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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Jurgis Bekepuris who wrote (27478)	7/26/2007 4:40:17 PM
From: Paul Senior	Read Replies (1) \| Respond to of 78751

Homebuilders. Carnage continues. Perhaps we'll see bk for one or more, or consolidation among publicly traded firms. Rather than go with an individual or group of homebuilders now, I'll take more LPX. (Still watching PHM though, which I might go for if it drops again under $20.) Planning on holding for 18 months, I'll step in now for a few more shares of building supplier LPX. I assume that new houses will be built, and no matter which company builds them or where they're built, one component considered will be OSB - oriented strand board (a plywood competitor). LPX dominates in OSB production. So if/when housing rebounds, LPX might/could/should too. LPX has a pretty good balance sheet, it seems to me. More cash than debt. Per Yahoo, bv is about $19/sh, stock is about $18.26, cash/sh. about $8.78/sh. Co. has staying power in other words, and should benefit if housing market ever improves. I've convinced myself I have more assurance of LPX's future, than of any individual homebuilder. (Not that much assurance though -g-; only adding a few shares to the few I already have.) finance.yahoo.com