PulteGroup price target raised to $61 from $50 at BTIG

BTIG analyst Carl Reichardt raised the firm’s price target on PulteGroup to $61 from $50 and keeps a Buy rating on the shares as part of a broader research note titled "2023 Homebuilding Outlook". The housing market is "frozen", and he expects wide bid/ask spreads in the resale market, with few buyers but few sellers preventing the lower price/higher inventory negative feedback loop that destroyed the housing market from 2006-2011, the analyst tells investors in a research note. Reichardt adds that builder stocks are beginning to discount this environment, but those likely to be best positioned remain the "largest scale players building affordable product and focused on asset turnover". The analyst also notes that the "Fed overhang" that compressed multiples is dissipating, with Fed officials beginning to sound "slightly less aggressive".