Fitch Ratings Says Bottom In U.S. Housing Is Here (XHB)

Fitch Ratings is making a major call on U.S. housing, saying a bottom may finally be in sight. But while Fitch now sees a bottom they said a recovery may be more muted than past recoveries.

Managing Director and lead homebuilding analyst Bob Curran said, "Single family housing starts and new home sales seem to be indicating a trough, albeit at very low levels absolutely and by historical comparisons. The early stages of this recovery may be more muted than average recoveries of the past."

Fitch also said if updated forecasts for 2009 and initial forecasts for 2010 are correct, public builders
will continue to be challenged and need to maintain tight controls over costs and expenses during the balance of 2009 and next year despite having fewer competitors.

Homebuidler stocks are higher across the board today, as represented by the 3.2% move in the ETF SPDR S&P Homebuilders (NYSE: XHB).

Homebuilder Stocks:

• Ryland Group Inc. (NYSE: RYL) +4%
  
• NVR Inc. (NYSE: NVR) +2%
  
• Meritage Homes Corporation (NYSE: MTH) +5%
  
• Lennar Corp. (NYSE: LEN) +4%
  
• Toll Brothers Inc. (NYSE: TOL) +5%
  
• Standard Pacific Corp. (NYSE: SPF) +7%
  
• DR Horton Inc. (NYSE: DHI) +5%
  
• KB Home (NYSE: KBH) +3.4%
  
• M/I Homes, Inc. (NYSE: MHO) +6%
  
• Pulte Homes Inc. (NYSE: PHM) +3%
  
• Beazer Homes USA Inc. (NYSE: BZH) +7%
  
• Hovnanian Enterprises Inc. (NYSE: HOV) +9%
  
• MDC Holdings Inc. (NYSE: MDC) +3.6%

You May Also Be Interested In

• Hilton Worldwide (HLT) PT Raised to $205 at Macquarie, 'we await a better entry point'
• Fiserv (FISV) PT Raised to $175 at BofA Securities
• Amphenol (APH) PT Raised to $124 at Baird