KB Home (KBH) Earnings Weigh On Homebuilders

One of the largest homebuilders in the U.S., KB Home (NYSE: KBH), this morning announced its financial results for its fourth quarter: revenues came in at $2.07 billion, down from $3.01 billion last year, but higher than the Wall Street consensus of $1.77 billion. KB reported a net loss for the quarter of $9.99 per share, which included a $403.4 million pretax charge for inventory impairments.

During the earnings report, KB's President and CEO, Jeffrey Mezger, said "The challenging market conditions we experienced through the first three quarters of 2007 continued during the fourth quarter. We believe 2008 will be another tough year for the homebuilding industry."

Shares of KB Home have sunk to a new 52-week low on the earnings announcement. KB's stock price has been down more than 9% to as low as $16.67.

As a result of the huge loss per share and negative outlook from KB's management, shares of many of the other large U.S. homebuilders are also hitting new 52-week lows:

Pulte Homes (NYSE: PHM) down to $8.62
Toll Brothers (NYSE: TOL) down to $16.06
NVR, Inc. (NYSE: NVR) down to $455.99
Hovnanian Enterprises (NYSE: HOV) down to $5.15
Beazer Homes USA (NYSE: BZH) down to $5.34

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