more strength for homebuilders. Rising rates, low affordability and rising homebuilder costs due to tariffs have been thorns in the side for the housing market the past couple of years.
- ETF Trends
Rising Home Prices Could Further Strengthen Homebuilder ETFs
U.S home prices have risen at their fastest past in five months, fueling the ongoing strength in the housing market and homebuilders sector-related exchange traded funds. Year-to-date, the SPDR S&P Homebuilders ...
- InvestorPlace
5 Hot Housing Stocks That Could Stay Hot in 2020
Just under a year ago, I wrote a piece on InvestorPlace.com wherein I said that housing stocks were positioned for a huge rebound in 2019, after a sub-par 2018 showing. Fast forward twelve months. Year-to-date, the SPDR S&P Homebuilders ETF (NYSEARCA:XHB) is up an impressive 40%, marking its best annual performance since 2012.In other words, heading into 2019, I was exceptionally bullish on housing stocks, and those stocks proceeded to have their second best year of the decade.Heading into 2020, though, I'm less bullish, and more cautiously optimistic.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThat is, I'm optimistic on housing stocks sustaining their rally. Housing market fundamentals should remain largely positive over the next twelve months, characterized by continued strong labor conditions, low mortgage rates, healthy demand from first-time home-buyers, steady supply growth and gradual home price gains.But, I'm also cautious on the idea that valuation and positioning could limit how much higher these stocks go. Specifically, heading into 2019, housing market fundamentals were set to improve, and housing stocks were not priced for this improvement (they were dirt cheap at ~8-times forward earnings, and were coming off a 27% selloff in 2018). That created a compelling buying opportunity. Heading into 2020, however, housing market fundamentals are still set to improve, but housing stocks are now priced for this improvement (the forward earnings multiple has expanded to 11, and the group as a whole rose 40% in 2019).Because of this, while I think housing stocks can and will continue to rally in 2020, the magnitude of that rally will be much smaller than the gains these stocks posted in 2019. * 7 'A'-Rated Stocks to Buy Under $10 With that in mind, I've put together a list of five hot housing stocks that I think can outperform in 2020. Hot Housing Stocks: LGI Homes (LGIH)YTD Gain: 56%With operations in 26 markets and 16 states, home-builder LGI Homes (NYSE:LGIH) looks well positioned to benefit from macro U.S. housing market tailwinds in 2020. Also of note, LGI Homes has a big presence in the important and rapidly growing San Antonio, Dallas/Fort Worth and Houston housing markets.It should be no surprise, then, that analysts are calling for 15%-plus profit growth at LGI Homes next year.More than that, though, LGIH stock trades at just 10.4-times forward earnings, which is below the homebuilder sector average forward earnings multiple (10.9). If LGI Homes does rise with the housing market in 2020 -- as it should -- then the stock's underlying multiple should expand about 5% to be on par with the industry's multiple.In other words, LGIH stock is in a great position to move higher in 2020 thanks to robust profit growth and multiple expansion. Put together, 15%-plus profit growth and ~5% multiple expansion could easily push LIGH stock another 20% higher in 2020, after a 50%-plus gain in 2019. Lennar (LEN)YTD Gain: 43%Much like LGI Homes, Lennar (NYSE:LEN) is a big home-builder with enough geographic and demographic diversity to ensure that macro U.S. housing market tailwinds turn into sustained growth at the company in 2020. In particular, Lennar has a large presence in the apartment world, and recent data implies that this vertical of the housing market is a growth one.That's why Lennar's profits are projected to rise about 7% next year, according to Wall Street estimates.At the same time, LEN stock trades at just 9.2-times forward earnings. That's about as cheap as it gets in the homebuilder category. It's also well below the stock's five-year average forward-earnings multiple of nearly 11. * 7 High-Yield Dividend Stocks for Growth and Income in the 2020s Given that the industry average forward earnings multiple is also 11, it's not that far fetched to think that LEN stock's forward earnings multiple expands meaningfully in 2020. That meaningful expansion on top of mild profit growth should drive healthy gains in LEN stock. D.R. Horton (DHI)YTD Gain: 53%The No. 1 homebuilder in America by closings volume -- D.R. Horton (NYSE:DHI) -- had a strong 2019, rising more than 50%. More importantly, though, America's largest homebuilder is in a great position to keep running higher in 2020.The thesis is quite simple. As the country's biggest homebuilder, D.R. Horton goes as the U.S. housing market goes. The U.S. housing market is going higher in 2020. So will D.R. Horton's revenues and profits. Analysts are calling for profits at the company to rise more than 7% next year.Simultaneously, DHI stock trades at 10.9-times forward earnings. That's below the stock's five-year average 11.4-times forward earnings multiple. Given the favorable growth backdrop and DHI's favorable positioning in the housing market, there's no reason why DHI stock shouldn't trade at its historically normal 11.4-times forward earnings multiples. Thus, DHI stock could benefit from ~5% multiple expansion in 2020.Roughly 7% profit growth on top of 5% multiple expansion should drive a 10%-plus gain in DHI stock in 2020, after a 53% up year in 2019. KB Home (KBH)YTD Gain: 78%Homebuilder KB Home (NYSE:KBH) was one of the best performing housing stocks of 2019, rising a whopping 78% behind community count growth, gross margin expansion and robust profit growth. Fortunately for bulls, it looks like KBH stock may yet again be another top performing housing stock in 2020.Favorable housing market conditions will keep KB Home's revenue and profit trends healthy in 2020. Sustained community count growth will also juice the company's growth trajectory, while rising prices will provide a lift to gross margins. Thus, the sell-side consensus projection for 8% profit growth in 2020 seems entirely doable.Meanwhile, KBH stock trades at just 9.9-times forward earnings. That's one of the lowest multiples in the entire homebuilder group. It's also well below the industry average 10.9-times forward earnings multiple, and KBH's five-year average forward earnings multiple of 10.8. This discrepancy will likely fade in 2020 as KBH sustains robust profit growth against a healthy operating backdrop. As it does, KBH stock could benefit from ~10% multiple expansion. * 10 High-Yield Monthly Dividend Stocks to Buy Putting those two drivers together, sustained profit growth and multiple expansion could drive a 20%-plus gain in KBH stock in 2020. By my projections, that would make KBH stock one of the best performing housing stocks in 2020. Toll Brothers (TOL)YTD Gain: 21%Although homebuilder Toll Brothers (NYSE:TOL) rose 21% in 2019, that performance was weak relative to the rest of the group -- the other four stocks on this list rose more than 40% in 2019. This 2019 under-performance, however, positions the stock for over-performance in 2020.In 2019, Toll Brothers' gross margins struggled. Those gross margin struggles should ease in 2020 as demand trends in the housing market improve, and as Toll Brothers expands more aggressively into the affordable housing vertical (which is where a lot of growth will come from in 2020). A rebound in gross margins will drive super-charged 2020 profit growth, since the 2019 lap is low. As such, analysts are calling for 15% profit growth next year.That's a lot of profit growth. And yet, TOL stock trades at just 10.3-times forward earnings -- which is cheap on its face, cheap relative to the homebuilder category and cheap relative to TOL's trailing five-year standards. Thus, a gross margin rebound in 2020 could also spark multiple expansion for the stock.This combination of multiple expansion and 15% profit growth should drive sizable gains for TOL stock in 2020.As of this writing, Luke Lango did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 'A'-Rated Stocks to Buy Under $10 * 7 High-Yield Dividend Stocks for Growth and Income in the 2020s * 7 Tech Stocks to Buy As the Trade War Ends The post 5 Hot Housing Stocks That Could Stay Hot in 2020 appeared first on InvestorPlace.
- ETF Trends
Low Rates, Affordable Housing Fuel Homebuilder ETF Rally
Homebuilder stocks and sector-related ETFs have surged this year, rebounding to their previously record highs, as a return to a low-interest rate environment and rising housing starts helped fuel new home ...
- Zacks
Top ETF Areas for 2020
As ETF investing constantly climbs the popularity charts, we highlight a few good ETF areas that investors can bank on for 2020.
- Zacks
ETFs to Gain on Positive US New Home Sales Data
The latest data releases indicate improvement in the US housing market.
- Zacks
ETFs That May Suffer Owing to Weak US Existing Home Sales
We highlight some homebuilding ETFs that may lose as the latest data on U.S. existing home sales disappoints.
- Investopedia
Early Warning
Markets closed unchanged as volatility crept higher. Homebuilders could be at a top as anticipated new inventory drives D.R. Horton lower.
- Zacks
ETFs in Focus on Upbeat November Housing Starts Update
We highlight some housebuilding ETFs as the attested information on housing starts looks impressive.
- Yahoo Finance
The U.S. housing market is taking off: Morning Brief
Top news and what to watch in the markets on Wednesday, December 18, 2019.
- Yahoo Finance
The hottest housing market of 2019
Home sales price and rent surged in Phoenix this year.
- Barrons.com
Low Mortgage Rates Don’t Help if Houses Are Too Expensive
Housing will continue to be a plus for the economy in the new year. But beneath the bubbling surface of the housing market lurks trouble.
- ETF Trends
Home Builder’s Index Hits Historic Number as Stock Notch Fresh Highs
With U.S. stocks rallying to fresh all-time highs on the back of news of a trade deal, the National Association of Home Builders’ monthly confidence index showed a five point increase to 76 in December from an upwardly-revised 71 the month prior, the trade group said Monday. “Builders are continuing to see the housing rebound that began in the spring, supported by a low supply of existing homes, low mortgage rates and a strong labor market,” said NAHB Chairman Greg Ugalde, a home builder and developer from Torrington, Conn. “While we are seeing near-term positive market conditions with a 50-year low for the unemployment rate and increased wage growth, we are still underbuilding due to supply-side constraints like labor and land availability,” said NAHB chief economist Robert Dietz.
- Yahoo Finance Video
U.S. flood risk model to become available for homebuyers
Climate research group First Street Foundation will offer access to a risk model that forecasts the probability of flooding for homes across the nation. Houzz Principal Economist Nino Sitchinava breaks down what this means for home owners, along with 2020 design trends, and more. Yahoo Finance's Zack Guzman & Heidi Chung, along with the Director of Research at QVIDTVM, Inc. Max Raskin join in on the conversation.
- Yahoo Finance Video
Barbara Corcoran on real estate: Prices are going to continue to go up
The average 30-year fixed mortgage rate declined to its lowest rate since October this week, but is now the best time to buy? The Corcoran Group Founder & Shark Tank star Barbara Corcoran, joins Yahoo Finance's Zack Guzman and Kristin Myers discuss.
- Yahoo Finance Video
Housing outlook amid market uncertainty
Mortgage rates are on the decline, with the 30 year rate at its lowest level in a month. SitusAMC Managing Director, Tim Rood breaks it down with Yahoo Finance's Seana Smith.
- Yahoo Finance Video
New home sales rebound in November
New home sales increased 1.3% to a seasonally adjusted annual rate of 719,000 units in November. Lawrence Yun, National Association of REALTORS Chief Economist, discusses on The Ticker with Yahoo Finance's Seana Smith.
