Fewer-than-expected home deliveries, higher construction cost, increased incentives and weaker margin hurt Los Angeles-based KB Home’s KBH fourth quarter 2014 earnings results. Even more concerning is the fact that the homebuilding company expects these headwinds to continue in the upcoming quarters of 2015.
However, increasing community count has always been KB Home’s strategy to drive order growth. Higher community count improves a homebuilder’s ability to meet the increasing demand for new homes. Keeping with this trend, the company, earlier this week, unveiled the Trailside Patio Homes community in Thornton, CO.
The Trailside Patio Homes community features an enclave of ranch style patio homes. Homebuyers can choose from eight flexible one story floor plans, which can accommodate up to five bedrooms, three baths and two car garages. Homebuyers can customize their properties according to their taste and requirements. Trailside Patio Homes are priced from the mid $300,000s.
Like other KBH homes, Trailside Patio properties features Energy Star certified appliances and water efficient features like WaterSense labeled fixtures, low-e windows, and smart USB outlets, which will help residents reduce their utility bills. The location of the community is very favorable and homebuyers will enjoy easy access to major employment areas in the Metro North region and Denver. Also Trailside Patio Homes will be served by the reputed Adams County School District 12.
KB Home carries a Zacks Rank #3 (Hold).
Stocks to Consider
Some better-ranked stocks in the broader building sector include Toll Brothers Inc. TOL, Quanex Building Products Corp. NX and Trex Co. Inc. TREX. All the three companies sport a Zacks Rank #1 (Strong Buy).
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Be the first to comment