The U.S. housing market has certainly gone through a rough patch lately--but there is some good news on stronger home sales today--as we've reported. The Commerce Department says new U.S. home sales rose 3.4% in November. Analysts were looking for a gain of 1-2%. But new home sales are still down from a year ago by 15.3%.
So--are there any good stock recommendations out there? Margaret Whelan is Managing Director at UBS and Daniel Oppenheim is homebuilder analsyt at Bank of America Securities. Both appeared on "Morning Call."
Whelan sees strong growth in the housing market. She's positive on housing stocks as they are up 40% since July and Whelan expects they'll continue to perform in the next couple of years.
She likes KB HomeD.R. Horton and Centex . She lists Lennar and NVR as neutral.
Oppenheim is more bearish on housing stocks. He expects a lot of volatility in the sector. But he likes Standard Pacific and is neutral on Pulte, D.R. Horton, Toll, Lennar, Centex (unlike Whelan) and KB Home (again--unlike Whelan).
Analyst disclosures: Whelan has no personal or family ownership of the stocks she recommends. Her firm owns more than 1% of the stocks and may or may not have an investment bank relationship with the stock companies. Oppenheim has no personal or family ownership of the stocks he recommends. His firm may or may not have an investment bank relationship with the companies mentioned.