Catalysts:
Housing boom in the US
Record low mortgage rates
Only holds a small portion of the market (0.1%) with a big growth potential
Industry leader and most recognized brand
Closing unprofitable “Home” business will allow the company to focus on IMT and Mortgage
Laying off 25% of workforce will save on expenses
Risks:
Inventory of homes on sale over 7000 worth over $3.7 billion may take years to sell (probably at a loss)
Increase in interest rates
Share dilutions to raise capital and compensations
Considered growth stock and won’t do well with higher interest rates
Financial Analysis:
Valuations:
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