Could This Value Stock Be the "Biggest Beneficiary of a Housing Recovery?" Its CEO Sure Thinks So.
Many investors believe that the housing market is headed for a recovery, and one CEO believes his company will be the biggest beneficiary. The most surprising thing about this is that the company in question isn't directly related to the housing market, which could make it an under-the-radar idea for a select few in the know.
However, does the housing market even need a recovery? According to Zillow, the average value of a home in the U.S. is over $360,000 as of this writing. That's up 3% year over year and right at its all-time high. This would seem to indicate that the housing market is strong and that no recovery is needed.
It's true that U.S. home values are strong. However, there are other important statistics to consider in the housing market. The big problem right now is existing home sales. As the chart below shows, sales have dropped fast in recent years and are near historic lows.
Source Fool.com
