New IPO American Homes 4 Rent reportedly slashing jobs

|About: American Homes 4 Rent (AMH)|By:, SA News Editor

Just 3 weeks after the IPO, American Homes 4 Rent (AMH -1.3%) is reportedly firing 15% of its workforce, according to a Bloomberg report. Earlier this week, the company reported a $14M loss for Q2.

The move raises a question over the suddenly popular but never-proven business model of earning decent returns by amassing thousands of single-family for rent (AMH has more than 20K now).

Other publicly traded players (also recently gone public) include Silver Bay (SBY +0.6%) and American Residential Properties (ARPI +0.8%), not to mention the biggest of them all (but not a single-family rental pure-play) Blackstone (BX).

AMH Q2 results.

The IPO.