I believe it is KBH due to their debt and exposure in all of the worst areas of the country such as FL, CA, NV, AZ.
2007-09-22 05:31:39 · 3 answers · asked by Jack B 1 in Business & Finance ➔ Investing
Whoever you think is absolutely, totally going out of business...short a homebuilder? Now? With the fed lowering rates to help them out? You " short" a high-flyer, not a dog!
Find someone that's over-rated, not someone who's beaten to a pulp already.
2007-09-22 18:03:44 · answer #1 · answered by jebediabartlett 6 · 2⤊ 0⤋
You're too late for that party. Homebuilders will be up and down a lot the next few months, but it's not safe to short them, since the downside is already priced in, unless there's a recession.
There's nothing wrong with asking the Yahoo investing forum for ideas about stock investing. That's the whole purpose of the board! It goes without saying that question askers should do due diligence, but what's wrong with having an online discussion of investing? I'm getting really sick of people bashing question askers just for asking a question. If they think the idea of an investing question and answer forum is stupid, then they shouldn't be here.
2007-09-22 08:04:46 · answer #2 · answered by Yardbird 5 · 0⤊ 0⤋
Great idea. Ask total strangers what stock to short. You don't know their qualifications or motives.
Good luck with that!
Having said that.... here's my two cents;
KBH currently has a falling wedge pattern on the 1 year daily and the Five Year Weekly. So it's a reasonable "bet". There is a "short interest" of 4.1 days. This could be a problem with a "short squeeze". But it's not the worst I've seen recently.
Good luck. Shorting is very scary in what might be an up market.
2007-09-22 06:52:33 · answer #3 · answered by Common Sense 7 · 0⤊ 1⤋