An analyst who called a grim start for homebuilding stocks this year as well as their rebound in recent months is confident that the group will stay strong in 2023.
The sector should fare better than the S&P 500 Index next year, according to Kenneth Zener at Keybanc Capital Markets. The group fell harder than the overall market earlier this year, so based on a historical review of their performance going back to the 1960s, the analyst expects homebuilders to recover first. Zener has been positive on homebuilders since September, after warning in January that the stocks faced a “wall of worry.”
Reprinted courtesy of Breanna Bradham, Bloomberg and Norah Mulinda, Bloomberg