KBH - KBH Downgraded: Goldman Sachs Points Out Spike In Cancellation Rates And Debt Concerns | Benzinga
Goldman Sachs analyst Susan Maklari downgraded KB Home (NYSE: KBH) to Neutral from Buy at a lowered price target of $48 from $54.
The analyst's re-rating reflects lower visibility for the upside for KBH vs. its peers.
Although the analyst is pleased with KBH's higher near-term margin potential of its build-to-order home strategy, she believes a longer conversion cycle could result in more cancellations and put closings at greater risk as rates increase.
The ...