Stifel Nicolaus follows up a warning on homebuilders, advising investors to sell into recent...

|By:, SA News Editor

Stifel Nicolaus follows up a warning on homebuilders, advising investors to sell into recent strength, with a downgrade of KB Homes (KBH -4%). KBH has been leveraging in anticipation of a housing recovery for five years, and the firm doesn't see a recovery occurring soon enough or fast enough to make this rewarding. KBH's FQ4 cash was $479M, well below $1.02B a year ago.