The most ridiculous thing I’ve hear, via questions and comments, is that homebuilders (as in the public ones) will benefit from the southern California fires. The only builders likely to benefit will be private contractors. And the biggest single tract builder in San Diego, Pardee Homes, is own by Weyerhaeuser (WY).
The obvious cast of characters will benefit, including appliance makers and furniture retailers/makers. Would be interesting to see how Ethan Allen (ETH), as a proxy for the furniture industry, has done in the wake of other home-destroying disasters. Hate to talk about benefiting from the disasters, though…too close for comfort.
Speaking of retailers: Rob Wilson, of Tiburon Research, believes the SoCal fires will become the next excuse du jour. “Next year when they anniversary this event,” he says, “they’ll totally forget about it and if they have any success, they’ll take credit for their merchandising prowess. That’s Retail 101.”
The beat goes on….