Early this summer, with Ryland (NYSE:RYL) trading at close to $50 per share, I wrote this article implying that the stock was due for a 30% correction based on the lofty 4x Price/Book valuation shares were trading for at that point in time. Fast forward to 8/23/13, and the stock sits just below $35 a share, after a 30% correction from its 12-month high. As predicted, shares of Ryland were overvalued and have corrected significantly in a short period of time. At the same time, the entire homebuilder universe has seen a sell-off over the past few months on the back of rising interest rates which has led many to believe that higher mortgage rates are the death...
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