KB Home – KBH Stock Up Today, Still Sucks YTD

by Karl Utermohlen | December 18, 2013 12:13 pm

KB Home – KBH Stock Up Today, Still Sucks YTD

KB Home (KBH[1]) was one of many homebuilders to have a strong start to 2013 before leveling off over the last few months.

KBH stock peaked in mid-May when shares were selling for close to $25 but KBH stock has gkbh KB Home   KBH Stock Up Today, Still Sucks YTD[2]one back down to $17 a share since then. Along with most homebuilders, the KB Home surge took a halt due to concerns over rising interest rates.

Today, though, KBH stock is back in the black. Shares of KB Home opened to 3% gains, although they have since cooled off.

The catalyst: Solid data about U.S. housing starts[3]. Housing starts in November reached their highest levels in six years.

 

Still, KBH stock is only up around 8% year-to-date, while the broader market has gained more than three times that.

Another thing to keep an eye on with KB Home: The company will report fourth-quarter earnings[4] tomorrow. KB Home is optimistic about “strategic growth plans and strong housing fundamentals comprising steady demand and constrained supply.”

Lennar (LEN[5]) shares have also been doing well today, with LEN stock up 2.61% in early Wednesday trading.

Endnotes:
  1. KBH: http://studio-5.financialcontent.com/investplace/quote?Symbol=KBH
  2. [Image]: http://investorplace.com/wp-content/uploads/2011/05/kbh.gif
  3. U.S. housing starts: http://www.foxbusiness.com/economy-policy/2013/12/18/housing-starts-hit-highest-rate-since-feb-2008/
  4. The company will report fourth-quarter earnings: http://www.zacks.com/stock/news/117164/will-kb-home-kbh-miss-earnings-estimates
  5. LEN: http://studio-5.financialcontent.com/investplace/quote?Symbol=LEN

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