Better Housing Play: Home Depot or Lowe's?http://www.fool.com/investing/general/2012/07/02/better-housing-play-home-depot-or-lowes.aspx Tim Brugger
July 2, 2012
Given the housing data announced on Tuesday, it wasn't surprising to see both Home Depot (NYSE: HD ) and Lowe's (NYSE: LOW ) jump out of the gate on a positive note. Investors have been waiting for a reason to jump onboard one of these industry stalwarts, and the best housing data seen around these parts in some time gave them the impetus they needed -- at least for a while.
The flipside of the housing data dropped a bit of rain on this parade. The increase in home prices came after a March that was downright abysmal, so improvement was expected. But even with the slight increase, home prices are still down 1.9% for the year, and a full 34% off the ridiculous market boom highs. Naturally, this additional review of the information brought Home Depot and Lowe's investors back down to earth as Tuesday's trading continued.
But with all the ups and downs in the housing market, one thing is clear for investors: Even the most tepid housing news is likely to boost one, if not both, of these stocks. So what's the best option?