MKM Partners makes a bullish call on homebuilders, upgrading KB Home (KBH +1.8%) and D.R. Horton...

|About: KB Home (KBH)|By:, SA News Editor

MKM Partners makes a bullish call on homebuilders, upgrading KB Home (KBH +1.8%) and D.R. Horton (DHI +1.7%) along the way. The firm expects new home sales growth to accelerate heading into fall, which in turn will lift valuations. Positive comments made by KB following its FQ2 report, together with equity offerings from Meritage (MTH) and Beazer (BZH), are seen as reasons for optimism. (Hovnanian)