The Homebuilder Stocks Have Really Underperformed

We check out the Homebuilders and how they have performed both in terms of Revenue Growth and Stock Prices over the last five years in this Housing Market video.

Given the backdrop of historically low interest rates and home prices back at the highs, homebuilding stocks have lagged the overall recovery in the housing market since the subprime housing crash. Moreover, given the extremely accommodative monetary policies that have juiced up all stock prices, the homebuilders have underperformed the broader market, and dramatically underperformed the technology stocks. It is quite evident that we are in the midst of a technology driven economy and culture, and investors are willing to give more benefit of the doubt to technology companies from a valuation standpoint, even though many homebuilders have better bottom line revenue growth over the last three years.

Video Length: 00:08:53

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