DFH - Toll Brothers Dream Finders M.D.C ratings downgraded as housing slows

Home prices are continuing to rise, the 30-year mortgage rate is climbing toward 6%, consumer confidence is souring, and economic reports are showing the housing sector easing from its white-hot run during the pandemic. That has some Wall Street analysts adjusting their outlooks for the homebuilding sector and downgrading some stocks as a result. "Our proprietary housing market checks in May confirmed that housing inflection happened in April," wrote Wells Fargo analyst Deepa Raghavan in a note to clients. Given the unprecedented rise in interest rates YTD, housing market softness is hitting faster than many anticipated." She downgraded Toll Brothers (NYSE:TOL) to Equal Weight from Overweight and M.D.C. Holdings (NYSE:MDC) and Meritage Homes (NYSE:MTH) to Underweight from Equal Weight.  MDC stock is dropping 1.4% in Friday premarket trading and MTH is down 0.8%. Dream Finders Homes (NASDAQ:DFH) stock is falling 4% after BofA Securities analyst Rafe Jadrosich downgraded the homebuilder's stock to Underperform from

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Toll Brothers, Dream Finders, M.D.C ratings downgraded as housing slows