While economic data has generally leaned towards weakness in the past month, we have repeatedly highlighted that housing data has been a bright spot for the economy. Not only has this category’s macroeconomic data come in solid, but the stocks of housing-related companies have also been showing similar strength. Just this morning, homebuilder D.R. Horton (DHI) reported a strong quarter with an EPS and revenue beat and the stock traded up 3.3% in today’s session in response. Given these trends, other housing stocks in DHI’s industry, Household Durables, as well as the housing and construction-related Building Products Industry have become fairly attractive with heavy representation in this week’s Stock Scores.
Our Stock Scores takes all 1500 stocks in the S&P 1500 and ranks them based on fundamental, technical, and sentiment factors. As shown in the chart below, of the 50 stocks with the highest total scores, Building Products and Household Durables had some of the strongest representation tied with the IT Services industry. Within the Building Products industry, 25% of its 20 members were in the top 50 stock scores this week while 6 of the 28 members of the Household Durables industry also made the top 50
We made a custom portfolio of stocks in the Household Durables and Building Products groups that ranked in the top 50 of our Stock Scores this week, so that members can track them. As shown below in the charts from our Chart Scanner, each of these stocks has been in solid uptrends over the past six months. Although some like KB Home (KBH) and Pulte Group (PHM) have more or less broken these uptrends, they have also still held up at their moving averages. Start a two-week free trial to Bespoke Institutional to access our interactive Stock Scores, Custom Portfolios, and more.