US homebuilders A housing value trap?

The news from the US housing market continues to worsen. Prices for new homes in February were down 10% from the peak. The inventory of unsold homes is at its highest in a decade, according to Lombard Street Research. Sales are down. Cancellations are picking up. Yet some investors argue that if the US housing market slows like it did in the UK, homebuilder shares could soar. Don’t count on it. The S&P Midcap Homebuilding index has fallen nearly 30% from its peak. The ten largest housing stocks ...