March 28, 2007
Beazer Blows
Crummy tone all day long and then Beazer Homes (BZH) blew up after hours. Interestingly, BZH was already unusually active during the regular hours session moving to a new low on over three times normal volume. Beazer saw even more unusual volume than Lennar (LEN), which reported earnings. Somebody somewhere knew something was brewing in Beazer and acted on it — price reveals all public and non-public information.
Cat: | Time: 8:55 am (utc+8)
March 28th, 2007 at 11:47 am
all those people shorting the whole way up have not caught any of this. they covered.
that said, i have been calling this on my blog and I am not short either.
Great post about price. all yo need to know
March 28th, 2007 at 12:06 pm
howard: I’m considering putting my $4,000 IRA contribution into the Homebuilders ETF (XHB) this year — haven’t made my mind up yet though. Tough to pinpoint “maximum pessimism.”
March 28th, 2007 at 12:14 pm
[…] BTW - great post from the Chairman on the subject of ‘The Beaver‘…I mean Beazer. […]
March 28th, 2007 at 12:22 pm
Chairman - why.
I am not pessimistic. It’s a cyclical reality. price maybe —time—not close
Thats said - dont want to issue the Chairman advice :) .
March 28th, 2007 at 12:26 pm
howard: Because I’m a cranky SOB, no better reason. ;-)
March 28th, 2007 at 2:14 pm
Beazer’s blowup, and more specifically the reasons for it, probably means max pessimism is still to come — but I like the contrarian nature of the idea!
March 28th, 2007 at 2:59 pm
Kacy: Yeah, I figure the XHB will go back down to the lows it made earlier and I’ll put a standing low-ball limit order in around there. Figure if I can get them for about 1x book it’ll be OK.