J.P. morgan upgrades homebuilders????

Discussion in 'Stocks' started by S2007S, Sep 18, 2009.

  1. S2007S


    Now that's funny, how many millions of houses going into foreclosure and they are still building houses as if the demand is going to pick up in 12 months, when do people wake the Fu$k up and realize demand for housing is years off. These stocks are truly overvalued here. These stocks should be trading in the low single digits. Demand for housing will not back for at least a decade.

    Sept. 18, 2009, 7:56 a.m. EDT · Recommend · Post:
    J.P. Morgan turns positive on home-builder sector
    Explore related topics
    Toll Brothers Inc KB Home MDC Holdings Inc

    BOSTON (MarketWatch) - J.P. Morgan analyst Michael Rehaut on Friday said he's lifted his view on the home-builder sector to positive from negative. "While fundamentals will likely not demonstrate an uninterrupted solid rate of improvement over the next six to 12 months, we believe that not only is housing solidly past its trough, but over the next 24 months will continue to recover and drive further upside to the current rally in the home-builder stocks," he wrote in a research note. Rehaut also upgraded Toll Brothers Inc. (TOL 22.01, +0.48, +2.23%) and KB Home (KBH 19.97, +0.28, +1.42%) to overweight from neutral, while M.D.C. Holdings Inc. (MDC 37.53, -0.58, -1.52%) was dropped to underweight from overweight.
  2. Will you ever stop with this "should be trading much lower" non-sense? Trying to make the market conform to YOUR idea where it should be trading is a recipe for bankruptcy in fantasy land.

    The $HGX went from 290 to 50. Now back to the low 100s. Who says it can't go back to 150? Why does it have to go straight back down to 50 just because it would be "rational"?
  3. S2007S


    its all fantasy land make believe nonsense.

    So what if it went from 290 to 50, where does future growth come from if millions of houses will eventually be back on the market in some state of foreclosure. Show me where the demand for housing will be and why these companies have to continue to build.
  4. jalee25


    Makes sense these stocks can start going up again... but I agree... why?
  5. Trust me when I tell you that it is NO FANTASY when you are actually trading and have your capital at risk.

    You've sat here for months telling anyone that would "listen" that stocks should be heading back down to take out the lows, and that this rally has been a "fantasy". You've been a huge BEAR and have said that none of these rallies would hold, or "stick".

    But you have been PROVEN WRONG for months now. Either your account has been totally WIPED OUT, or you do not trade at all and are full of bs and hot air. I suggest that it is the latter.

    You are a failure.
    Now run along to school.
  6. Show me where the demand for housing will be and why these companies have to continue to build.

    Builders build, that's what they do.

    Everything is disposable in our society.

    Mortgage money will flow to the unencumbered land (or zip code).

    Old houses have lead, asbestos and are inefficient energy wise. (on the flip side, mold is the new green, lmao).
  7. You still don't get it, do you?

    While you've a PERMA-BEAR on this sector, stocks like LENNAR have been on a tear for the last 6 months. If you shorted the stock at anytime since last November, you've gotten CRUSHED!

    You still are unable to comprehend how the stock market works.