Nov. 17 at 5:35 PM
Leaving LGI Homes Off The Shopping List For This Season
* LGI Homes (LGIH) remains a hold as persistent revenue declines, high debt, and negative free cash flow weigh on performance.
* LGIH's aggressive sales incentives sparked a short-term order surge, but high cancellation rates and shrinking home sizes signal ongoing affordability challenges.
* Despite historically low valuations, LGIH's deteriorating margins and inability to repurchase shares in Q3 make it less attractive than peers like CCS and TMHC.
* I prefer other homebuilder stocks for the seasonally strong period, as LGIH's turnaround prospects lag better-positioned competitors.
https://seekingalpha.com/article/4844658?gt=e6a455d96c0c0012
$LGIH #housingwatch #homebuilder #earnings
