Bank of America Downgrades Three Homebuilders: A Look At Past Calls

Hickey and Walters (Bespoke) submit: Banc of America downgraded three homebuilders this morning. The firm downgraded Hovnian (HOV) and Standard Pacific (SPF) from Buy to Neutral and Toll Brothers (TOL) from Neutral to Sell.

Below we provide historical B of A calls for the three homebuilders, and as shown, they upgraded the stocks in the early part of the year (end of last year for TOL) and have now reversed those calls after large price declines across the sector. Are today's downgrades better late than never, or is B of A too late to the game?

click to enlarge